New research from Cleo, an AI-driven financial assistant, reveals that members of Generation Z are leaning heavily on artificial intelligence and family as they navigate a raft of challenges in handling their money.
According to the survey, a significant 61 percent of Gen Z respondents are using AI tools to manage their finances, and 51 percent rely on parental advice. At the same time, less than 15 percent of that young cohort say they seek out financial information from banks.
The tendency towards discussing financial concerns with machines rather than friends or advisors also showed up in another survey Cleo conducted in May, where 7 percent of Gen Z participants said they feel most comfortable having conversations with a financial assistant app. That survey also found over two-thirds of Gen Z (72 percent) find it difficult to talk about their finances, with 40 percent stating they would never discuss their debts with others.
Cleo’s latest survey paints a challenging portrait of Gen Z, with 61 percent of respondents admitting they sometimes feel like they’re running out of money and need to ask for help. Underscoring family’s continuing influence in their financial decisions, the same percentage of respondents said their parents or guardians managed their finances up until they entered college.
Generation Z savers are apparently keeping a tight handle on their finances, with 63 percent of those surveyed saying they have a monthly budget that they track regularly. That doesn’t mean they don’t have financial regrets, however, as 80 percent reported buyer's remorse over non-essential purchases outside their budget, neglecting to pay bills, and not contributing to savings goals, among other reasons.
While just under three in five (58 percent) claimed they rarely buy things on impulse, 40 percent admitted to spending between $100 and $200 monthly on non-essentials.
A from Cleo in March offered another peek into how Gen Z is altering their spending habits. That research found 79 percent of respondents have changed their spending behavior in the past one to two years, with two-thirds now prioritizing food, travel, entertainment, electronics, fashion or beauty, and personal fitness. Still, saving remains a priority for many, with 73 percent of respondents putting aside money regularly, and 40 percent doing so on a weekly or monthly basis.
Merrill's latest hires span Colorado to Louisiana, even as industry-wide recruiting data suggests the firm is losing almost as many advisors as it gains.
The $36 million buy allegedly hid inflated books and a $50 million diversion.
“An award citing emotional distress is very unusual,” an industry executive said.
New EBRI research found workers who participated in employer financial education reported higher confidence, literacy and financial satisfaction.
Beyond operational excellence, the winning advisors of the future are the ones who can reach across multiple disciplines without discarding specialist skills.
Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains
Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income
