New data suggests that a particular group of wealth advisors is doing a better job when it comes to financial planning
A recent survey on financial advisor productivity revealed credit unions are becoming just as productive as their counterparts at the big bank-owned brokerage firms.
“Although unprecedented, we could have seen this coming,” Tim Kehrer, the director of the survey and senior research analyst at Kehrer Bielan Research & Consulting. “Average financial advisor productivity in our annual survey of credit unions has improved three years in a row, increasing by 27% since 2012 and outpacing productivity growth in our survey of large banks.”
Kehrer Bielan surveyed 917 credit unions with investment services offerings comparing the performance to those of 17 large banks with their own broker dealers.
According to the survey, credit union advisors generated $444,873 in investment services revenue in 2014 compared to $440,073 for bank-owned brokerage firms.
Other significant survey results include a 41% increase in the average number of referrals per advisor in 2014, a 9% increase in households per advisor in 2014, and a 16% increase in gross revenue in gross investment services revenue per advisor, 10 percentage points better than the bank-owned advisors.
"This is the first time in the three years we have conducted the study that average financial advisor productivity in our annual benchmarking survey of investment services in credit unions has exceeded average productivity in our comparable survey of large bank BDs," Tim Kehrer said.
Here in Canada IPSOS recently released its 2015 Best Banking Awards. Credit unions took home a significant number of honours including a tie for best financial planning and advice, the eighth consecutive year a credit union has won this award. IPSOS’s methodology is based on a quarterly customer service index survey of more than 45,000 individuals across Canada which rates as many as 65,000 financial institutions from coast to coast.
“Canadian credit unions remain unique in the ways that they conduct business and serve their customers (members),” said Martha Durdin, president and CEO, Credit Union Central of Canada. “This is reflected in the very core of daily operations through social responsibility and community outreach programs – and resulted in making credit unions what they are today; the cornerstones of community strength.”
“Although unprecedented, we could have seen this coming,” Tim Kehrer, the director of the survey and senior research analyst at Kehrer Bielan Research & Consulting. “Average financial advisor productivity in our annual survey of credit unions has improved three years in a row, increasing by 27% since 2012 and outpacing productivity growth in our survey of large banks.”
Kehrer Bielan surveyed 917 credit unions with investment services offerings comparing the performance to those of 17 large banks with their own broker dealers.
According to the survey, credit union advisors generated $444,873 in investment services revenue in 2014 compared to $440,073 for bank-owned brokerage firms.
Other significant survey results include a 41% increase in the average number of referrals per advisor in 2014, a 9% increase in households per advisor in 2014, and a 16% increase in gross revenue in gross investment services revenue per advisor, 10 percentage points better than the bank-owned advisors.
"This is the first time in the three years we have conducted the study that average financial advisor productivity in our annual benchmarking survey of investment services in credit unions has exceeded average productivity in our comparable survey of large bank BDs," Tim Kehrer said.
Here in Canada IPSOS recently released its 2015 Best Banking Awards. Credit unions took home a significant number of honours including a tie for best financial planning and advice, the eighth consecutive year a credit union has won this award. IPSOS’s methodology is based on a quarterly customer service index survey of more than 45,000 individuals across Canada which rates as many as 65,000 financial institutions from coast to coast.
“Canadian credit unions remain unique in the ways that they conduct business and serve their customers (members),” said Martha Durdin, president and CEO, Credit Union Central of Canada. “This is reflected in the very core of daily operations through social responsibility and community outreach programs – and resulted in making credit unions what they are today; the cornerstones of community strength.”
