While only a quarter of RIAs believe that stock prices will increase by year-end, 62% of those surveyed by TD Ameritrade Institutional are bullish on the market in 2021.
TD's midyear RIA sentiment survey update also revealed that advisory firms have fared pretty well during the pandemic. Fifty-eight percent of RIAs have continued to onboard new clients, with client bases increasing nearly 6%. Forty-three percent report AUM increases of 8% on average, and 40% of RIAs have seen revenues increase at a similar rate.
More than 60% of RIAs are back in their offices, the survey found, with 36% juggling in-office and remote work schedules to allow for social distancing. Concerns about a rise in COVID-19 cases were holding 42% of advisers back from returning to the physical office, while an additional 31% were worried about staff morale, health and general safety.
To compensate for fewer physical meetings, 68% of those surveyed have increased the frequency of their client communications. Eighty-eight percent said the quality of those interactions is as good as, if not better than, pre-pandemic meetings. Video conferencing is now regularly used by 84% of advisers.
A separate survey of RIAs by ETrade Financial found that over half (52%) say they are bearish on their economic outlook for the fourth quarter, up six percentage points from the previous survey in March.
In addition, the survey found that 56% of advisers are actively managing risks associated with political instability for clients, which is 24 percentage points greater than the portion who said that in March. Managing market volatility for clients remains at the top of the advisers’ risk list at 81%, although that's down four percentage points since March.
The top mistake advisers see their clients making is attempting to time the market (51%), up six percentage points since March. On the bright side, 41% of the RIAs surveyed said client portfolios have fully recovered since the downturn.
From outstanding individuals to innovative organizations, find out who made the final shortlist for top honors at the IN awards, now in its second year.
Cresset's Susie Cranston is expecting an economic recession, but says her $65 billion RIA sees "great opportunity" to keep investing in a down market.
“There’s a big pull to alternative investments right now because of volatility of the stock market,” Kevin Gannon, CEO of Robert A. Stanger & Co., said.
Sellers shift focus: It's not about succession anymore.
Platform being adopted by independent-minded advisors who see insurance as a core pillar of their business.
RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.
As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.
