Opportunities for wealth managers in the growing gig economy

The rise of gig workers represents a disruptive force in wealth management that presents both challenges and opportunities. As gig workers don’t have access to employer-sponsored benefits, it can often be a challenge to get them to engage in the wealth management industry. In fact, a global study of gig workers found that 44% aren’t saving for anything and 22% only save on occasion. At the same time, gig workers tend to be more involved in their own personal finances, presenting a consumer segment for wealth managers to engage with.

To do so, wealth managers will first need to understand how and why individual workers select particular types of gigs, which will allow them to analyze the implications of those choices and begin predicting what each gig worker’s financial needs are. They will also need a combination of new and existing capabilities, with clear strategies and the ability to build effective external partnerships as well as human and machine touchpoints that best suit each investor’s needs and preferences.

Source: www.ey.com