Outsourcing investment management has the ability to improve financial advisers’ client engagement and lower stress levels.
The findings are from a survey commissioned by wealth management technology provider AssetMark Financial Holdings.
AssetMark polled 702 financial advisers for the study. Of the surveyed advisers, 560 outsource their investment management activities and 142 currently do not outsource such activities.
Of the advisers polled, more than two-thirds said that outsourcing supports the client acquisition process.
At the same time, 98% of the advisers opined that outsourcing enables them to offer better investment solutions. The survey also found that:
- 84% of the advisers said that outsourcing facilitates improved oversight of portfolios.
- 87% said the benefits of outsourcing investment management met or exceeded expectations.
- 78% percent of the advisers wish they had started outsourcing investment management sooner.
- 79% of outsourcing advisers intend to raise the percentage of outsourced assets.
AssetMark chief solutions officer Natalie Wolfsen said: “Prior to this study, there had been little documented evidence of how outsourcing positively impacts financial advisers.
“In today’s competitive landscape, outsourcing enables advisers to increase capacity, gain scale and enhance their personal wellbeing – all while staying on top of a shifting regulatory landscape.”