Investing Barriers By Age and Income
Understanding how investors think based on their life stage, age, and degree of
affluence is crucial to understanding the best ways to individualize financial plans
and advise them during volatile times. The ability to personalize investment
preferences is invaluable in driving real financial impact for your clients. This
is particularly true as the study uncovered that the biggest challenges when it comes
to investing vary by generation and level of affluence.
The study found that not earning enough money continues to be the biggest barrier
for Affluent older generations and spending too much on unnecessary purchases
continues to be the biggest barrier for Affluent younger generations.
For Affluent Boomers, the top five barriers to achieving their financial goals were
(2) unexpected expenses or emergencies, (3) market volatility, (4) taxes, and (5)
healthcare costs. Meanwhile for Affluent older Millennials, the top five barriers
to achieving their financial goals included (2) taking care of dependents, (3) not
budgeting, (4) investment mistakes, and (5) lacking financial knowledge.
2: www.prnewswire.com/news-releases/slickdeals-shares-new-survey-data-showing-americans-spend-324000-on-impulse-buys-in-their-lifetime-300601768.html
The average American
spends $450 per
month impulsively.
Over the average adult's
lifetime, this translates
to $324,000 of impulse
purchases.
2
What are the major barriers preventing you from reaching your financial goals?
Top Three Ranked
Older Generations Younger Generations
Younger Millennials (25-35) Older Millennials (36-44) Gen X (45-56) Boomers (57-65)
Not earning enough
money
26%
22%
33%
31%
25%
29%
28%
29%
20%
27%
24%
22%
22%
20%
25%
17%
19%
20%
19%
27%
19%
20%
14%
23%
13%
15%
15%
23%
6%
7%
12%
20%
22%
22%
24%
10%
16%
18%
19%
16%
16%
18%
15%
8%
15%
13%
13%
9%
13%
18%
9%
7%
14%
12%
8%
7%
15%
11%
8%
3%
16%
10%
6%
4%
10%
6%
6%
2%
Unexpected expenses
or emergencies
Not saving
enough money
Personal debt
Market volatility
Taxes
Healthcare costs
No major barriers
Spending too much on
unnecessary purchases
Taking care of
dependents
Not budgeting
Lacking financial
knowledge
Investment mistakes
Living above means
Impatience
Student loan debt
Auto debt
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