Interest in using a financial advisor has increased in 2020 which is being reported by a number of organizations, including very interesting statistics from MyPerfectFinancialAdvisor.
In late 2019, we published the article “How Much Money Do You Need Before Hiring a Financial Advisor? , which in its first few months was viewed by our typical number of readers. However, beginning in March, the article started to be read much more than our average piece. In fact, over the past several months it garnered a significant increase in views and over the past three weeks it is up over 470% from the month of October.
The timing of the March increase of interest coincides with the pandemic expansion, but some surveys show surprising changes going on in the minds of certain consumers and investors. A survey completed in late April by Northwestern Mutual Life of 2,077 U. S. Adults shows that younger people for the first time are seeking a financial advisor. Moreover, over 20% who already have a financial plan with a financial advisor are reviewing and updating the plan due to the financial uncertainty of 2020.
According to the report there were many reasons for the new-found interest in hiring a financial advisor. Among them include this being the second time Millennials encountered hardship caused by an outside event, dipping into savings, borrowing from family and even being forced to borrow from retirement accounts, which most advisors strongly suggest avoiding.
According to Google Trends, investors searching for an advisor on the internet increased 17% in 2020 versus 2019. In addition, for those advisors who already have an advisor, their outreach to their investment professional increased substantively. These increases are notable because the acquisition of financial advice has been one of laggards when it comes to using the internet to find a new provider. Clearly, Covid-19 has forced consumers to shop for advice from home, and avoid face to face interaction, with tools like Zoom making it easier to feel comfortable.
With more than 80% of Americans not having sufficient savings to weather a financial crisis, and the prospects of the pandemic stretching well into 2021, even with the promising recent results of vaccines, it is prudent for consumer and investors to seek professional guidance.
We believe that every investor and consumer, regardless of how wealthy and experienced or not, can benefit from the guidance of an objective, licensed financial advisor.
www.MyPerfectFinancialAdvisor.com is the premier matchmaker between investors and advisors using personalized data, proprietary algorithms, and deep industry experience.