Losing AUM to beneficiaries?

Based on an article from Investments & Wealth, 70% of children switch financial advisors after their parents pass away.

If you are not feeling this pain now, you soon will.

The “Great Wealth Transfer” is upon us. In the United States, approximately $84T is expected to transfer from the Baby Boomer generation to Gen X and Millennials over the next 10 years.

The big question is, how are you attracting and retaining your clients’ children?

At Tykr, we solve a few problems for RIAs, including the generation of more leads at a lower cost, converting more prospects to long-term clients, gaining visibility to self-directed held-away accounts, and attracting and retaining future generations.

Here is a high-level overview of how we help RIAs attract and retain future generations.

How we approach this is by giving people what they want.

Most people want to do some sort of investing on their own. In fact, there are over 300 million retail investors on just the top 25 brokers globally. And based on a study by eMoney, 23% of individuals who work with a wealth manager are also investing on their own through some of these popular brokers, including Schwab, Fidelity, E*TRADE, Robinhood, etc.

At Tykr, we found that as people continue to increase their wealth, they become more nervous about losing their money and require the assistance of a wealth manager. Yes, they still want to invest some money on their own, but the majority of their capital will remain with their wealth manager.

Now a key question to ask is, how are wealth managers empowering self-directed investing while at the same time encouraging individuals to continue working with an advisor? In most cases, they are not sure how to answer that question. Another question is, how are wealth managers encouraging their clients' children to get engaged with their firm so that when the parent passes away, there is a lower probability that the children will switch advisors? This is another question that is typically hard to answer.

That’s where Tykr comes in. Here are a few key features of Tykr:

Simplified Rating System — Tykr provides a simplified rating system inspired by the traffic light, where stocks are either On Sale (Green), Watch (Gray), or Overpriced (Red). Tykr gives self-directed investors the analytics and education to confidently invest in Stocks, ETFs, and Mutual Funds.

Broker Connections — Tykr is connected to over 30 different brokers and banks, including Schwab, Fidelity, E*TRADE, Robinhood, Interactive Brokers, Chase, Bank of America, Capital One, Moomoo, Webull, and more. The broker connection feature allows investors to sync their broker to Tykr, which automatically updates their portfolio every day. At the same time, this feature gives RIAs visibility into held-away account activity.

AI Investing — Tykr integrated OpenAI with Tykr’s powerful algorithm, creating an AI experience you won’t find anywhere else. The “AI Investing Helper” allows investors to learn how to invest, build portfolios, and analyze a current portfolio in seconds!

Lead Generation on Autopilot — Clients may invite their children and friends to Tykr for free! This allows RIAs to generate more leads with less effort and motivate future generations to become engaged with the firm early. In other words, let technology introduce the clients to your firm so you can build relationships early.

The Great Wealth Transfer is here. Once your clients start passing away, have you thought about how you will retain the AUM?

If you would like to learn more, please visit tykr.com or email sean@tykr.com.