The Builder segment was also less likely to have a plan to save for their children’s education or to have knowledge about smart beta ETFs.
Builders “need greater financial education” and are more likely to have a “high sensitivity to fees,” Global X said.
The “Cautious Consulters”—Gen X investors with between $100,000 and $500,000 in net worth—were 33 percent more likely to use a human broker or advisor than the survey average and 38 percent more likely to be saving for retirement.
Cautious Consulters were also 55 percent less likely than other segments to treat trading as a hobby and 16 percent less likely to feel comfortable building a portfolio.
Global X said that Cautious Consulters “are focused on long-term investment goals” and “will require extra ‘hand-holding’ in explaining portfolio construction.”
The survey was conducted by ORC, which interviewed 2,250 investors aged 21 to 48 with at least $100,000 in investable assets in the second quarter.