Nearly 70% of investors say they are partners with their financial advisers when making financial decisions, according to the second-quarter John Hancock Investor Sentiment Survey, a quarterly poll of affluent investors.
However, only a quarter accept their adviser’s recommendations. Among those
who have listened to their adviser, 34% say the value of their investments has
increased substantially due to their adviser’s recommendations.
The primary reason investors work with an adviser is to manage their
investments, cited by 70%. Two-thirds have a financial adviser to develop a retirement
plan, 50% to produce a comprehensive financial plan for major life events and
goals, and 20% rely on their adviser to make recommendations in the event of
death, disability, critical illness or other risks.
As to how they would like to interact with their adviser, 70% say face to face,
with nearly as many indicating speaking over the telephone. Only 5% want to
communicate with their adviser via text messages, 2% over video chat, and less
than 0.5% through social media or podcasts. Asked how their association with
their financial adviser could be improved, 30% say more in-person interaction
and 20% say regular electronic updates about their account.
Greenwald & Associates conducted the survey for John Hancock among 1,064
investors from May 11 to May 22. To qualify, respondents had to
participate in their household’s financial decision-making process, have a
household income of at least $75,000 and assets of $100,000 or more.