Financial advisers expect more help from asset managers as working practices change permanently, says Broadridge study
Financial advisers did not find asset manager wholesalers more helpful in addressing their needs throughout the challenges of the Covid-19 pandemic, accoridng to a new survey of over 400 financial advisors by Broadridge Financial Solutions.
Seventy percent of advisors agree that the pandemic will have a lasting, long-term impact on their practice, challenging asset managers to adapt in order to better serve them.
Among advisors who have returned or plan to return to the office, 58 per cent expect to work at least partially remote one year from now. One in five advisors (20 per cent) are unsure at this point when they will return to the office.
Nearly two-thirds (65 per cent) of advisors find that working from home has been just as effective as working from the office, and 86 per cent report that they have been able to host productive virtual meetings with clients. Millennial advisors have been most successful during the transition to remote working, with 90 per cent able to host productive virtual client meetings and 77 per cent finding working from home to be as effective as working from the office. In terms of prospecting, 77 per cent of Millennials have been able to host productive virtual meetings, while only 58 per cent of Boomers/Seniors say the same.
Only 10 per cent of advisors report that external wholesalers became more helpful as they dealt with pandemic-driven impacts on their business. Almost a quarter of advisors (22 per cent) found that external wholesalers were less helpful in navigating the impacts of the pandemic. Additionally, 32 per cent of advisors report that the number of wholesalers they rely on has decreased compared to two years ago.
"As distribution organisations face the new reality of advisors working from home for an extended period of time, they need to adapt their outreach and support strategies in order to meet advisors where they are – at home and online," says Matthew Schiffman, Principal of Distribution Insights at Broadridge Financial Solutions. "The bar has now been raised, and the video conferencing wall is not coming down. As advisors do more with less, asset managers' distribution strategies need to keep up – whether that means providing market updates, newsletters, webinars, virtual lunches or even creative insight on acquiring new clients."
According to the study, the top three tools that advisors are looking for from asset managers are investment commentary and ideas, portfolio construction support and resources, and marketing and business-building support and resources.