Channel Preferences of Mass Affluent Investors

November 2019 | In Person, Online, and Mobile | Asset Management Platforms - Traditional, Automated, and Hybrid | Non-traditional Providers; Role of Fintech

The mass affluent sector continues to be an important segment for relationship expansion and revenue opportunities. Although definitions of “mass affluent” vary, Phoenix Synergistics uses investable liquid assets of $100K to $1M as the criteria for examining these households. Mass affluent customers have become even more attractive in recent years with the long-lasting bull market. Future strategies, however, must consider developments such as market corrections and changes in interest rates.

The channel behavior and preferences of the mass affluent should be of particular interest to financial services providers. There is a conventional wisdom that younger consumers in this segment are attracted to technology-driven solutions—such as robo advisors. However, other findings emphasize the value and importance of face-to-face contact and interaction for certain financial needs. Hybrid advisors or platforms, often developed by fintech players, combine automation for investment transactions with a degree of personal advisory contact and are often being touted as the “next big thing” to serve the needs of this market.

Underlying all of these developments is the ever-growing usage of mobile channels and the implications this has for product design, communication tactics, and account acquisition. This study examines the financial activity, behavior and perceptions of the mass affluent market.


National Survey

A total of 1,000 national online interviews will be conducted with consumers age 18 or older with investable assets of $100K to $1M.

Project Report

The final report, available in late November 2019, will present results of a Phoenix Synergistics in-depth analysis of national survey results. It will feature a Strategic Insights commentary examining channel preferences of mass affluent investors.

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