Australian adviser client satisfaction highest in Asia: Legg Mason

Satisfaction rates among Australian adviser clients are the highest in Asia and second highest in all major global markets, according to recent Legg Mason research. Among those who use an adviser currently, client satisfaction was extremely high relative to the rest of the world. A solid 40% of respondents indicated they were entirely satisfied with their adviser’s services – a figure higher than every other major market other than the US, and significantly above the global average of 14%.

The Legg Mason Global Investment Survey looked at the attitudes of 4,200 investors in 20 key markets, including 200 high net worth Australian investors. It found that 36% of Australian respondents currently work with a financial adviser, while 28% were interested in doing so in the future.

When asked for the top three benefits working with an adviser can bring, the majority of respondents (58%) said creating a formal plan to achieve their goals was a key benefit. Globally, just 34% of respondents viewed investment planning as a top benefit, suggesting Australians are particularly fond of a structured approach when it comes to financial advice.

“The survey data overall paints a very positive picture for Australian advisers”, said Legg Mason’s Global Head of Distribution Marketing, Matt Schiffman. “Compared to their global peers, they are doing a great job at meeting client needs, and helping investors to create a long-term plan for success forms a key part of that.”

Australian investors also singled out helping to avoid costly mistakes (47%) and access to investment opportunities they could not get themselves (43%) as other key benefits of working with an adviser.

“Australian investors have enjoyed a buoyant market, and their advisers deserve credit for capturing that upside”, said Mr Schiffman. “By using their expertise to steer clients through the volatility of the post-GFC years, Australian advisers have ensured a loyal and satisfied clientele.”

Despite the high overall level of satisfaction, investors nominated several areas where advisers could improve, including lower advisory fees (36%); being more proactive (30%); and looking for more innovative investment solutions (24%).

“There is always room for improvement in any industry, and financial advice is no different, despite the high overall standards we observed in Australia”, said Mr Schiffman. “Local investors are after a back to basics approach with more of the simple things – low costs, greater engagement and more creativity in the solutions advisers bring to the table.”