COLORADO SPRINGS, Colo. – With new research from CUNA Mutual Group and Filene Research Institute making clear that consumers seek financial guidance at critical times in their lives, more than 550 financial advisors and CU program leaders here learned how “decision dynamics” affect when and how consumers engage with a financial advisor.
As part of CUNA Brokerage Services’ (CBSI) FOCUS conference, topline results of Filene’s new research report and presentation, “Financial Preferences and Attributes of Middle-Income Investors,” were shared. That report found 69% of consumers want to engage in investment conversations when the timing is right, and 45% look for advice when their life circumstances change. However, more than 42% say they only talk to an advisor once a year or less, with approximately 19% never engaging with an advisor, the report found.
“In a changing and uncertain economic environment, we see our work in the broader context of a person’s life,” said Jeff Bosco, senior vice president, wealth management, CUNA Mutual Group. “Our solutions must address customers’ needs today and support their vision for stronger financial security, helping them be more confident about their future. This new research provides valuable insight for our advisors to understand what behavioral dynamics influence investment decisions for these consumers and how we can support their needs in setting and reaching their financial goals when they are ready.”
Commissioned by CUNA Mutual Group, Filene’s research looked at consumers with household income ranging from $30,000 - $100,000 annually, with one in four consumers falling between the ages of 18-29. As credit unions look to attract new segments, this research provides insight into how investment services could attract new Gen Y members – a generation numbering more than 80 million people across the U.S., CUNA Mutual said.
As the study indicates, while many of these investors look for digital investment services for basic needs or services, they prefer engaging a financial advisor for comfort and reassurance with investment decisions.
“We help people invest and plan for their future – regardless of their financial standing. We focus on creating products and services that are simple, easy to understand and help hardworking Americans secure stronger financial futures,” said Bosco.