Are Financial Advisors Still Relevant in a Digital World?

A Guide to Determining if You Should Work with a Financial Advisor

At times, it can feel as if the odds of being financially stable are stacked against you. Between bills, college loans, rising home costs, and a challenging job market keeping your head above water can be overwhelming.

According to a 2021 study, the top source of stress for actively working Millennials is their inability to save money for retirement. At a close second is not having enough in an emergency fund. The key takeaway: an inability to save money are key drivers behind financial stress.

But despite these anxieties around saving enough, saving is a top priority for Millennials. One study found that nearly three out of four Millennials are saving, with roughly a quarter having $100,000 or more set aside.

When it comes to making decisions about how to manage, save, and invest their money, however, most Millennials say they feel undereducated and ill-equipped to take on this challenge. In fact, a survey showed 84 percent of Millennials believe high school did not prepare them for handling personal finances. And feelings of financial insecurity are rampant. Seventy-five percent of Millennials aren't confident about their current financial situation and 73 percent aren't optimistic about their financial future. Interestingly though, while the majority of Millennials admit they don’t have the knowledge to adequately manage their finances, most don’t seek professional financial help.

There are a number of reasons why Millennials don’t seek out financial help, but perhaps the most prevalent is a lack of knowledge on the benefits of such a relationship. In this paper, we’ll explore some common misconceptions about financial planning, shine some light on the different types of advisory relationships out there, provide tips for choosing an advisor, and get an inside look into what this type of partnership can and should look like.

Download our Whitepaper to read more.