Last June, NU reported that more than three-quarters of high net worth investors planned to leave their current financial advisor and that only 2 percent would refer their advisor to other affluent investors.
The low approval rate may have something to do with dissatisfaction among investment advisors themselves. A new survey finds that nearly one in four advisors (23 percent) is at-risk of leaving his or her firm.
These and other findings are included in the “Advisor Channel Migration Trends 2013 Cogent Reports” study from Market Strategies International. The survey polled 1,749 financial advisors and 396 potential “breakaway advisors,” including broker-dealer registered representatives who are likely to move to a new firm in the next 24 months.
National wirehouse advisors at-risk of defection represent the most attractive targets with average assets of $123 million compared to $81 million among potential “breakaway” brokers overall, the survey indicates.