Rich people want better crypto advice

According to a Capgemini poll, high net worth individuals (HNWIs) — that is people with at least $1 million to invest excluding their main homes and things such as art collections and cars — made excellent returns on investments in 2017, but only around 50 percent of them are happy with the wealth management advice they are being given.

The Capgemini World Wealth Report 2018 reveals that HNWIs increased their collective wealth above $70 trillion for the first time and they are on track to have amassed $100 trillion by 2025.

Despite this, only around 56 percent of millionaires say they are connected “very well” with their wealth managers. This is short of the 70% Capgemini calls a ‘pass grade’.

The report also shows that the ultra wealthy increased their interest in cryptocurrencies in 2017, with 29 percent of millionaires expressing a high degree of interest in buying or holding cryptocurrencies and nearly 27 percent somewhat interested. Significantly, only one third of HNWIs said that they got information about crypto investments from their wealth managers.

The report said: “Although regulatory uncertainty and firm caution have prevented cryptocurrencies from penetrating the wealth management industry, the strong demand for information on cryptocurrencies from younger HNWIs is likely to force wealth management firms to at least develop and offer a point of view during the months ahead.”

Overall, it’s good news for all the blockchain-based startups looking for investments, although the trick will be in getting the information to the HNWIs by finding the best channels for relaying it to them. Perhaps getting more wealth managers on board is one way forward.