Technology, personalization in focus for advisors amid wealth transfer risks

Technology, personalization in focus for advisors amid wealth transfer risks
Orion surveys reveal how advisors' tech investments could be a make-or-break factor for retaining millennial clients.
FEB 04, 2025

A pair of new survey reports from Orion offers fresh insight on how advisors are investing in technology, and the role that could play in preparation of the ongoing generational wealth transfer.

Orion unveiled the findings from its third annual Advisor Wealthtech Survey and its first-ever Investor Survey at the Orion Ascent conference in Orlando, Florida.

The data show that while most investors are satisfied with their advisors, many are open to switching firms when inheriting wealth.

In its advisor survey report, Orion found 54 percent of financial professionals plan to increase their technology investments in 2025, with the average respondent planning to raise their tech investment by 19 percent. That emerged as a strong 84 percent majority of advisors said they are prioritizing personalized financial advice.

Roughly two-thirds of advisors (68 percent) said they already use AI-powered tools, with nearly half of that group planning to expand AI investments. The survey research also alluded to the pain of fragmented technology among advisors. With advisors reporting that only 55 percent of their technology is currently integrated, 42 percent of respondents said they would invest in more integrated workflows. 

“As the industry faces economic policy and market uncertainties in 2025, advisors are fully committed to their clients’ success,” Natalie Wolfsen, CEO of Orion, said in a statement revealing the findings. “Advisors are not just meeting the demands of their clients; they are going ‘all in’ by focusing on highly personalized service and solutions, investing in integrated technology, and optimizing their back office to free up time.”

Meanwhile, Orion's investor survey revealed that 95 percent of investors are satisfied with their financial advisors, with 63 percent reporting they are very satisfied. However, 18 percent of investors said they are likely to switch advisors if they inherit between $500,000 and $1 million; the intention to cut ties rises to 24 percent for inheritances of $1 million or more.

The data also suggests generational differences in satisfaction and technology preferences. While 70 percent of baby boomers reported being very satisfied with their advisors, only 55 percent of millennials said the same. Millennials are also the most likely to switch advisors after receiving a significant inheritance, with respondents expressing a 37 percent likelihood of finding a new advisor upon receiving $1 million or more.

The report suggests digital engagement could be the best way to reach Gen Y as 44 percent of millennials expressed interest in mobile apps from their advisors, compared to 32 percent of Gen X and 16 percent of boomers. Millennials also showed a strong interest in discussing new investment opportunities (56 percent) and discussions seeking guidance to understand their financial goals (31 percent).

“As we navigate the largest generational wealth transfer in history, it's crucial for financial advisors to be proactive with clients who anticipate receiving a sizable inheritance,” said Chris Shutler, Orion’s head of strategy. “This is the time for advisors to increase communication, engage in comprehensive planning, and build trust to better serve their clients during these pivotal moments.”

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