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This historical wealth transfer presents a unique opportunity for financial advisors to retain managed assets with younger generations of existing client households and even expand their portfolios by establishing new client relationships. A wealth management study suggested approximately 90% of heirs who inherit substantial wealth from their parents ultimately once the wealth is in their hands. A primary reason for this shift is the lack of an established relationship between younger heirs and advisors.

For financial advisors, proactively building strong relationships early on is important. Ainsley Carbone, Retirement Strategist, CIO Americas, ��ţ�������� GWM believes advisors have a chance to act as a partner to the next generation by helping them articulate their values and navigate complex financial decisions.

“Engaging with the next generation isn't just about sustaining client numbers or assets under management; it's about unlocking new opportunities with a cohort known for its innovative, forward-thinking mindset,” she states.

“By taking a proactive approach to wealth transfer, advisors can empower Gen Z to plan for the financial and social impact they want to achieve,” Carbone concludes.

Failing to build meaningful relationships with the next generation of heirs poses a significant risk of losing assets to firms that are already engaging these future inheritors. Financial advisors often find it challenging to engage with Gen Z on managing their wealth, especially when there is no prior connection with this demographic. A significant barrier in initiating these conversations is the varying levels of financial literacy. Fundamental financial skills , such as budgeting, managing emergency funds, or debt repayment , may not be as familiar to these younger individuals because financial education is not widely mandated in US school curriculums, leaving many Gen-Zers feeling ill-equipped for strategic financial discussions.

To address this challenge, we’ve outlined five strategies advisors can leverage to initiate meaningful conversations with Gen-Z ahead of the generational wealth transfer:

• Utilize technology
  Gen Z is a digitally native, fast-paced generation raised amid social media and online trends. Financial advisors should prioritize offering accessible online resources tailored to managing expenses, debt, and newfound wealth. According to data from , 77% of Gen Z individuals surveyedactively seek financial advice and information online through social media platforms. Leveraging social media, digital tools, and clear, user-friendly information will foster greater engagement and lay a strong foundation for lasting relationships with Gen Z clients.

• Promote financial education
  Advisors can share accessible, engaging educational resources, specifically designed to help younger clients grasp fundamental financial concepts. According to the World Economic Forum’s Global Retail Investor Survey, approximately 70% of retail investors are , yet overall financial literacy rates are hovering just below 50%, underscoring the importance of financial education. A digitized, engaging approach—such as short , informative emails, or concise guides —can significantly enhance the absorption of crucial financial knowledge among young clients. Utilizing content tailored to this next generation of clients at ��ţ�������� will allow advisors to connect with these individuals, regardless of financial literacy level.

• Leverage bite-sized, engaging content
  Younger clients are unlikely to dedicate 20 minutes to reading an article on investment strategies. The content provided must be bite-sized and digitally optimized. Short-form content, such as a ��ţ�������� Trending video or a reel from ��ţ�������� Studio’s, , discussing financial planning, will resonate more effectively with this tech-savvy, digital-first generation. This format makes financial content engaging, interactive, and enjoyable rather than burdensome. Whether on the go or in the office, advisors can tap into platforms on social media to quickly share high-impact content—like a quick video on funding a retirement account or actionable steps for tackling student debt.

• Focus on personalization
  Providing clients with a personalized digital financial planning tool makes engagement more seamless and intuitive. It empowers Gen Z with a sense of control, transparency, and a clear understanding of the steps being taken to reach their financial goals. ��ţ�������� offers , a personalized “playlist” that allows clients to learn how they can improve their financial health based on their needs. Guiding younger clients toward personalized tools can significantly enhance engagement, as they tend to perceive integrated digital experiences as more trustworthy.

• Understand their values
  Gen Z is not like other generations in priorities and value chain. This generation tends to be very interested in value-based investing. Specifically, this may entail investments in social or governmental sectors that align more closely with the personal values of these individuals. Sustainable investing is a prime example of a unique opportunity to position portfolios for the shift toward sustainability. ��ţ�������� offers an abundance of resources to better connect with younger clients on topics that they value, especially within sustainability, inclusive investing, and philanthropy. Understanding these preferences is crucial for building trust and tailoring financial strategies that resonate with their ideals.

A great wealth transfer is already underway, and with it comes a pivotal opportunity for financial advisors to secure long-term relationships across generations. By proactively engaging the next generation now, advisors can position themselves as trusted partners for the future. Implementing thoughtful, tailored strategies to connect with younger clients ensures that when wealth does change hands, the relationship doesn’t end—it evolves. Start the conversation today to preserve those connections for years to come.

Main contributor: Cate Conway, Global Wealth Management GTP Analyst