This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Wealthy Seek Holistic Advice --Yet Current Advisor Handles Less than Half of their Assets

By Hal M. Bundrick

NEW YORK ( MainStreet)--Nine out ten wealthy investors want to work with an advisor who considers their entire financial picture, yet their current advisor handles just 43% of their assets. A new study released by Charles Schwab reports that one-third of respondents say their desire for investment advice has increased in the past year. That sound you hear? Financial advisors picking up the phone to call their clients.

Advice and the Affluent Investor: A Study of Attitudes and Behavior, surveyed more than 1,000 affluent Americans who receive some form of professional financial advice. Fully three-quarters of those surveyed said they are most confident making investment decisions when they collaborate with their investment professional, while one-third admitted they feel that same level of confidence when going it alone.

70% of those surveyed work with a single advisor and trust the individual (72%) more than the firm (42%) - while 10% trust no one.

"Regardless of how much and how deep the advice, today's affluent investors have one thing in common: they want a trusted expert on their side looking at the big picture on their behalf," says Bernie Clark, executive vice president and head of Schwab Advisor Services.

Additional highlights of the survey include:
  • 54% of all respondents prefer to pick and choose specific areas for which they will pay for advice, while 46% prefer to pay one fee for advice that addresses their entire portfolio.
  • 52% want a solution that has worked successfully for other people like themselves, while 48% want an investment professional who provides a custom solution for their unique situations.
  • 53% want to work with an investment professional who makes changes to their portfolios when they are needed -- based on the market and their needs -- while 47% prefer someone who lets them know when they should consider making changes to their portfolio, along with the rationale for those changes.
  • 72% say they just want someone who can answer simple questions about investment choices, and a similar number (70%) say they want to have access to a team of professional advisors with expertise in taxes and legal issues such as trusts and wills.
  • Half of the respondents said they feel investing is a chore, and only 11% identify themselves as advanced investors. More than two-thirds feel they have intermediate skills in investing while 21% identify themselves as having beginner skills.
  • While receiving advice and guidance from an advisor, most (59%) say they make all of their own decisions, while 38% preferred someone to make investment decisions for them "without getting very involved."

--Written by Hal M. Bundrick

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $92.99 -0.67%
FB $118.15 0.08%
GOOG $698.78 0.44%
TSLA $213.35 -4.10%
YHOO $37.01 2.80%


Chart of I:DJI
DOW 17,691.94 +40.68 0.23%
S&P 500 2,055.03 +3.91 0.19%
NASDAQ 4,734.1640 +8.5250 0.18%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs