Finding Sustainable Growth With Next-Gen Clients

According to a 2022 study from Cerulli Associates, ensuring multigenerational wealth transfer is one of the most
significant concerns affecting advisors today.* The same study found less than half of advisors (42%) offer
intergenerational planning despite the potential $72.6 trillion wealth transfer expected from 2021 through 2045.

Read on to learn how a two-pronged approach can help differentiate your firm from most of your peer group while
fostering a loyal client base of multiple generations. And contact your Beacon Capital Management representative to hear
other ways Beacon can help.

ESTABLISHING AN INTERGENERATIONAL PLANNING PROCESS

When it comes to the wealth transfer planning process, your clients are more inclined to be reactive rather than
proactive, usually reacting to a death or a health issue. Unfortunately, the moment when they become ready to involve
their financial advisor in the process can be too late for meaningful action.

Generation Z: Born 1997 to 2012 Millennial: Born 1981 to 1996 Generation X: Born 1965 to 1980 Baby Boomer: Born 1946 to 1964 Silent Generation: Born 1928 to 1945

So, the approach to building your next generation of clients is to help current clients be proactive in planning to
transfer their wealth while establishing a process to connect with their beneficiaries.

DEFINING THE NEXT GENERATION

Your messaging and services must align with your client objectives, especially during a demographic shift. To work
effectively with your clients and understand the next generation of clients for your firm, segment your clients and
their children by age, using the Generation Grid shown as a basis for your segmentation.

UNDERSTANDING THEIR CONCERNS

Understanding generational differences can help you connect with the next generation before any wealth transfer by
offering pertinent advice when the time is right. The box below summarizes concerns by generation and outreach ideas.

Generation	Concerns	Outreach Ideas
Millennial	Paying Off Debt Saving for an Emergency Retirement Real Estate	Review of Benefits Cash Management or Budgeting Financial Planning Ideas for New Parents
Generation X	Planning for Retirement Caregiving Challenges College Debt	Elder Care Planning Education Funding Asset Accumulation Strategies
Baby Boomer	Retirement Income Healthcare and Insurance Costs	Medicare Planning Asset Protection Strategies

ESTABLISH A PROCESS FOR ENGAGING THE NEXT GENERATION

A two-pronged approach is recommended to strengthen relationships with clients’ children; educate clients on the
importance of having heirs involved in wealth planning, and establish a process of connecting with clients’ children.

• Review your clients’ beneficiaries annually, not just their names and addresses but details about their Connect
  on social media to see life events in real time. Then, record the information in your CRM.
• Create opportunities to engage with younger generations on topics relevant to For example, offer a benefits
  review for children of clients who just graduated and are starting their first jobs.
• Consider education events if you have a group of beneficiaries of a similar age or experiencing the same life
  For example, host an event on financial planning for new parents. If you have a younger advisor in your office,
  suggest they host the event.
• Identify 10 – 15 clients with children you could reach out to, and set a goal to increase this number every
  year.

There is no doubt that developing a process and client experience that helps build longstanding multigenerational client
relationships can lead to sustainable business growth. Contact your Beacon representative to find out how your office
can receive resources to help with campaigns to use with different generations of ‘Next-Gen’ clients.

* Cerulli Associates, “U.S. Advisor: 2Q 2022 – Demographics,” Issue #75

For more ideas and resources for growing and scaling your advisory business, contact
your wholesaler today.

FOR ADVISOR USE ONLY. NOT INTENDED FOR CONSUMER SOLICITATION PURPOSES.

Beacon Capital Management, Inc. is an investment adviser registered with the Securities and Exchange Commission.
Additional information about Beacon Capital Management is also available on the SEC’s website at www.adviserinfo.sec.gov under
CRD number 120641. Beacon Capital Management only transacts business in states where it is properly registered or
excluded or exempted from registration requirements.

Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale
or purchase of any specific securities, investments or investment strategies.

Sammons Financial^® is the marketing name for Sammons^® Financial Group, Inc.’s member companies,
including Beacon Capital Management^SM. 

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