Investors Want Gender-Neutral Advice, Hartford Funds Survey Says

WAYNE, Penn.--(BUSINESS WIRE)--Hartford Funds today released new data indicating that more than half of investors (52%) agree that men and women have different financial needs, but only 24% want to work with a financial professional who tailors advice based on gender.

The top areas where respondents feel men and women have different needs include career considerations (60%), long-term care planning (56%), and budgeting (55%). Despite these differences, 46% say men and women should receive the same educational material on financial topics.

Despite indicating different financial needs, men and women have similar marketing preferences

When it comes to receiving marketing materials from a financial professional, both men and women rank email as their top choice followed by website and printed brochure. Within those mediums, they both value materials that are easy to understand (52%) above all else, followed by materials that emphasize an individualized plan (37%), and showcase how sound investment advice and decisions help support lifestyle goals (31%).

“While there’s been a lot of conversation in the financial services industry about gender’s role in finance, one thing is clear: Investors want sound, personalized advice,” said Julie Genjac, Managing Director of Applied Insights at Hartford Funds. “Financial professionals must account for the different realities that men and women face without compromising the quality of advice, customization of plans, or client service.”

Reaching The Next Generation: Lifestyle-Oriented Materials And ESG Considerations

Younger generations (Gen Z and millennials) feel more strongly than older generations (Gen X and baby boomers) that men and women have different financial needs (65% vs. 46%), but they mutually agree that financial advice should not differ based on gender (53% vs. 52%). Still, younger generations are more likely to have received gendered marketing materials compared to older generations (29% vs. 9%).

“When financial professionals think about the future of client acquisition, an understanding of their clients’ lifestyle goals will be key for marketing to millennials and Gen Z,” said Genjac. “The next generation of clients has more options than ever when it comes to financial advice, and marketing strategies need to reflect that reality.”

When it comes to receiving marketing or prospecting materials, both generations rank email as their top choice (27% for younger generations vs. 32% older generations). Younger generations list social media as their secondary preference (23%), followed by a website (18%), TV advertisement (9%), and printed brochures (5%). After email, older generations list a website (22%), printed brochure (21%), TV advertisement (9%), and video (5%).

When considering product-related offerings, both generations primarily value materials that highlight long-term growth, followed by those that communicate investment goals, and then those that track performance against a well-known benchmark. While materials that communicate a product’s environmental, social and governance (ESG) considerations follow lower on the list, they are much more important to younger generations than older (32% vs. 17%).

On February 24, Hartford Funds will be releasing a new episode of its Human-centric Investing Podcast during which Genjac discusses the findings and examines what they mean for financial professionals.

 

Survey Methodology

Hartford Funds fielded a survey around investors’ preferences for receiving financial advice and marketing materials. The survey of 904 consumers whose household income is $75,000+ or household’s total investable assets are $75,000+ was conducted online by Engine’s CARAVAN® between November 1 to November 5, 2021.