In many parts of the world financial regulators are placing more and more constraints on the industry. From improving record keeping in terms of recording advisor/client conversations to alerting the industry about the need to understand client behavior over and above tolerance to risk.
Financial Services Firms are struggling with the inherent tension of increasing client engagement (sustainable revenue) and meeting the increasing regulatory pressure of FINRA Rule 2111 for enhanced product suitability compliance (firm protection). How are you closing this gap?
Often we think that clients want higher investment returns from their advisor, and therefore that defines the role of the advisor. However, research shows that clients want a relationship.