Financial Advisors Counsel Clients to Stay the Course Amid Heightened Stress about Market Volatility

American financial advisors report that clients are more stressed about market volatility and retirement planning today than they were five years ago. Despite macroeconomic factors, advisors say they're unlikely to recommend changes to clients' financial plans in response to tariffs, geopolitical uncertainty, and market volatility. However, 59% of advisors anticipate financial planning will become more integrated into their practices as market fluctuations and wealth transfer conversations continue. This increased focus on financial planning is expected to lead to increased adoption of comprehensive ongoing planning advice, with 51% of advisors currently offering such advice and expecting this number to rise to 59% in the next two years.

Key Takeaways:

70% of American financial advisors say clients are more stressed about market volatility today than they were five years ago.
43% of advisors report clients are more stressed about retirement planning today than they were five years ago.
Only 47% of advisors would recommend changes to clients' financial plans in response to tariffs, 41% in response to geopolitical uncertainty, and 41% in response to market volatility.
74% of American financial advisors say the majority of their clients remain optimistic about their financial futures despite heightened stress.
Advisors increasingly see financial planning as a key aspect of their practice, with 51% currently offering comprehensive ongoing planning advice and expecting this number to rise to 59% in the next two years.
30% of advisors view financial planning resources as one of the most valuable elements their firm provides.
51% of advisors say clients initially engaged with them because of inherited assets, highlighting the importance of wealth transfer conversations in the advisory landscape.
The most important factors that lead to a financially fulfilled life vary by generation, with owning a home for Millennials (60%), retiring as desired for Gen X (45%) and Baby Boomers (49%), and leaving a legacy for Silent Generation clients (71%) being significant considerations.
Two-thirds of American financial advisors (69%) say their clients want to pass on financial responsibility and literacy to their family members.
To have a successful wealth transfer, advisors recommend clear estate planning documents that reflect current values or goals (47%), open and transparent communication with heirs (34%), and minimizing tax liabilities (33%).
The most commonly used methods for inheritance are investment or retirement accounts (92%), trusts (74%), and real estate (60%).
The Edward Jones Generations offering, launched earlier this year, provides comprehensive financial planning designed to meet high-net-worth clients' complex needs.

Statistics:

59% of American financial advisors anticipate financial planning will become more integrated into their practices in the next two years.
51% of advisors currently offer comprehensive ongoing planning advice, expecting this number to rise to 59% in the next two years.
30% of advisors view financial planning resources as one of the most valuable elements their firm provides.
51% of advisors say clients initially engaged with them because of inherited assets.
Two-thirds of American financial advisors (69%) say their clients want to pass on financial responsibility and literacy to their family members.
92% of advisors say investment or retirement accounts are commonly used methods for inheritance.
74% of advisors say trusts are commonly used methods for inheritance.
60% of advisors say real estate is commonly used methods for inheritance.
47% of advisors recommend clear estate planning documents that reflect current values or goals for a successful wealth transfer.
34% of advisors recommend open and transparent communication with heirs for a successful wealth transfer.
33% of advisors recommend minimizing tax liabilities for a successful wealth transfer.

Sources:

Edward Jones website at https://www.edwardjones.com
Cerulli Associates website at https://www.cerulli.com
Original text at https://www.edwardjones.com/us-en/why-edward-jones/news-media/press-releases/pona-fa-survey