Financial advisory clients increasingly want “proactivity,” according to a new study. In other words, they want their wealth managers to anticipate their needs in advance.
Unfortunately, the study also shows a pretty substantial gap between the proactivity they want and what they are currently getting.
A new market intelligence report by financial data and benchmarking firm Hearts & Wallets revealed that the importance rose 3 percentage points from last year's survey for being “proactive when the market changes/when I’m losing money,” as well as offering personal finance advice, investment selection advice, good mobile apps, and fee clarity.
Proactivity, one of the top-growing "wants" of clients, also proved to be the biggest satisfaction gap. The report showed 45 percent of households nationally rate proactivity as highly important, but only 32 percent of customers report high satisfaction, resulting in a gap of 13 percentage points.
The report also showed Ameriprise (Ticker: AMP), Edward Jones, LPL Financial (Ticker: LPLA), Morgan Stanley (Ticker: MS), and Wells Fargo Advisors (Ticker: WFC) achieved Hearts & Wallets “top performer” designations on five or more wants. Meanwhile, Charles Schwab, Fidelity, Merrill (Ticker: BAC), T Rowe Price (Ticker: TROW), USAA, and Vanguard were listed as top performers on one to two top wants.
To earn that top performer designation, a firm must receive satisfaction ratings from their customers that are distinctively higher than the national average, according to Hearts & Wallets.
As to how advisors can improve their proactivity, Tom Burmeister, vice president of strategic product solutions at Conquest Planning, suggests using solution-oriented, positively framed alerts that not only inform clients when their financial goals are off track but also make them aware that actionable strategies are available.
“By leveraging tactical and knowledge-driven notifications, advisors can close the satisfaction gap by demonstrating expertise and initiative, rather than placing the burden on clients to seek solutions themselves,” Burmeister said. “A well-designed mobile and digital experience that delivers personalized, opportunity-focused insights ensures clients feel supported, engaged, and motivated to take action.”
For Christopher P. Davis, partner at Hudson Value Partners, it's about working proactively with a client's attorney and tax professional behind the scenes to deliver advice on the “total picture.”
“If you are the relationship quarterback, your firm needs to take the lead and not only develop the financial plan but implement it,” Davis said.
The top reason clients leave financial advisors is because of the lack of proactive communication, according to Arnulf Hsu, CEO and founder at GReminders. Timely outreach, focused on life events that involve milestones in their financial lives, are key to client retention.
“And now technology, especially as it is augmented by AI, can initiate a dialogue for all of these events and more that would have otherwise not happened, strengthening the advisor-client relationship,” Hsu said.
Speaking of proactive technology, Amanda Butler, chief technology officer at Nepsis, developed an app early on that allows clients to easily access the information they need. And she continues to evolve the app to create a more user-friendly and seamless experience.
Beyond the app, she guides clients through a comprehensive process beginning with a clarity assessment survey and includes multiple steps and conversations to ensure clients gain a thorough understanding of their financial picture.
“This process highlights how we can support them in various areas, including wealth management, financial planning, tax services, and estate planning,” Butler said. “Our clarity assessment offers clients one of the most robust views of potential gaps in their financial lives both business and personal, even before they engage in formal tax or financial planning with us.”
Along similar lines, Kate Atwood, founder and president at Founders Grove, uses technology tools to implement a customized planning and service model, which enables her to anticipate her clients' needs and provide timely communication. For example, her client service calendar guides her throughout the year to proactively assist with financial deadlines, such as tax filing, Medicare enrollment, and quarterly tax payments.
“We ensure everything is in place beforehand,” Atwood said. “When clients call asking for a distribution for their upcoming trip, we can happily share that the funds are available and ready to be transferred. We do not take lightly the trust our clients have instilled in us, and our service model reflects our dedication.”
Finally, Bob Alimena, private wealth advisor at Procyon Partners, anticipates his clients’ needs by providing monthly commentaries on topical issues, as well as quarterly summaries of market activity and his outlook.
“Internally, we have a very robust client service system,” Alimena said. “This ensures that we are tracking our most recent conversations and follow up items but also kicking off a regular cadence of client outreach, whether it be a ‘touch base’ from our service team or a financial planning or investment review with the client’s primary advisor.”
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.
