Survey finds ‘independent’ adviser clients more satisfied

Investors who have independent advisers as opposed to ‘attached’ advisers are “significantly more satisfied with the planners’ advisory process”, according to a survey by the University of Adelaide business school.

The Internet-based survey, entitled ‘Are Investors better off with Financial Advisers? — Perceptions of Australian Investors’, was conducted last year by Dr Akbar Z Ali, director of the university’s undergraduate program.

The research was conducted to understand Australian investors’ perception of ‘independent’ and ‘attached’ advisers, and the level of satisfaction derived from their advisory relationship, he said.

It found specifically that ‘independent’ advisers are better able to understand their clients’ financial circumstances, objectives and constraints.

Independent advisers are also perceived to recommend products that match a client’s investment objectives by recommending a product list restricted only by the quality of product and not by their affiliation with product providers.

Another key finding was that independent advisers are strong advocates of their advisers’ services to their colleagues, compared to clients with attached advisers.