ETF Trends
ETF Trends

After Chelsea and her younger sister lost their mother a year ago following a stroke, the family’s financial advisors did more than just make recommendations regarding the roughly $3 million the two young women were set to inherit.

“They were very kind and went out of their way to help us,” said Chelsea, 30. They not only gave careful and patient explanations but showed true concern. Knowing Chelsea was overwhelmed by her mother’s death and caring for her newborn baby, they went to her house and “just hung out.”

According to Chelsea, largely because of their patience, thoughtfulness and willingness to listen, these advisors are still working with her and her family, an uncommon scenario according to the often‐cited statistic that 90 percent of today’s heirs don’t retain their parents’ advisors.[1] Like Chelsea, some of those heirs will be women, as $30 trillion in inter‐generational wealth changes hands over the next 40 years.[2] But unlike Chelsea, many heirs may not see a strong enough reason to stick with their parent’s advisor.

This may have nothing to do with an individual advisor or his or her performance, industry experts say: according to the report by global consulting firm Accenture “The ‘Greater’ Wealth Transfer: Capitalizing on the Intergenerational Shift in Wealth,” Millennials are less trusting of financial advisors than previous generations.[3]