What you don’t know about Millennials may surprise you
1. Algorithms can’t solve every financial problem
Don’t assume the digital generation will automatically settle for robo-advice. They’re actually more traditional than you might think. Our survey shows that 40% of Millennials choose in-person advice, while only 7% rely on automated advice.
2. Risk is real when there’s more on the line
While Millennials report that they’re comfortable with more investment risk, that may not be true when the rubber hits the road. Markets have been booming for the last 10 years, and Millennials expect investment returns of 16.3% above inflation. Given that, they may find themselves overexposed to portfolio risk – and get caught by surprise when markets get rocky.
3. You don’t have to sell out to be a capitalist
When Millennials think sustainable investing, they want to change the world – but they also want returns. They think ESG (environmental, social and governance) is a better way to invest, one that creates better opportunities. But while many are interested in ESG investing, 41% say they need more information before they commit.
4. Retirement feels a lot closer at 40
Millennials have saved a lot, and they’re feeling confident. And rightfully so. Despite this, they’re still worried about everything from inflation to how long they’ll be able to hold their job. In fact, 48% of high net worth Millennials say “it’ll take a miracle” to retire securely.
5. Pandemic habits are reminders of the financial basics
The pandemic has Millennials reevaluating their financial behavior and habits. In fact, 22% experienced a serious financial setback as a result of it. From keeping spending in check to creating an estate plan, they were reminded of fundamental lessons in savings and investing.
Facing 40, Millennials are complex investors
