New research from Cerulli Associates shows that advisory firms targeting ultra-high-net-worth (UHNW) households increasingly rely on concierge and lifestyle services to differentiate themselves and deepen client relationships. According to Financial Advisor News, Cerulli defines an UHNW practice as one in which more than half of the client base holds at least $20 million in net worth. Although these families make up only 0.3 percent of U.S. households, they control nearly a quarter of all financial assets.
According to the report, 58 percent of UHNW-focused advisors incorporate concierge and lifestyle support into their offerings, compared with 31 percent of firms serving the broader high-net-worth market. Cerulli associate director Chayce Horton noted that firms create the most value when they advise across the entire balance sheet while giving clients access to both financial and nonfinancial specialists. According to Financial Advisor News, Horton emphasized that advisors seeking to serve as a family's core provider must deliver solutions that reach every part of the client's life.
As firms add more comprehensive services, many reassess their compensation models. Financial Advisor News reports that basis-point fees remain common, but the wealthiest households often trigger additional charges, particularly for time-intensive services. Cerulli found that 36 percent of firms charge more for concierge and lifestyle support, 44 percent impose additional costs for tax planning, preparation, and compliance, and 54 percent charge more for trust administration and trustee services. Horton explained that expanding services requires a parallel adjustment in revenue to maintain profitability and preserve flexibility for highly customized client needs.
According to Financial Advisor News, the research shows that 37 percent of UHNW clients are entrepreneurs or business owners, 24 percent are inheritors, and 13 percent are corporate executives. Firms align their offerings with these clients' shared needs, which often include foundation management, trust and administration services, risk management, and private banking. Among UHNW-focused advisors, 74 percent offer foundation management, 67 percent offer trust and administration services, 63 percent provide risk management, and 61 percent provide private banking.
Financial Advisor News emphasized that investment access also plays a key role. All surveyed UHNW-focused advisors offer private equity products, compared with 80 percent of broader high-net-worth firms. Direct investments remain highly sought after as well, with 88 percent of UHNW practices making these opportunities available.
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