People who are successful at generating and saving money over their lives share certain traits described in “The Millionaire Next Door,” so looking for those who exhibit such behaviors can be a great way to evaluate prospective clients, a new report from Data Points contends. Here are the attributes of those with high and low wealth potential, based on an assessment Data Points gave to 494 individuals who are household financial decision makers.
I can do it!
Those with high wealth potential recognize they have what it takes to build wealth. More than 85% of those who are most likely to be wealthy said they manage finances better than others. About 21% of those with low wealth potential had this confidence
Future is bright
Nearly 80% of those with high net worth potential said they are satisfied or very satisfied with their likely future financial situation, as opposed to 27% of those with a low potential for wealth.
Put in elbow grease
People with high wealth potential spend a significant portion of time planning for their financial future. More than 60% of high potential respondents said they did this, compared with 21% of those with low wealth potential.
Show investing smarts
Those with high wealth potential recognize buying opportunities. About 31% of people on the high end said they put money into the stock market during the early September 2015 market dip, while 10% of those on the low end did so.
Ready to walk
High wealth potential respondents report it would be easy to walk away from any type of professional who doesn’t provide excellent service. About 72% of high potential people said they “find it easy” or “very easy” to leave such professionals, compared to 48% of those with low wealth potential.
Proud of progress
About 81% of those with a high potential for being wealthy said they are satisfied with the way their household manages its finances today, while less than a quarter of low wealth potential respondents said they are content with their current household financial management.
High wealth potential respondents are living within their means. More than 85% of them rarely or never use savings to cover monthly bills, while only 32% of those with low wealth potential can claim this responsible spending habit.