More than half of Americans believe money can buy peace of mind and happiness, but men and women apparently approach those concepts differently, according to a new survey by Boston Private, a wealth management, trust and banking firm based in Boston.
Men are more driven to acquire money for money’s sake, while women are more focused on how money can enhance family life and relationships, according to Boston Private’s survey of 300 United States residents with $1 million to $20 million in investable assets.
The survey examined the reasons people acquire wealth and what that money gives them.
Sixty-five percent of those surveyed define wealth as peace of mind, while 54 percent define it as happiness (with some selecting both), rather than defining it as the material objects it can purchase or the status it brings with it.
Daniel Lash partner and advisor at VLP Financial Advisors in Vienna, Va., whose clients have between $1 million and $10 million in investable assets, said he agrees that wealth can buy happiness. But “I don’t think the wealth itself is what makes you happy. It is what the wealth allows you to accomplish, such as provide for your family, putting a roof over your head, giving you the ability to travel or allowing you to put the kids through college. Those are the things that make us happy.”
Andrew Crowell, vice chairman of wealth management at D.A. Davidson & Co., a wealth management, investment, and financial services company based in Great Falls, Mont., agreed.
“Money in and of itself should be a theoretical concept. It is a relief not to have to worry about it, but when we talk to clients we want to put a face on that happiness,” he said.
Jesse Abercrombie, a financial advisor with Edward Jones in Dallas, noted that it is important for advisors to know how clients feel about money.
“In our introductory meeting, we ask what is important about money for the client and then ask what their goals are. These two things have to be in harmony,” he said.
Knowing what money means to the client “gives the advisor a starting point to talk to clients. Some clients may have a lot of money but not get a lot of happiness out of it,” said Abercrombie, who advises high-net-worth business owners and executives.