06.30.26
How the Great Wealth Transfer Is Rattling Wall Street
by: Harriet Clarfelt; Joshua Franklin; Josh Spero; et al.
The “great wealth transfer,” expected to move more than $60 trillion in U.S. assets to millennials and Gen Z by 2048, is reshaping the wealth management industry as younger heirs bring different investment preferences and expectations. Unlike older generations, they favor cryptocurrencies, private equity, AI-related investments and digital platforms over traditional stock-and-bond portfolios and long-standing banking relationships. Established Wall Street firms are investing heavily in technology, expanding access to private markets, embracing crypto services and offering educational programs and exclusive events to attract younger clients. However, many heirs prefer low-cost fintech platforms, multiple advisors and greater control over their investments, increasing pressure on traditional wealth managers. Industry executives warn that retaining inherited assets will require more than perks — firms must modernize their technology, diversify investment offerings and provide advisors who better reflect the values and expectations of the next generation of wealthy investors.
Read the full article on Financial Times