A major generational shift in wealth is underway, with Millennials and Gen Z increasingly taking control of their finances and looking to build smart, digitally enabled investment portfolios.
Following 2025’s Autumn Budget announcement on ISA reform – to encourage greater flows of money into higher-growth investments like stocks and shares – the need for wealth managers to adapt in line with shifting demographics will be even more critical next year. The firms that move quickly to transform their services to bring genuine value to customers of all ages will be the ones likely to see most success in 2026 and beyond.
- Advanced analytics and AI to support a high-quality digital experience
Investors today increasingly look for a digitally enabled experience, with human advisors available where it matters most. While many firms are already investing in digital tools, legacy systems limit the ability to deliver the truly seamless, intuitive experience that clients expect. Firms must respond to these challenges as opportunities – implementing strategies to modernise systems while maintaining core processes and leveraging emerging tech – such as advanced data analytics and AI – to streamline customer interactions and ultimately add value that helps the business to grow.
- Inclusion of alternative assets in portfolios
Digital assets and tokenisation have the potential to usher in a new generation of investment products that are both more efficient and more accessible. The EY Global Wealth Survey (2025) found a third of UK millennial and 36% of Gen X investors are looking to diversify into alternative assets. Following the FCA’s newly-published guidance on the regulation of the UK crypto market, wealth firms will be looking to capitalise on clearer UK regulation to offer more flexible opportunities for clients, and safely capture the next wave of growth in a digital-first investment ecosystem.
- Greater accessibility to investment guidance
With the FCA’s targeted support rules announced at the end of 2025, and the regulator’s wider Advice Guidance Boundary Review (AGBR) expected in early 2026, next year will be a pivotal milestone in filling the UK’s investment advice gap. A recent EY survey (2025) showed over half (54%) of young adults have never sought financial advice or guidance, partly because they believe they do not have enough savings to warrant it. In reality, everyone – no matter their age or financial status – can benefit from financial guidance to ensure they are making the most of their money now, and setting themselves up for the future.
Many wealth firms are already leveraging big data and advanced analytics to fill this gap. But while these tools can unlock value, businesses can’t generate insights if they don’t have solid, integrated data foundations in place. This will be a priority in 2026 – consolidating data, so rather than being fragmented or sat on a legacy platform, it is accessible and actionable on one compliant system.
By Roopalee Dave, EY UK Wealth Leader
