Chasing HENRY, the Hottest New Prospect
Advisor David Edwards tells ThinkAdvisor how his firm attracts and serves clients who are "High Earners, Not Rich Yet"
Forget about “Where’s Waldo?” The search is on for HENRYs. That is, “High Earners, Not Rich Yet.” Forward-thinking advisors are pursuing this millennial subset, a young demographic packed with potential, as New York City-based advisor David Edwards, founder-president of Heron Wealth, told ThinkAdvisor in an interview.
Edwards, managing $295 million in assets, began prospecting for and cultivating HENRYs about four years ago. These clients now bring in 5% of revenue. Why pursue “High Earners, Not Rich Yet”? Because the vast majority of Edwards’ clients are aging baby boomers.
He realized that winning the accounts of folks 25 to 34 years old with lucrative jobs was a smart, necessary move to carry on his successful independent practice once the older generation dies off.
Edwards even has a young certified financial planner on his team who devotes her time exclusively to prospecting for and serving HENRYs.
These men and women comprise a distinct market segment — the term was originally defined with respect to families — whose advisory needs are different from those of their elders. For example, HENRYs are focused on financial planning, grappling with a load of student loan debt and how to save for a house or apartment.
