According to Fidelity, although Registered Investment Advisors (RIAs) currently make up a majority of the business, the change recognizes the evolving role trust institutions and third party administrators (TPAs) also play in meeting the wealth management needs of investors.
According to research conducted for Fidelity, the majority (70%) of millionaires work with at least one financial professional, and an additional 13% report they are likely to start working with one over the next 12 months, the release said. In addition, assets in personal trusts are expected to increase from $3 trillion to $7 trillion by 20102, while increased flows into TPAs has resulted in a market share increase from 28% in 200 to 35%.
“The growing reliance on workplace retirement plans, the maturing of the Baby Boomers, and greater consumer demand for access to sophisticated wealth management products and services is driving the evolution of our clients’ businesses,’ said John W. “Jack’ Callahan, president, Fidelity Institutional Wealth Services, in a news release.
In conjunction with the name change, Fidelity Institutional Wealth Services announced the launch of a new brand advertising campaign. The campaign includes print and online ads, direct mail, and a redesign of the company’s Web site – http://fiws.fidelity.com.
Fidelity Institutional Wealth Services was established in 1992 and provides trading, custody and brokerage services to RIAs, trust institutions and TPAs. The company custodies more than $290 billion in assets on behalf of approximately 3,800 clients.