Financial advisors to high-net-worth investors spend a lot of time on estate planning, but might be overlooking the tax planning services their clients want, according to the inaugural “Advisor Trends Survey” from asset management firm BlackRock.
The survey, which included 1,000 advisors working across multiple channels, found that estate planning (67%), customized retirement planning (64%), charitable giving (60%), intergenerational planning (58%) and concentrated stock solutions (57%) topped the list of services advisors are offering to high-net-worth clients.
At the same time, the majority of advisors (62%) find estate planning a time-intensive service, even compared to liquidity event planning (which 43% view as time-intensive) and concentrated stock solutions (24%). Additionally, 43% of advisors stated that they wish to enhance their estate planning knowledge and capabilities.
While the vast majority of advisors (92%) say high-net-worth clients often ask them about tax planning, only 17% view taxes as the primary driver in their portfolio construction. High-net-worth investors tend to be concerned about capital gains taxes, estate tax planning, tax-efficient investment management and income tax liability, among other tax-related issues. However, while 81% of surveyed advisors use tax loss harvesting, fewer than 63% incorporate tax-exempt investments, prioritize tax-efficient vehicles in taxable accounts, monitor tax distributions, or employ tax-aware rebalancing. Even fewer engage in tax-efficient asset location or meet holding periods to minimize short-term gains.
“As high-net-worth wealth rises, advisors face a clear mandate—deliver more personalized, tax-managed solutions,” said Jaime Magyera, head of BlackRock’s U.S. wealth and retirement businesses, in a statement. “Our research shows advisors are increasingly customizing model portfolios with SMAs and private markets to meet the complex needs of wealthy clients. However, the findings reveal a notable gap in what clients say they need help with and what advisors offer. The advisors positioned to grow will be the ones who create capacity for deeper relationships and modernize how they deliver investment, planning and retirement outcomes.”
Model Construction
Today, the majority of financial advisors (89%) use model portfolios, with 50% saying they plan to increase the share of AUM they have invested in models next year. More than three-fourths of advisors (85%) stated that models enhance consistency, efficiency and the client experience. In addition, a large majority (79%) stated that using models helps free up their time to interact with clients. In comparison, 55% noted that model portfolios enable them to deliver value to high-net-worth investors.
Advisors who serve high-net-worth clients are significantly more likely to incorporate SMAs into their model portfolios, at 51% compared to 37% of advisors who do not serve high-net-worth clients. They are also more likely to incorporate private market options (28% vs. 16%) and liquid alternatives (24% and 15%).
Overall, 56% of advisors had allocations to private markets in 2025, a 7% increase from 2023. By 2027, an estimated 69% of respondents will likely have private market allocations, according to survey results. However, average portfolio allocations remain at 7%, with 66% of advisors citing a lack of liquidity as their primary concern regarding private market investments.
Millennial Advantage
BlackRock found that advisors from the millennial generation are more likely than older advisors to provide services that cater to high-net-worth clients who hold large equity positions, have tax-sensitive planning needs or require enhanced diversification. Additionally, 63% of millennial advisors provide concentrated stock solutions compared to 55% of Gen X advisors and 53% of baby boomer advisors. And 55% of millennial advisors provide direct indexing and tax-management overlays, while 45% of Gen X advisors and 34% of baby boomer advisors do so. In addition, 52% of millennial advisors offer access to private market investments, compared to 48% of Gen X advisors and 40% of baby boomer advisors.
Millennial advisors are also more likely than older advisors to offer high-net-worth clients services centered on risk management, charitable giving, intergenerational wealth planning and liquidity event planning. For example, 67% of advisors in that age group provided risk management vs. 58% of Gen X advisors and 50% of baby boomers. Another 64% of millennial advisors offer intergenerational wealth planning, compared to 54% of Gen X advisors and 61% of baby boomer advisors.
BlackRock surveyed 1,023 advisors based throughout the country between Aug. 22, 2025, and Sept. 7, 2025. Independent research firm Escalent fielded the survey. An overwhelming majority of the surveyed advisors (92%) work with high-net-worth clients. Also, 33% of the respondents work at RIA firms, 27% at national broker/dealers and wirehouses, 22% at independent broker/dealers and 13% at regional broker/dealers. The remaining 4% were bank broker/dealers.
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