Years of effort by financial advisors to retain younger heirs during the "great wealth transfer" have yet to produce the intended results. As reported by Wealth Management, two newly released surveys show that a significant number of heirs plan to sever ties with their parents' or grandparents' advisors once they receive an inheritance.

The Harris Poll reported that 43 percent of heirs of high-net-worth Americans aged 55 or older intend to switch advisors after receiving assets, even if they generally like the current advisor. Another 15 percent remain undecided, while 42 percent plan to stay. Similarly, Cerulli Associates found that 52 percent of affluent heirs do not plan to keep their benefactor's advisor, and even among the 48 percent who do, many of those relationships could prove temporary.

According to Wealth Management, the surveys revealed that younger investors, particularly Gen Z and millennials, often reject family loyalty as a reason to stay with an advisor. Instead, they cited specific shortcomings, including:

• Different investment philosophy (38 percent)
• Misaligned values (33 percent)
• Lack of trust in decision-making (26 percent)
• Limited personal connection (26 percent)
• Questions about integrity (25 percent)

Younger heirs also reported preferences for ESG and impact investing, as well as higher expectations for digital and transactional services. While only 5 percent of older investors expect digital interaction with advisors, 17 percent of younger investors do. Conversely, younger generations placed less emphasis on traditional hands-on services.

Financial Advisor Transitions consults advisors nationwide to explore employment transition options and to preserve and protect their practice in any transition that they make.