In a survey of UK consumers, Swiss fintech firm Crealogix found that 19% of UK consumers perceived the wealth management industry to be elitist, and a further 18% believed the sector to be “old fashioned.”
In a survey of 1,200 consumers, Crealogix’s asked what they associate with “traditional City of London wealth management”. The negative sentiments were much more prevalent among respondents living in London.
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Jo Howes, Commercial Director at Crealogix UK, said: “Wealth management services are falling behind in educating their clients about other low risk investment options which have a better chance of protecting savers from the effects of inflation.”
The survey also found that over 41% of millennials turn to family for investment advice rather than any professional service offerings available to them. A further 30% said that they would go to their existing bank if they needed advice.
Millennials twice as likely as Generation X to say they would invest via an app, the survey found. This will be reassuring to private banks and wealth managers that have spend large sums developing apps and other fintech services.
