A research study suggests that as age and wealth increases loyalty especially to advisors tends to grow with the ultra-high net worth investors having the highest level of loyalty.
Ultra high net worth investors feel they are the most loyal, as do those aged 65 and over.
One possible reason for this could be that due to the increased amount of time financial advisors will spend with those with higher wealth. With higher wealth comes the need for more number of products and services. Therefore, as wealth increases, loyalty to financial advisors increases as well.
Overall, investors dependent on their financial advisors feel they are more loyal, while professionals are the least likely to feel they are currently more loyal, the study showed. Affluent investors believe they are currently at the same level of loyalty as they have been in the past.
As advisor-dependency increases, loyalty to financial advisors and financial institutions increases as well. Loyalty does not vary greatly by occupation, with a few exceptions.
The percentage that would move with their advisor is higher among millionaires and ultra-high net worth investors than mass affluent investors. These investors feel that the relationship they have with their advisor is more important to them than the firm for which the advisor works.
On the other hand, those that indicate they would stay with the firm would do so because they feel the safety and brand name of the company is more important than their relationship with the advisor.
