MDRT annual meeting update: And the survey says… income affects attitude

Roadblocks to family wealth planning and their solutions What’s on the mind of one of Canada’s most experienced insurance advisors? (June 26, 2003) How much an advisor takes home in pay directly impacts his or her perception of the financial advice industry, according to a recent survey commissioned by industry leader John J. Bowen Jr.’s […]

By Sheila Avari | June 26, 2003 | Last updated on June 26, 2003
3 min read
  • Roadblocks to family wealth planning and their solutions
  • Canadian advisors find value in conference’s non-financial elements
  • And the survey says… income affects attitude
  • Best practices attract the masses
  • BONUS TOOL: Advisor.ca time management worksheet Back to MDRT Annual meeting coverage main page

    But there were other concerns that emerged from the CEG survey:

    Concern #1: Finding wealthy clients, a concern that affects the majority of advisors, especially those in the independent broker/dealer channel. “The highest earning advisors have fewer, but wealthier clients compared to their less successful peers.”

    Strategy: Focus on affluent, private clients by defining your goals and creating a vision. Narrow your focus and specialize on a target market. “Many elite advisors target markets that have plenty of money in transition such as divorces, inheritances, settlements or saleable assets,” Bowen explained. “Target markets make it easier to get referrals.”

    Concern #2: Another concern for the advisors surveyed was book size. Generating significant asset growth was the number-one concern for more than 90% of brokers, dealers and investment advisors.

    Strategy: Use an investment consulting process. The difference between selling products and offering a consultative service is that the latter brings home a higher income, Bowen noted. What services do the high net worth want? “The service most desired by the affluent is assistance with asset allocation,” Bowen noted. Financial and estate planning falls second and tax planning is a distant third.

    Concern #3: The more financially successful advisors report working with a top wholesaler to be a primary concern. As advisors earn more, there is a greater interest in partnering with institutions more effectively.

    Strategy: Partner smartly with institutions. Affluent clients expect holistic financial planning and expect that you will offer a wide array of services. “You will have to outsource many services, especially those that are not part of your core expertise,” Bowen noted. “This allows you to maintain the critical client focus that gives you an edge over your competition and it means that the partners you choose may be the single most important factor in your success.”

    • • •

    Filed by Sheila Avari, Advisor’s Edge, savari@rmpublishing.com.

    (06/26/03)

    Sheila Avari

  • What’s on the mind of one of Canada’s most experienced insurance advisors?
  • Roadblocks to family wealth planning and their solutions
  • Canadian advisors find value in conference’s non-financial elements
  • And the survey says… income affects attitude
  • Best practices attract the masses
  • BONUS TOOL: Advisor.ca time management worksheet Back to MDRT Annual meeting coverage main page

    But there were other concerns that emerged from the CEG survey:

    Concern #1: Finding wealthy clients, a concern that affects the majority of advisors, especially those in the independent broker/dealer channel. “The highest earning advisors have fewer, but wealthier clients compared to their less successful peers.”

    Strategy: Focus on affluent, private clients by defining your goals and creating a vision. Narrow your focus and specialize on a target market. “Many elite advisors target markets that have plenty of money in transition such as divorces, inheritances, settlements or saleable assets,” Bowen explained. “Target markets make it easier to get referrals.”

    Concern #2: Another concern for the advisors surveyed was book size. Generating significant asset growth was the number-one concern for more than 90% of brokers, dealers and investment advisors.

    Strategy: Use an investment consulting process. The difference between selling products and offering a consultative service is that the latter brings home a higher income, Bowen noted. What services do the high net worth want? “The service most desired by the affluent is assistance with asset allocation,” Bowen noted. Financial and estate planning falls second and tax planning is a distant third.

    Concern #3: The more financially successful advisors report working with a top wholesaler to be a primary concern. As advisors earn more, there is a greater interest in partnering with institutions more effectively.

    Strategy: Partner smartly with institutions. Affluent clients expect holistic financial planning and expect that you will offer a wide array of services. “You will have to outsource many services, especially those that are not part of your core expertise,” Bowen noted. “This allows you to maintain the critical client focus that gives you an edge over your competition and it means that the partners you choose may be the single most important factor in your success.”

    • • •

    Filed by Sheila Avari, Advisor’s Edge, savari@rmpublishing.com.

    (06/26/03)