Financial Affluence on the Rise?
It seems that the dubbed “affluent” of the population here in the United States has grown over the past few years, despite the economy being in the toilet so to speak. Who knows why the affluent sector has grown during hard economic times, but it is said that mostly the blue collar class has suffered the most during the current administration, and I’d believe it with this new story. The group of affluent investors is defined currently as investors with an investable net worth of at least $500,000.00. This means their assets that are liquid and able to be invested, not tied up in loans or anything else that can be termed a liability I guess.
It is said that about 9 million households in the US right now have about a net worth of one million dollars or more, which is a substantial increase from previous years, signalling either it’s easier to make a million bucks now, or simple inflation has made it easier for people to amass that previously coveted million dollars. It seems a million dollars isn’t as much as it used to be!
What does this mean for the financial services industry? Well, it means that they are getting more clients who want to accomplish long term financial goals, and may also be making more commissions or fee based money off of people since a larger segment of the population seems to have excess money that they need to be making money off of instead of letting it sit and stagnate.
You may even fall into this category. Many entrepreneurs are taking flight nowadays too, since it seems to be everyones dream to not work for the “man” and to be able to be free of corporate restraints and all the other BS that often comes along with having a full time job. This mentality being on the rise may also account for the recent increase in self made or otherwise made “millionaires” or half millionaires, so to speak.
