Why is this Topic Important to Wealth Managers? Our discussion relates to motivations of clients given the current economic state of affairs. The blogticle presents results from a recent survey relating to current challenges facing wealth managers, as well as what is influencing the way clients are perceiving their retirement and what must be done about it.
Senior Market Advisor, published by Summit Business Media, recently announced the results of its Advisor Survey in the March 2011 issue.
The second annual Advisor Survey published by Senior Market Advisor asked subscribers, licensed insurance and financial advisors serving the wealth planning market, to provide their thoughts on their practice and the state of the industry. Questions included issues that keep them up at night, what marketing strategies are working, and not working in the current economic climate, how new technology has changed the way they do business, whether or not advisors’ relationships with their longtime clients and prospects have changed, as well as the fears their clients are facing.
“We had a fantastic response to our second annual Advisor Survey, with more than 800 advisors participating,” said Senior Market Advisor Editor Daniel Williams. “We received valuable data from advisors and obtained great insights on their challenges, how they are adapting to a changing marketplace, and how they’re finding success with new lead generation techniques.”
Highlights of the Advisor Survey include:
- The #1 thing keeping advisors up at night is Lead Generation, taking the attention away from the economy in last year’s study.
- 59% said that community involvement was their most effective strategy to gain new clients in the current economic climate.
- 49% of advisors say that new technology has increased productivity, while 32% believe it has taken away the personal touch.
Wealth managers were asked: “Where are you having your biggest success right now?”
The survey answers to this question indicated participants specify annuities as still their bread and butter, but nearly a quarter say life insurance is just as important a part of their sales. Other products with particularly high take rates include Med Sups, Medigap and even standard health insurance; group benefits packages; reverse mortgages; funeral trusts; and final expense planning. However, only 7% of respondents say that they are having current success with long-term care insurance.
One interesting question presented to wealth managers by the survey was: “When you are talking to your senior clients, do you feel their relationship or attitude with you has changed over the past couple years?”
- 46% say yes, it has gotten better
- 42% say it hasn’t changed at all
- 18% say yes, it has gotten worse
The survey also indicates that approximately 53% of respondents have a website or a blog. The results presented advice to wealth mangers with regards to social media and electronic marketing; Rick Brooks and Kristen Luke said respectively:
“Develop a detailed social media plan with specific goals you want to achieve with your website content as well as the number of followers and potential clients you want to access through your Facebook, LinkedIn and Twitter pages.”
“Review the content you post online to make sure it remains accurate. Remember—rules and regulations change. Be ready to change with them.”
Perhaps the most interesting perspective the survey presented was aimed at identifying client fears. Wealth managers were asked: “When you talk to your clients, what are the biggest fears they’re dealing with?” They responded:
Outliving their money…65%
State of the economy …67%
Having to work longer than planned…44%
Results were featured in the March issue of Senior Market Advisor, and the complete survey results are available online at SeniorMarketAdvisor.com.
Tomorrow blogticle will continue to address issues surrounding the private wealth management practice including the step transaction doctrine.
We invite your questions and comments by posting them below, or by calling the Panel of Experts.