Advisors Working with High Net Worth Clients
High net worth relationships are a core segment for virtually all advisors and their practices. Many studies have explored the attitudes and needs of high net worth investors. Yet asset management firms, insurance companies, broker-dealers, custodians, and other service firms have significant interest in understanding how advisors work with HNW clients and the types of education, training, and support of most interest and value to advisors engaged with affluent investors. It is with this context that Practical Perspectives, a leading consulting and research firm, examines advisors and the delivery of support to HNW relationships. This new 73 page, 59 exhibit report offers a fresh data driven view that examines engaging with HNW investors from the singular perspective of financial advisors. The analysis looks in detail at specific elements of working with HNW clients including the extent of engagement with these clients, the types of support typically provided, the challenges of working with these investors, and the sources and support relied on by advisors to enhance relationships with this important audience. Research findings are provided for the overall sample of over 725 financial advisors with separate break outs for RIAs, Full Service, and Independent advisors to help product providers and distributors develop and execute more effective strategies and tactics designed for the particular needs of different types of practices.
High net worth relationships are a core segment for virtually all advisors and their practices. Many studies have explored the attitudes and needs of high net worth investors. Yet asset management firms, insurance companies, broker-dealers, custodians, and other service firms have significant interest in understanding how advisors work with HNW clients and the types of education, training, and support of most interest and value to advisors engaged with affluent investors. It is with this context that Practical Perspectives, a leading consulting and research firm, examines advisors and the delivery of support to HNW relationships. This new 73 page, 59 exhibit report offers a fresh data driven view that examines engaging with HNW investors from the singular perspective of financial advisors. The analysis looks in detail at specific elements of working with HNW clients including the extent of engagement with these clients, the types of support typically provided, the challenges of working with these investors, and the sources and support relied on by advisors to enhance relationships with this important audience. Research findings are provided for the overall sample of over 725 financial advisors with separate break outs for RIAs, Full Service, and Independent advisors to help product providers and distributors develop and execute more effective strategies and tactics designed for the particular needs of different types of practices.
Key Topic Areas
Advisors Engagement with HNW Clients
Advisors Challenges, Sources, and Needs for Support in Working with HNW Clients
To Order the Report
The study is available in PDF format for the subscription price of $4,950.
To order the complete 73 page, 59 exhibit report or for more information, please contact:
Howard Schneider, 978-590-7290 or email howard.schneider@practicalperspectives.com
Introduction and MethodologyHigh net worth relationships are a core segment for virtually all advisors and their practices. Many studies have explored the attitudes and needs of high net worth investors. Yet asset management firms, insurance companies, broker-dealers, custodians, and other service firms have significant interest in understanding how advisors work with high net worth clients and the types of education, training, and support of most interest and value to advisors engaged with affluent investors. Our goal in this new report is to offer a fresh data driven view that examines engaging with high net worth investors from the singular perspective of financial advisors. This in-depth report combines distinct research insights with practical, consulting oriented analysis. The report is written to provide relevant and actionable information for a number of key constituents including asset managers, annuity providers, broker-dealers, custodians, distribution platforms, and other firms interested in helping advisors to work more effectively with high net worth clients.
“Advisors Working with High Net Worth Clients” examines how advisors engage with high net worth relationships. The analysis looks in detail at specific elements of working with high net worth clients including the extent of engagement with high net worth clients, the types of support typically provided, the challenges of working with these investors, and the sources and support relied on by advisors to enhance relationships with this important audience. The report also provides a detailed analysis by key channels to help product providers and distributors develop and execute more effective strategies and tactics designed for different types of advisors and their particular needs.
Among the key questions addressed in this report are:
This report is based on input from a randomly selected cross-section of advisors across key channels. In June 2016, advisors were asked to participate in an online survey regarding working with high net worth clients. More than 725 advisors provided responses that form the basis for this report. Advisors did not receive any compensation for participation in the survey.
In reviewing this report, note that all data presented is sourced through proprietary research unless otherwise noted. Given the confidential nature of the input, none of the respondents is identified by name or firm.
The report breaks out data and findings for the entire sample and for key channels – Full Service, Independent, and RIA. Differences across these channels are explored and analyzed.
Table of Contents
Section I: Executive Summary
Section II: Introduction and Methodology
Section III: The Importance of High Net Worth Clients to Advisors
A. How do advisors define high net worth investors?
B. To what extent do advisors focus on support for high net worth clients?
C. How do advisors position their practice to support high net worth individuals?
D. What share of a typical advisors client base are high net worth investors?
E. How has advisor support for high net worth individuals changed in the past year?
F. How is advisor support for high net worth individuals expected to change in the coming year?
Section IV: Advisors Engagement with High Net Worth Clients
A. What types of services and support do advisors typically provide to high net worth individuals?
B. To what extent do advisors differ in how they support HNW clients versus other relationships?
C. How do advisors typically approach investing for high net worth individuals and what investment vehicles do they use?
D. How satisfied are advisors with the investment options available in working with high net worth clients?
E. What are advisors key investment-related challenges in working with HNW clients?
F. What are advisors attitudes and beliefs in working with high net worth investors?
Section V: Support for Working with High Net Worth Clients: Advisors Challenges, Sources, and Needs
A. How important is it for advisors to have additional support in working with high net worth clients?
B. What are the most significant challenges for advisors in working with high net worth relationships?
C. What sources do advisors turn to for support in working with high net worth individuals?
D. To what extent have advisors used available support for working with high net worth clients in the past year?
E. How useful is support advisors can access for working with high net worth clients?
F. What factors characterize the most useful support for advisors working with high net worth investors?
G. Which specific sources offer the most useful support for advisors related to working with high net worth investors?
H. Which aspects and topics of support are most important for advisors to receive additional assistance going forward related to engaging with high net worth clients?
I. What are advisors greatest needs for support in working with high net worth clients?
J. What changes could improve the usefulness of support related to engaging with high net worth investors?
Section VI: Profile and Characteristics of Advisors
Section VII: Outlook and Implications
List of Exhibits
Exhibit 1: Primary Way Advisors Define High Net Worth Clients
Exhibit 2: Primary Way Advisors Define High Net Worth Clients by Channel
Exhibit 3: Minimum Assets of HNW Relationships Currently Served
Exhibit 4: Minimum Assets of HNW Relationships Currently Served by Channel
Exhibit 5: Advisors Focus on Support for HNW Relationships
Exhibit 6: Advisors Focus on Support for HNW Relationships by Channel
Exhibit 7: Positioning of Practice to Support HNW Clients
Exhibit 8: Positioning of Practice to Support HNW Clients by Channel
Exhibit 9: Percent of HNW Clients Served Among Total Client Base
Exhibit 10: Percent of HNW Clients Served Among Total Client Base by Channel
Exhibit 11: Change in Number of HNW Relationships Served in Past Year
Exhibit 12: Change in Assets of HNW Relationships as Share of Total Assets Managed in Past Year
Exhibit 13: Change in Focus on HNW Relationships in Past Year
Exhibit 14: Change in Number of HNW Relationships Served in Past Year by Channel
Exhibit 15: Change in Assets of HNW Relationships as Share of Total Assets Managed in Past Year by Channel
Exhibit 16: Change in Focus on HNW Relationships in Past Year by Channel
Exhibit 17: Expected Change in Number of HNW Relationships Served in Next Year
Exhibit 18: Expected Change in Assets of HNW Relationships as Share of Total Assets Managed in Next Year
Exhibit 19: Expected Change in Focus on HNW Relationships in Next Year
Exhibit 20: Expected Change in Number of HNW Relationships Served in Next Year by Channel
Exhibit 21: Expected Change in Assets of HNW Relationships as Share of Total Assets Managed in Next Year by Channel
Exhibit 22: Expected Change in Focus on HNW Relationships in Next Year by Channel
Exhibit 23: Services and Support Provided to HNW Clients
Exhibit 24: Services and Support Provided to HNW Clients by Channel
Exhibit 25: Extent Advisors Use Tailored Approach for HNW Relationships
Exhibit 26: Extent Advisors Use Tailored Approach for HNW Relationships by Channel
Exhibit 27: How Advisors Approach Investing for HNW Clients
Exhibit 28: How Advisors Approach Investing for HNW Clients by Channel - Agree
Exhibit 29: Investment Vehicles Used for HNW Clients
Exhibit 30: Frequency of Use of Investment Vehicles for HNW Clients
Exhibit 31: Investment Vehicles Used for HNW Clients by Channel
Exhibit 32: Significant Use of Investment Vehicles for HNW Clients by Channel
Exhibit 33: Satisfaction with Investment Options for HNW Clients
Exhibit 34: Satisfaction with Investment Options for HNW Clients by Channel
Exhibit 35: Investment Challenges Working with HNW Clients
Exhibit 36: Investment Challenges Working with HNW Clients by Channel
Exhibit 37: Attitudes and Beliefs Related to Working with HNW Clients
Exhibit 38: Agreement with Attitudes and Beliefs Related to Serving HNW Clients by Channel
Exhibit 39: Importance of Additional Support/Training to Work with HNW Clients
Exhibit 40: Importance of Additional Support/Training to Work with HNW Clients by Channel
Exhibit 41: Challenges in Working with HNW Relationships
Exhibit 42: Challenges in Working with HNW Relationships by Channel
Exhibit 43: Sources Relied on for Support with HNW Clients
Exhibit 44: Sources Relied on for Support with HNW Clients by Channel
Exhibit 45: Use of Support for HNW Clients in Past Year
Exhibit 46: Use of Support for HNW Clients in Past Year by Channel
Exhibit 47: Usefulness of Support for Working with HNW Clients
Exhibit 48: Usefulness of Support for Working with HNW Clients by Channel
Exhibit 49: Characteristics of Most Useful Support for Working with HNW Clients
Exhibit 50: Characteristics of Most Useful Support for Working with HNW Clients by Channel
Exhibit 51: Sources with Most Useful Support for HNW Clients
Exhibit 52: Sources with Most Useful Support for HNW Clients by Channel
Exhibit 53: Desired Focus of Additional Support for Working with HNW Clients
Exhibit 54: Desired Focus of Additional Support for Working with HNW Clients by Channel
Exhibit 55: Specific Topics for Additional Support for Working with HNW Clients
Exhibit 56: Specific Topics for Additional Support for Working with HNW Clients by Channel
Exhibit 57: Changes to Improve Usefulness of Support for Working with HNW Clients
Exhibit 58: Changes to Improve Usefulness of Support for Working with HNW Clients by Channel
Exhibit 59: Profile and Characteristics of Advisors
Advisors Engagement with HNW Clients
- To what extent do advisors focus on support for HNW investors and position their practices to serve these clients?
- What share of a typical advisors client base are HNW investors and how is support for this audience expected to change?
- What types of services and support do advisors typically provide to HNW relationships?
- How do advisors typically invest for HNW clients including what vehicles do they rely on most?
- What are advisors key investment-related challenges in working with HNW clients?
- How satisfied are advisors with investment options available in working with HNW clients?
Advisors Challenges, Sources, and Needs for Support in Working with HNW Clients
- How important is it for advisors to have additional support in working with HNW clients?
- What are the most significant challenges for advisors in working with HNW relationships?
- What sources do advisors turn to for support in working with HNW clients?
- To what extent have advisors used support and how useful do they find it for working with HNW clients?
- What factors characterize the most useful support for advisors working with HNW clients?
- Which specific sources offer the most useful support?
- What are advisors greatest needs for support in working with HNW clients and what changes could most improve the usefulness of this support?
To Order the Report
The study is available in PDF format for the subscription price of $4,950.
To order the complete 73 page, 59 exhibit report or for more information, please contact:
Howard Schneider, 978-590-7290 or email howard.schneider@practicalperspectives.com
Introduction and MethodologyHigh net worth relationships are a core segment for virtually all advisors and their practices. Many studies have explored the attitudes and needs of high net worth investors. Yet asset management firms, insurance companies, broker-dealers, custodians, and other service firms have significant interest in understanding how advisors work with high net worth clients and the types of education, training, and support of most interest and value to advisors engaged with affluent investors. Our goal in this new report is to offer a fresh data driven view that examines engaging with high net worth investors from the singular perspective of financial advisors. This in-depth report combines distinct research insights with practical, consulting oriented analysis. The report is written to provide relevant and actionable information for a number of key constituents including asset managers, annuity providers, broker-dealers, custodians, distribution platforms, and other firms interested in helping advisors to work more effectively with high net worth clients.
“Advisors Working with High Net Worth Clients” examines how advisors engage with high net worth relationships. The analysis looks in detail at specific elements of working with high net worth clients including the extent of engagement with high net worth clients, the types of support typically provided, the challenges of working with these investors, and the sources and support relied on by advisors to enhance relationships with this important audience. The report also provides a detailed analysis by key channels to help product providers and distributors develop and execute more effective strategies and tactics designed for different types of advisors and their particular needs.
Among the key questions addressed in this report are:
- How do advisors define high net worth investors?
- To what extent do advisors focus on support for high net worth clients?
- How do advisors position themselves to serve high net worth clients?
- How has advisor support for high net worth relationships changed in the past year and how is it likely to evolve further in the foreseeable future?
- What types of services and support do advisors typically provide to high net worth clients?
- How is support for high net worth clients different than the support provided to other investors?
- How do advisors build portfolios for high net worth clients and how satisfied are advisors with investment options available?
- What are advisors key challenges and attitudes/beliefs in working with high net worth investors?
- How important is it for advisors to have additional support in working with high net worth clients?
- What sources and specific firms do advisors rely on for support in working with high net worth relationships?
- How useful is the support available to advisors and what factors characterize the most useful assistance?
- What are advisors particular needs for additional support and which enhancements are of most interest to advisors in working with high net worth clients?
This report is based on input from a randomly selected cross-section of advisors across key channels. In June 2016, advisors were asked to participate in an online survey regarding working with high net worth clients. More than 725 advisors provided responses that form the basis for this report. Advisors did not receive any compensation for participation in the survey.
In reviewing this report, note that all data presented is sourced through proprietary research unless otherwise noted. Given the confidential nature of the input, none of the respondents is identified by name or firm.
The report breaks out data and findings for the entire sample and for key channels – Full Service, Independent, and RIA. Differences across these channels are explored and analyzed.
Table of Contents
Section I: Executive Summary
Section II: Introduction and Methodology
Section III: The Importance of High Net Worth Clients to Advisors
A. How do advisors define high net worth investors?
B. To what extent do advisors focus on support for high net worth clients?
C. How do advisors position their practice to support high net worth individuals?
D. What share of a typical advisors client base are high net worth investors?
E. How has advisor support for high net worth individuals changed in the past year?
F. How is advisor support for high net worth individuals expected to change in the coming year?
Section IV: Advisors Engagement with High Net Worth Clients
A. What types of services and support do advisors typically provide to high net worth individuals?
B. To what extent do advisors differ in how they support HNW clients versus other relationships?
C. How do advisors typically approach investing for high net worth individuals and what investment vehicles do they use?
D. How satisfied are advisors with the investment options available in working with high net worth clients?
E. What are advisors key investment-related challenges in working with HNW clients?
F. What are advisors attitudes and beliefs in working with high net worth investors?
Section V: Support for Working with High Net Worth Clients: Advisors Challenges, Sources, and Needs
A. How important is it for advisors to have additional support in working with high net worth clients?
B. What are the most significant challenges for advisors in working with high net worth relationships?
C. What sources do advisors turn to for support in working with high net worth individuals?
D. To what extent have advisors used available support for working with high net worth clients in the past year?
E. How useful is support advisors can access for working with high net worth clients?
F. What factors characterize the most useful support for advisors working with high net worth investors?
G. Which specific sources offer the most useful support for advisors related to working with high net worth investors?
H. Which aspects and topics of support are most important for advisors to receive additional assistance going forward related to engaging with high net worth clients?
I. What are advisors greatest needs for support in working with high net worth clients?
J. What changes could improve the usefulness of support related to engaging with high net worth investors?
Section VI: Profile and Characteristics of Advisors
Section VII: Outlook and Implications
List of Exhibits
Exhibit 1: Primary Way Advisors Define High Net Worth Clients
Exhibit 2: Primary Way Advisors Define High Net Worth Clients by Channel
Exhibit 3: Minimum Assets of HNW Relationships Currently Served
Exhibit 4: Minimum Assets of HNW Relationships Currently Served by Channel
Exhibit 5: Advisors Focus on Support for HNW Relationships
Exhibit 6: Advisors Focus on Support for HNW Relationships by Channel
Exhibit 7: Positioning of Practice to Support HNW Clients
Exhibit 8: Positioning of Practice to Support HNW Clients by Channel
Exhibit 9: Percent of HNW Clients Served Among Total Client Base
Exhibit 10: Percent of HNW Clients Served Among Total Client Base by Channel
Exhibit 11: Change in Number of HNW Relationships Served in Past Year
Exhibit 12: Change in Assets of HNW Relationships as Share of Total Assets Managed in Past Year
Exhibit 13: Change in Focus on HNW Relationships in Past Year
Exhibit 14: Change in Number of HNW Relationships Served in Past Year by Channel
Exhibit 15: Change in Assets of HNW Relationships as Share of Total Assets Managed in Past Year by Channel
Exhibit 16: Change in Focus on HNW Relationships in Past Year by Channel
Exhibit 17: Expected Change in Number of HNW Relationships Served in Next Year
Exhibit 18: Expected Change in Assets of HNW Relationships as Share of Total Assets Managed in Next Year
Exhibit 19: Expected Change in Focus on HNW Relationships in Next Year
Exhibit 20: Expected Change in Number of HNW Relationships Served in Next Year by Channel
Exhibit 21: Expected Change in Assets of HNW Relationships as Share of Total Assets Managed in Next Year by Channel
Exhibit 22: Expected Change in Focus on HNW Relationships in Next Year by Channel
Exhibit 23: Services and Support Provided to HNW Clients
Exhibit 24: Services and Support Provided to HNW Clients by Channel
Exhibit 25: Extent Advisors Use Tailored Approach for HNW Relationships
Exhibit 26: Extent Advisors Use Tailored Approach for HNW Relationships by Channel
Exhibit 27: How Advisors Approach Investing for HNW Clients
Exhibit 28: How Advisors Approach Investing for HNW Clients by Channel - Agree
Exhibit 29: Investment Vehicles Used for HNW Clients
Exhibit 30: Frequency of Use of Investment Vehicles for HNW Clients
Exhibit 31: Investment Vehicles Used for HNW Clients by Channel
Exhibit 32: Significant Use of Investment Vehicles for HNW Clients by Channel
Exhibit 33: Satisfaction with Investment Options for HNW Clients
Exhibit 34: Satisfaction with Investment Options for HNW Clients by Channel
Exhibit 35: Investment Challenges Working with HNW Clients
Exhibit 36: Investment Challenges Working with HNW Clients by Channel
Exhibit 37: Attitudes and Beliefs Related to Working with HNW Clients
Exhibit 38: Agreement with Attitudes and Beliefs Related to Serving HNW Clients by Channel
Exhibit 39: Importance of Additional Support/Training to Work with HNW Clients
Exhibit 40: Importance of Additional Support/Training to Work with HNW Clients by Channel
Exhibit 41: Challenges in Working with HNW Relationships
Exhibit 42: Challenges in Working with HNW Relationships by Channel
Exhibit 43: Sources Relied on for Support with HNW Clients
Exhibit 44: Sources Relied on for Support with HNW Clients by Channel
Exhibit 45: Use of Support for HNW Clients in Past Year
Exhibit 46: Use of Support for HNW Clients in Past Year by Channel
Exhibit 47: Usefulness of Support for Working with HNW Clients
Exhibit 48: Usefulness of Support for Working with HNW Clients by Channel
Exhibit 49: Characteristics of Most Useful Support for Working with HNW Clients
Exhibit 50: Characteristics of Most Useful Support for Working with HNW Clients by Channel
Exhibit 51: Sources with Most Useful Support for HNW Clients
Exhibit 52: Sources with Most Useful Support for HNW Clients by Channel
Exhibit 53: Desired Focus of Additional Support for Working with HNW Clients
Exhibit 54: Desired Focus of Additional Support for Working with HNW Clients by Channel
Exhibit 55: Specific Topics for Additional Support for Working with HNW Clients
Exhibit 56: Specific Topics for Additional Support for Working with HNW Clients by Channel
Exhibit 57: Changes to Improve Usefulness of Support for Working with HNW Clients
Exhibit 58: Changes to Improve Usefulness of Support for Working with HNW Clients by Channel
Exhibit 59: Profile and Characteristics of Advisors
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