Retirees and pre-retirees age 55 and over now account for 82% of funds under advice from financial planners.
An aging population and generational wealth differences have made retirees and pre-retirees the pre-eminent markets for financial planners.
And they are will become more important in the future, according to a report from leading wealth researcher Investment Trends.
Based on an in-depth survey of 798 financial planners between October and December 2013, the report reveals that retirees and pre-retirees now make up 66% of financial planning clients and account for 82% of planner funds under advice.
With the number of retirees and pre-retirees set to grow from 6.2 million to 7.9 millionover the next 10 years, according to the ABS, their economic importance will continue to increase.
“In 2013, for the first time, retirees held half of all planner funds under advice, up from 46% just 12 months earlier,” said Investment Trends Senior Analyst Recep Peker.
“With the first wave of baby boomers only just reaching retirement age, retirees and pre-retirees will continue to demand higher levels of planning support for decades to come.”