Asset managers see their clients getting younger and younger

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In short

The greatest intergenerational inheritance ever is on the way and this is extremely beneficial for our millennials. The millennial, often the son or daughter of baby boomers and roughly born between 1980 and 2000. They are also called stubborn, overzealous, narcissistic and selfish, but due to rising personal incomes and inheritance they are becoming increasingly wealthy. Asset managers see their customers getting younger and are preparing for the new client of today, the millennial.

It is a fact that a group of people in their twenties and thirties will soon be inheriting, inheriting, or have already inherited. Parents die or want to help by transferring their wealth to their children at a stage in which it contributes more than at the time of inheritance. Another characteristic of this group is that they are very enterprising. Their increasing equity is often invested in own companies or invested. Most investors are over 45 years old, but more and more asset managers see younger people in their thirties with a predicament. It is therefore important that they keep pace with this age shift.

Not just the age, there are other characteristics of the new customer compared to the baby boomers. There is a need for much more intensive contact. Not only do they have face-to-face contact, but contact with customers is also increasingly taking place via digital means of communication. On the other hand, when investing, responsibility is increasingly shifting to the asset manager. Millennials find out a lot of information themselves in advance, via the internet for example, and know exactly what they want. They leave the investment itself to the asset manager and so the client is often less actively involved in investing than the client to which asset managers were used to. The role of the traditional asset manager is changing, but it remains important at crucial decision moments.

Millennials are the first generation to grow up with the internet and with the use of technology they are (better than previous generations) able to convert their acquired knowledge into assets. Whether this is through business or through investment. The motivation is different, millennials are less concerned with securing the future and more concerned with enriching their current lives.

With our KYC solution, the asset manager is able to connect seamlessly with these digitized and entrepreneurial millennials. Paperwork is practically outdated and the digital filling in and maintenance of data is increasingly becoming the norm. With our SCOPE Client Portal, asset managers can develop a risk profile and investment plan together with the client. Data can be easily entered and maintained online. The millennial likes to be informed and transparency about knowledge and data is important for this. Dual access in the client portal, dual access, makes maintaining the client profile even easier. Both the employees and the client can look at the same data, so that this transparency can be guaranteed.

Do you want more information about the SCOPE Client portal? Please contact us. Fill in the contact for, send an e-mail to info@scope.nl or call us +31 (0) 23 517 9200.

Sources:

Slegers, M. (2021, January 12). Largest ever transfer of money between generations is coming. Retrieved January 13, 2021, from https://fd.nl/achtergrond/1367727/millennials-worden-snel-rijker-mede-dankzij-de-babyboomers

 

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