Updated on June 1, 2018
How Investors can Win Millennials
Millennials are champions for social change, but there’s a glitch—they’re skeptical of financial services like investment. While some strategic investment companies will benefit from it, some complacent ones will clearly not. How can you exclude yourself from the latter? As said by a donor Brian Gaister knows, it takes more than saying “I’m here to help you.”
Why invest in Millennials?
Millennials are suspicious of Gen X or Baby Boomer investors. According to a poll by Harris in the U.S., sponsored by the investing app Stash, Millennials think investing is really confusing and that the normal investor is an “old white male.”
Also, despite their indirect involvement in financial matters because of depressing wages, you can’t underestimate their impact and indirect power over the market and business market. Millennials are influencing global investment because of three main factors: new ventures, peer-to-peer collaboration, and investing that impacts the society and the environment. These three could compete with or even surpass traditional investment companies.
However, even though they’re doubtful of financial services, there has been a significant change in Millennials’ interest for sustainable investing this year. According to Morgan Stanley, 38% of millennial consumers and investors are now being more interested in championing sustainability in their investment decisions.
Simply put, Millennials are catalysts for change. They defy and define trends today—years from now, these trends will also shape future market trends. Investors and companies must take note of how to win their hearts and minds.
If you’re an investor who’s interested in Millennials, you have to develop trust in your relationship with the Millennials in your investment transactions.
Here’s how you can win them over:
Practice stellar governance practices
Good governance is also a good investment. Poor governance affects private investment, which is one of the fund resources millennial startup owners depend on. While it’s usual that startups usually vouch for investors, a startup owner with a huge potential would definitely ensure their new company to an investment company who has A’s in governance.
Spend more energy on shareholder engagement
Even though Millennials want access rather than ownership, the latter is usually an exception rather than a rule. This means they respect collaboration. Millennials trust investment companies that know how to maintain a good relationship with their shareholders. Shareholders influence major decisions. Their constant involvement implies there’s leverage, which is a good sign of effective business approach in shareholder engagement.
Identify your values
There is no perfect company, but how you try in being socially responsible matters. Millennials care about companies that advocate for policies that positively impact the environment and the society. Financial and investment companies should define their advocacies and commit to it.
For example, Mr. Brian Gaister is a CIMA-certified financial advisor for wealthy families. He supports the Jewish community and the poverty-stricken teen parents in Generation Hope. Mr. B Gaister is one good example to follow because Brian Gaister’s company culture is socially impacting.
Also, a fellow donor Brian Gaister knows today, who’s also an investor, is a staple in Jewish Community. A donor Brian Gaister also associates himself with is a regular presence in the Donor’s Honor Roll in Bender Jewish Community Center (JCC) of Greater Washington (GW). If an investor associates themselves with like-minded fellows with good social morals, they can attract more Millennials.
In conclusion, Millennials will drive the investing trend in today’s and the future’s investing and market trends. If you don’t want to get left behind, you better join the trend or risk losing a great investment.