For Elite Advisors, Relationship Development Extends Beyond Clients To Firm Management

Monday, April 23, 2012 12:08
For Elite Advisors, Relationship Development Extends Beyond Clients To Firm Management

Tags: client acquisition | client communications | independent broker-dealers

A recent white paper highlights the role of broker-dealers in helping advisors stay on top of their game in what it takes to acquire affluent clients.The industry is changing not only from an advisor-client perspective but from an internal infrastructure perspective.

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Today’s client-advisor relationships are a departure from the single dimensional relationships of brokerage firm days. Clients expect advisors to offer them a depth of knowledge across the industry. They also expect them to be resources for areas outside their particular area of expertise.  
There has to be a different infrastructure within firms to facilitate this. Broker dealers need to provide training but they also need to provide a collaborative atmosphere that fosters introductions, referral alliance partners, intimate social events, and strategic networking.
The white paper shows that few industry veterans are recognizing this new way of functioning. They are stuck in their own way of doing things and have not recognized that the needs of clients have changed since the 2008 crisis. The attrition they are experiencing as a result along with their aging client base is putting their practices at risk.
Forty percent of clients with more than $5 million are not happy with the level of service they get. Advisors whose businesses are growing spend more time developing relationships with clients and wish their broker-dealers would provide more opportunities for skills development to attract affluent clients.

Comments (2)

Am I missing something? Where is the paper? Who wrote it? How does this help me?
FrankArmstrong , April 23, 2012
The white paper is "Growing Your Business In a New World" and was published by Oechsli Group and First Clearing. Here's the link:

This helps you because of the significant number of clients with meaningful asset levels who are not happy with the level of service they get. It's not just talking about brokers at wirehouses.

It also helps you when you look for the right broker-dealer. You want one that is willing to help you get new business. Having a relationship with the firm, in that sense, is every bit as important as the relationships you develop with your clients because the broker-dealer can facilitate the growth of your business.

Clients are demanding a different level of service and advisors who do not recognize that and reinvent their businesses accordingly will be left behind.
lisagray , April 24, 2012

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