INSPEREX SURVEY: REFERRALS DRIVING BUSINESS, JUST NOT WITH NEXT GEN INVESTORS

• Unsolicited Referrals Fueling New Client Acquisition for Financial Advisors in 2025 • Majority of Advisors Admit They Don’t Have Relationships with Next Gen Investors – But Volatility Creates Opportunity

JUNE 30, 2025 – Delray Beach, FL According to the InspereX 2025 Advisor Pulse Outlook Survey of 829 financial advisors, the top three sources for new clients in 2025 are all referral-based, with unsolicited referrals leading the way by a significant margin.

More than three-quarters of financial advisors (76%) report that receiving referrals without asking has resulted in attracting new clients in 2025.  The next most effective sources of new client acquisitions are asking existing clients for referrals (38%) and receiving referrals from other professionals (38%).

 

Despite the heightened focus on the “Great Wealth Transfer” that will occur as members of the Baby Boomer generation pass down their life savings to their Gen X, Gen Z and Millennial children, most advisors (57%) admit they don’t yet have relationships with the children of most of their clients.

  

“The power of the referral continues to drive growth for advisors,” said Chris Mee, InspereX Managing Director, Head of WMS Wholesaled Distribution.  “It says everything about the importance of service, communications, and commitment – clients appreciate it and reward their advisors with referrals.”

 

Mr. Mee continued: “Periods of market volatility create an opportunity for advisors to proactively offer their expertise to the adult children of their clients, even if just as a courtesy or to answer questions about the markets. If your clients are worried about the markets, their adult children may be as well. Establishing a relationship with the next generation of your clients built on education and insight could be a worthwhile investment for advisors seeking to retain assets that will be changing hands over the next two decades.”

 

Volatile Markets and Anxious Clients a Challenge

 

With trade and geopolitical tensions fueling an uptick in market volatility throughout much of 2025, advisors report that the biggest challenges facing their practice include:

 

·         Calming anxious clients (23%)

·         Keeping up with the market changes (23%)

·         Communicating value to clients (15%)

·         Communicating value to prospects (9%)

 

Against this backdrop, the activities that are taking up most of their time are:

 

·         Proactively reaching out to clients (34%)

·         Managing portfolios (21%)

·         Responding to client concerns (17%)

·         Prospecting and marketing (15%)

·         Internal planning or operations (10%)

 

Notably, when asked to identify what portfolio strategies clients are requesting more now than in previous years, 32% of advisors said clients are seeking options that will add downside protection to portfolios, 17% said there is heightened interest in alternative investments, and 14% said they’re receiving more requests for access to private credit.

 

“It’s great to see advisors working closely with clients through this period of heightened market uncertainty, but waiting to hear from the children of your clients might best be described as the triumph of hope over experience.  Advisors need to be more proactive if they want to retain client assets across generations.”

 

About the Survey – View Survey Report

 

InspereX is the tech-driven fixed income and structured products distribution and trading firm. The InspereX Pulse 2025 Outlook Survey was conducted between May 12-19, 2025 by Red Zone Marketing on behalf of InspereX. The 829 financial advisor respondents work at independent broker/dealers, RIAs, banks, regional firms and wirehouses. During the survey period, the S&P 500 high was 5968.61, the low was 5786.08 and it closed at 5963.60 on May 19.

 

About InspereX

InspereX was founded in 1999 by Tom Ricketts, now our Chairman as well as the Executive Chairman of the Chicago Cubs. We pioneered delivering innovative, institutional-quality strategies and offerings to the retail market, and we’re now an industry leader in underwriting, marketing, and distributing a wide range of fixed income investments, structured products, and ETFs. Our ground-breaking investments, distribution, education, and technology have been recognized with dozens of awards. InspereX represents more than 400 issuing entities, distributes to more than 1,500 partners, and has distributed more than $800 billion in new issue securities. The firm has seven trading desks and more than 180 employees with offices in Delray Beach, Florida; Santa Monica, California; Charlotte, North Carolina; Chicago, IL; and New York, NY. 

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