The modern investor has evolved and offers significant opportunity for advisors. But truly understanding and reaching the modern investor requires a broad perspective. While great focus has been given to the rise of millennial and Generation Z investors, proactive advisors should look beyond age – and the traditionally affluent marketplace – and consider race:

  • According to the CNBC, citing data from the Selig Center for Economic Growth, black buying power was $1.4 trillion in 2019, and it’s projected to grow to $1.8 trillion by 2024.1
  • A Nielsen study reports that black households earning $75,000 or more per year are a fast-growing segment that will have more influence going forward than ever before.1

The upcoming wealth transfer by baby boomers will be the largest in our history, and there are many in black and brown communities who will benefit from this shift of wealth. This is a turning point for the industry, where advisors can truly deliver on helping to make financial wellness a reality for everyone, across populations. To make a difference, you must be willing to step out of your comfort zone and build a bridge between firm goals, diverse internal talent, improved team dynamics, and client engagement and outreach.

Inclusivity, active community engagement, education, and support are part of future business models that will flourish as they connect in relevant, approachable ways to reach underserved communities and today’s modern investor. Simple actions to put into practice include:

  • Actively involving clients in the planning process to inspire confidence and trust.
  • Demonstrating empathy and openly discussing concerns related to finances to make emotional connections.
  • Offering virtual learning opportunities to enhance financial literacy.
  • Personalizing your communication with an understanding of each individual investor’s situation and goals.
  • Cultivating diverse talent among your team.
  • Automating routine tasks to focus more on client engagement and lead generation.
  • Leveraging technology to appeal to modern investors and diverse hires.
  • Leveraging gamification to increase engagement.
  • Looking for opportunities to make a difference in local communities.

Lack of diversity isn’t a new problem in the wealth management space. The problem is prevalent, and widespread and lasting change will not happen in a vacuum. Join us on February 24th to learn about the modern investor and the importance of intentionally building a diverse team. I’ll be joined by Dani Fava, Head of Strategic Engagement at Envestnet, and Cameo Robertson, AAMS®, Chair of the NAPFA Diversity & Inclusion Initiative. Register now.


  1. Dana L. Wilson, “The Importance and Impact of Recruiting and Serving Black and Latinx Financial Planning Professionals,”, last modified on December 2020,


Soraya Morris, ChFC®, Lead Trainer, Envestnet | MoneyGuide

With over ten years of experience, Soraya Morris is responsible for the development and delivery of live and virtual MoneyGuide trainings. Prior to joining Envestnet | MoneyGuide, Soraya worked in Client Services at several Fee-Only RIA firms.

The information, analysis and opinions expressed herein are for informational purposes only and do not necessarily reflect the views of Envestnet. These views reflect the judgment of the author as of the date of writing and are subject to change at any time without notice. Nothing contained in this piece is intended to constitute legal, tax, accounting, securities, or investment advice, nor an opinion regarding the appropriateness of any investment, nor a solicitation of any type.

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