Advisors Will Have To Change Their Approach As Baby Boomers Retire

By 2050, 27% of the population will be over 60 years old and will begin to think about tapping into their assets for retirement income. The baby boomer generation cannot rely on social security for retirement anymore, people are living longer, and health care costs are going up. With these concerns that accompany retirement now, retirees will need more financial advice.

Advisors will need to use a more tactical approach in investments. The priority will shift from trying to grow the assets to taking out the assets that clients will need to live off of for their remaining years.

It will be important for advisors to be more efficient, so technology will be a helpful tool. Advisors can integrate different technology platforms to be more efficient. With the lower asset levels, office tasks will need to be completed faster. It could also be helpful to hire a junior planner who is familiar with technology so that the lead advisor can focus on the client more.

See Diana Britton, Financial Advisors Must Prepare for Coming Retirement Advice Boom, Registered Rep Magazine, Feb. 25, 2011.

Special thanks to Jim Hillhouse (Professional Legal Marketing  (PLM, Inc.)) for bringing this article to my attention.