New Report from Data Points Shows How Behavioral Science can Predict Tomorrow’s Millionaires
Atlanta, GA (PRWEB) February 16, 2016 -- Data Points LLC, an Atlanta-based behavioral analytics firm, today released its Financial Behaviors & Wealth Potential Report, providing an unprecedented look at how its technology-enabled assessments can identify future high net worth clients. The report concludes that individuals with a high propensity to build wealth can be found across age, income, and net worth groups using assessments based on the research of Dr. Thomas J. Stanley, author of the financial best seller, The Millionaire Next Door. Nearly 500 household financial decision makers were included in the analysis.
“The financial services industry is challenged to determine who will be a high-value client in the future,” said Data Points’ president, Sarah Stanley Fallaw, Ph.D. “Our report demonstrates the usefulness of behavioral-based assessments in identifying wealth potential across target markets and with individual clients.”
Key findings from the report include:
• Firms can identify high wealth potential individuals in mass affluent and mass market groups by assessing critical money-related behaviors.
• Over 85% of high wealth potential respondents indicated they manage finances better than others, and nearly 80% of them indicated they are satisfied or very satisfied with their future financial situation.
• Over 70% of high potential respondents indicated they find it easy to leave professionals who do not provide excellent service.
• During the September 2015 downturn in the stock market, 10% of low wealth potential respondents, those whose behavioral patterns were not conducive to building wealth, put money into the stock market, while 31% of high wealth potential respondents did so.
• Less than 25% of low wealth potential respondents indicated being satisfied with the way their household manages its finances, leaving a large opportunity for products and services to address this concern.
• Fewer low wealth potential respondents (21%) indicated spending a significant amount of time planning for their financial future, while more than 60% of high potential respondents indicated they did so.
Firms and advisors can use the Data Points platform to assess the wealth potential of prospective and current clients. “By joining 40 years of data on wealth-building behaviors with the latest in assessment technology, Data Points’ platform is changing the nature of how financial services firms identify and develop client wealth potential,” said Dr. Fallaw. “Data Points has automated the way firms and advisors get to know the critical wealth-building behaviors of their clients while also providing a roadmap to building wealth for clients looking to improve their financial outlook.”
About the study: In September 2015, 494 respondents who were responsible or jointly responsible for their household finances completed Data Points’ assessment of wealth potential, which measures confidence, sense of responsibility, indifference to social trends, and frugality. Respondents answered questions about specific financial behaviors and experiences. Based on Data Points’ normative database, wealth potential groups were analyzed to determine their use of financial services, satisfaction, and financial management actions.
For a copy of the Financial Behaviors & Wealth Potential report, please visit http://www.datapoints.com/research.
About Data Points
Data Points links real life experiences and behaviors to a person’s ability and propensity to build wealth. Our solution combines the latest assessment methods with behavioral factors identified from nearly 40 years of research on the wealthy that fueled the New York Times best-selling books The Millionaire Next Door and The Millionaire Mind. The Predicting Wealth™ system from Data Points gives financial firms powerful insight into client behaviors and wealth-building potential. Our patent-pending technology delivers automated assessments, performs analysis, and generates feedback to drive wealth and financial management success.
Danielle Reid, Data Points, http://www.datapoints.com, +1 678-389-5559, [email protected]
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