The mass affluent focus
The mass affluent segment (US$250k–US$1m in financial assets) possesses quite significant wealth. An EY study – Advice goes virtual – reports they hold about US$7t of wealth which is larger than the assets held by mass (< US$250k) and the UHNWI (> US$10m) segment, however it means almost three time more households (14m HH) than the richest two segment in the United States.
A significant fraction of this crowd is the part of generation Y, the Echo Boomers or the Millennials. It means they are digitally savvy. Besides having a demand for money management advice they also expect electronic wealth management omnichannel experience.
It consequence, the top priority for banks who want to create digital, integrated wealth management advisory experience with using online technology and smart devices, is to offer appropriate and digitally rich products and hybrid advisory services for which this rising segment is willing to pay.
Read the whole study here: EY – Advice goes virtual