2019 DALBAR Retirement Study: How Financial Advisor Designations can Affect Customer Experience

2019 DALBAR Retirement Study: How Financial Advisor Designations can Affect Customer Experience

When providing a service, the perception of preparedness can play a crucial role in customer satisfaction. This fact is highlighted in the recent 2019 DALBAR Retirement Study, which analyzed customer interactions with advisors at several financial institutions during retirement planning appointments.

The findings of this study show that a variety of factors can have an impact on a customer’s overall perception of an interaction, including how prepared an advisor seems when coming into the appointment, how confident they are in explaining the material, and the potential impact advisor designation can have. This study provides a comprehensive examination of these factors, as […] Read more

The Asset Allocator: Dalbar’s Investor Panic-Relief Tool (Podcast)

The Asset Allocator: Dalbar’s Investor Panic-Relief Tool (Podcast)

By SA For FAs, December 3, 2019

Summary

For a quarter of a century, Dalbar has highlighted the problem of poor investor performance, fueled by return-chasing and panic selling; now it wants to offer a practical solution. Dalbar has developed a panic button targeting financial advisors, and interested individual investors, aimed at preventing financial suicide. Its “Investor Panic Relief Tool” is designed to help advisors help their clients at the point of panic, providing a meaningful and appealing alternative to selling. The tool presents a put option as inferior to doing nothing, but as superior to selling, and backs that up with dollars-and-cents calculations.

Listen on the […] Read more

Avoiding the Cost of Panic

Avoiding the Cost of Panic

by Louis S. Harvey, 12/2/19

Investors lose massive amounts due to panic selling in down markets. More can be done about this perennial problem.

This article identifies one critical action that can be taken to stem panic-driven losses. That action is based on a full understanding of the timing, cause and prudent use of financial instruments that can avoid much of the loss.

To appreciate the solution, it is essential to agree on what the problem really is.

Understanding the problem

Understanding begins with knowing when the losses occur.

More than 70% of losses over the last 35 years originated in 10 very short crisis periods. […] Read more