In an undercover audit of Boston-area financial advisors, three economists wanted to find out if financial advisors undo or reinforce the behavioral biases and misconceptions of their clients. “We document that advisors fail to ‘de-bias’ their clients and often reinforce biases that are in their interests,” the authors found. Sponsored by the National Bureau of Economic Research, Harvard economist Sendhil Mullainathan, Markus Noeth of the University of Hamburg and Antoinette Schoar of the MIT Sloan School of Management hired actors to pose as clients and display self-defeating investment behavior. The study focused on retail advisors at the lower end of the wealth spectrum and did not include private wealth managers or hedge funds. The specific firms and advisors were not named.
A survey of advisors nationwide reveals how the use of ETFs is expanding and what factors are likely to further support this trend.
ThinkAdvisor's TechCenter is an educational resource designed to give you a competitive edge by keeping you abreast of new tech innovations and need-to-know information that can be applied to your business.
Your resource for news, research and analysis to help you deliver more effective outcomes to your clients.
Simplify life for your clients with goals-based planning strategies
What your female clients need to know about long-term care.
How to use digital marketing to increase appointments.
Nov 02, 2017
Join this conversation as a panel of experts provides tips and best practices to optimize your tech resources for business growth.
Oct 25, 2017
Join this complimentary webcast to discover how to leave the impression that employee benefits is stodgy and sluggish in the past.
Sep 28, 2017
Women face unique retirement challenges. We can give you key considerations and strategies to help you optimize your female clients’ Social Security. In this webcast, you’ll...