While millennials currently represent only a small percentage of total investable assets, they are still in the accumulation phase. InvestmentNews believes advisers will have to make accommodations, but believes the changes are worth it to forge deep and long-term relationships with younger clients.
To help make the numbers add up for smaller accounts, Tri-Star is following the lead of other firms by placing lower-cost junior advisers in front of smaller clients. "These clients are growing faster than the more traditional retirement accounts because they have market returns and they're regularly contributing new money," Mr. Swanburg said. "The numbers work when you are bringing in new financial planners, but it wouldn't work if you were bringing on an adviser making $300,000."