I recently gave a short presentation as part of a panel event hosted by the Financial Services Forum. Entitled What Can We Learn From Millennials?, my talk focused on the asset management industry perspective, and why marketers should embrace the millennial market.

The overall message we feel is simple:

Asset management marketers need to learn how to adapt to the millennial mindset to reach out to the largest generation of potential investors.

You can view my slides below:

Are millennials more financially minded than we think?

Millennials make up the largest UK population group and will form 75% of all UK workers by 2020. It’s well documented that the millennial generation (roughly born since 1981) is one of the poorest generations, but many are set to inherit wealth from their baby boomer parents.

Research agency Bdifferent carried out a qualitative and quantitative study of millennials in the UK, splitting them into three age groups. Looking into some of the broader trends, the study found that 98% considered planning their financial future important, perhaps dispelling some of the myths that ‘millennials live for the moment‘.

Bdifferent millennials study

The study also contains some interesting stats around their level of savings and investments. It discovered that while those levels are reasonable, many haven’t taken the leap from savings to investment.

Bdifferent millennials study

The study found that three quarters have not invested money and cited reasons from lack of knowledge, to absence of control. 78% of those surveyed had bank/building society accounts, but only 9% had managed funds.

What can asset managers do to attract more millennial investors?

Asset and wealth managers need to learn from the observations around the millennial generation (across all industries) to drive digital interaction and convert them into millennial investors. Millennials have grown up with digital, they expect digital and they get digital. In the US, the audience footprint for millennial investors will be $24 trillion by 2020, so the opportunities are huge. Harnessing digital is one way to improve the disconnect between millennials saving and investing, and we believe these are some of the ways to achieve this:

  • Educate on financial wellbeing – what it takes to achieve their goals
  • Story tell investment outcomes – data visualisation and simplification
  • Engage their influencers & brands – bloggers, ambassadors, etc.
  • Value and respect their data and privacy – be as transparent as possible
  • Project all your values through your brand and digital footprint

We’d love to hear your thoughts on millennial investors, so please feel free to drop in a comment below or tweet us @kurtosys

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Richard Watts

Global Head of Digital at Kurtosys
Rich Watts oversees global digital strategy, design & UX, WordPress platform delivery & product development at Kurtosys. With over 20 years proven experience in digital strategy and delivery, largely focused within financial service sector and specifically within asset & wealth management, insurance and crowdfunding.

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