In this edition, we examine multi-year results for key performance drivers of the North American retail wealth management industry. The report reveals the following trends:
- overall growth in 2011 was weak, although there are signs of an improvement in the quality of the average advisor’s business, with larger, more productive households and better pricing.
- advisors have lower assets under management, predominantly due to a reduction in the number of households serviced.
- advisors are more strategic about the composition of their books, shedding small households while adding larger ones, and adding accounts and assets to existing households.
- advisors are improving pricing on new fee-based accounts, although the gap between premium and discount priced accounts remains wide.
- equity transaction business remains strong, with lower levels of discounting and larger trade sizes.