Welcome to Financial Advisor IQ

What Millennials Want From Wealth Management, Most Advisors Can’t Offer, Study Claims

By Alex Padalka April 4, 2019

Despite pushback against the rising trend to cross-sell products between banking and financial advice units at some of the country’s biggest financial institutions, most millennials prefer a one-stop shop, according to a recent study.

Eighty-five percent of millennials prefer financial institutions that offer banking, wealth management, credit cards and loans all in one place, financial technology and marketing provider Kasasa found in a survey of 2,018 U.S. adults ages 18 and older.

And 87% of all Americans who have a bank or financial institution prefer their primary financial provider to be able to address more than one of their financial needs, Kasasa says.

Major players have been making it more attractive for their customers to do all their business with them.

In January, Bank of America, for example, extended free trading to all 5.25 million clients enrolled in its loyalty program, which includes customers who have accounts with the firm as well as its brokerage, Merrill Lynch.

The wirehouse also introduced incentives last year to its brokers for cross-selling the bank’s products. Yet some brokers who left the firm have complained that they did so because of the pressure to cross-sell.

Several Wells Fargo employees told the New York Times last month that despite reports to the contrary, the firm remains aggressive about cross-selling.

A week ago, Citi rolled out a digital financial planning platform aimed at clients that also makes it easier for their financial advisors to recommend various products, including loans, retirement saving options and more.