Affluent Investors Ask for Crypto Advice, Yet Advisers Stay Cautious

Wealth managers are the top source of crypto information for affluent investors across 7 major markets, according to a CoinShares study released October 5. Still, roughly 4 in 10 of those who use an adviser in 4 markets view that adviser as too cautious.

Researchers surveyed 2,230 investors based in the US, UK, France, Germany, Italy, Sweden, and Switzerland. All participants had at least $500,000 in investable assets outside real estate.

Firm Policy Keeps Advisers on the Sidelines

The latest findings match an earlier view of adviser sentiment that CoinShares issued in June. That prior study included responses from 261 wealth professionals in France, Germany, Italy, Switzerland, and the UK.

The portion of advisers whose firms either place restrictions on digital assets or offer no clear internal guidance came to 61%. Active recommendations ran from 48% at supportive firms to just 1% at restrictive ones.

Separately, 25% of advisers said they cannot see more than half of the crypto assets their clients hold. Among UK advisers, that figure reached 52%, as was reported at the time.

The October report supplies more detail from the poll. Advisers named volatility, cited by 56%, and the speculative character of crypto, cited by 52%, as the main reasons clients hold back.

Investors Admit Knowledge Gaps and Look for Expert Help

The investor poll shows a more committed picture. The share of respondents who already own digital assets ranged from 54% to 70%, varying by market, according to the new study.

Across the 7 markets, 71% to 91% of current holders also intend to add exposure this year. Yet 88% admit they do not have enough knowledge to invest with complete confidence.

Given that gap, 69% said they would consider hiring a wealth manager familiar with crypto. Of current holders open to advice, 98% would be willing to pay for it. In the US and UK, wealth managers lead most other sources by 25 to 30 points on trust.

When the June survey came out, CoinShares CEO Jean-Marie Mognetti described the adviser gap as a commercial risk for firms.

“Clients did not wait for permission. Every month a firm remains silent, more of its clients’ wealth migrates beyond its advice, its visibility and ultimately its economics,” Mognetti said.

In the earlier study, advisers said regulatory recognition, cited by 45%, and access to exchange-traded products, cited by 43%, would most boost their confidence.

Across the 5 markets covered by both surveys, investor demand now runs up against the policy barrier that the June survey identified.