As is always the case, people in their 20s today have different priorities than their parents and grandparents. Younger priorities often do not include investing in the stock market. This has caused some consternation on Wall Street because today’s young adults stand to inherit a lot of money from their parents.
Much has been written about the millennial generation, those people born between 1980 and 2000. Their work ethic, tastes, and even general politeness have been questioned by older adults.
One thing that some believe is different about millennials is that they do not just get financial advice from professionals. They also get advice from friends, social media, and online gurus.
This is seen as a problem for Wall Street firms who are in the business of selling financial advice and getting people to use their services to invest. Since estimates speculate that millennials will inherit $30 Trillion from their parents and grandparents, it is paramount for Wall Street to attract the attention of these young heirs.
As Bloomberg reports in an article titled “Wall Street Has Its Eyes on Millennials $30 Trillion Inheritance,” Wall Street has taken an unusual strategy to attract the attention of millennials, using animation and cartoon like graphics.
One takeaway: if you are planning on leaving a millennial a large inheritance, it might be a good idea to have an estate plan that takes the choice of investing away from them and giving it to a professional.
A trust, for example, could be used instead of leaving the inheritance outright with a professional trustee to help protect the inheritance from and for your millennial loved ones.
If Wall Street is concerned that millennials will not invest their inheritance prudently, perhaps it would be wise for you to be concerned, as well.
Please contact our office today at 239-225-7911 to schedule an appointment with Barbara M. Pizzolato if you are interested in protecting your legacy and need to create or update your estate plan. You may also wish to attend one of our free seminars.
Reference: Bloomberg (March 3, 2015) “Wall Street Has Its Eyes on Millennials $30 Trillion Inheritance”