There are a lot of millionaires in the United States. More than ever, in fact, according to recent research published by London-based market research firm TNS. But are they turning to financial advisors for help? Well, yes, and no.
TNS recently reported the number of millionaire households (those with $1 million in net worth, excluding primary residence) has risen for the fourth consecutive year to a record high of 9.3 million — a 5 percent increase from the previous year. California happens to be home to four of the top 10 counties in number of millionaires. See the table below.
But here's the rub: Not only are the rich getting richer; they're getting more independent. Online trading among millionaires who have Internet access rose to 32 percent, a 45 percent jump over the last five years, TNS found. Of those who do not use a financial advisor, 46 percent said, “I feel I do better managing my own money,” while 31 percent said, “the wealth of information [available to me] makes a professional advisor unnecessary.“
Still, it's not all bad news: 60 percent of millionaires continue to obtain investment advice from a professional financial advisor. A recent Investment Company Institute survey also showed most mutual fund investors turn to financial advisors when selecting a mutual fund and drawing up a financial plan.
|The 10 counties in the U.S. with the highest number of millionaires||Number of millionaire households||Millionaire households as % of total state households||Millionaire households as % of total U.S. millionaire households|
|1||Los Angeles County, CA||268,136||23%||3%|
|2||Cook County, IL||171,118||40||2|
|3||Orange County, CA||116,157||10||1|
|4||Maricopa County, AZ||113,414||62||1|
|5||San Diego County, CA||102,138||9||1|
|6||Harris County, TX||99,504||16||1|
|7||Nassau County, NY||79,704||13||1|
|8||Santa Clara County, CA||74,824||6||1|
|9||Palm Beach County, FL||71,221||11||1|
|10||King County, WA||68,390||33||1|