While they are financially savvy, they are also open to advice, the report reveals. TIME surveyed 500 people, 250 Generation Z aged between 18 and 26, and 250 Millennials aged between 27 and 42, all with annual incomes of £50,000 and above. To understand how advisors are serving younger clients, the report also includes research with 125 professional financial and wealth advisors.

A positive attitude to saving
The research shows that Millennials and Generation Zs with higher earning power have a very positive attitude to saving, with 94 per cent saying they have cash savings or investments. Many are already holding significant sums: 18 per cent have over £250,000 with a further 10 per cent having between £100,000 and £250,000 and 14 per cent having between £50,000 and £100,0000, the survey shows.

Not only have they already started building their savings portfolio, but they are also committed to doing so every year, with 21 per cent planning to save between £10,000 and £20,000, and 27 per cent targeting over £20,000 per annum, the firm said.

Over half already use a financial or wealth advisor
The study also shows that 56 per cent of respondents use a professional financial advisor or wealth manager. This is being driven firstly, by the need for help when it comes to choosing the best savings and investment vehicles, followed by retirement planning and, thirdly, intergenerational planning such as wealth transfer between parents, spouse and children.

High propensity to seek professional financial advice in the future
Of the 44 per cent who do not already use an advisor, the study shows that they have not done so primarily because they don’t understand what they can offer them, secondly, because they perceive them as too expensive, or, thirdly, have decided they will manage their own finances.

However, 46 per cent of this group said that they were likely to use one in the future and a further 34 per cent said they were unsure. “Our report demonstrates the scale of the opportunity for advisors when it comes to targeting younger generations,” Tom Mullard, business line director (tax) at TIME Investments, said.

“For those who have already achieved significant earning power, there is a huge appetite to save and invest and, indeed, for many to seek advice about how best to do this if they have not done so already. For those who are undecided about using a wealth manager, building relationships and ensuring they see the value of advice and the range of advice that can be given will be key to converting them into long-term clients,” Mullard continued.