Advisors Rate Edward Jones, Commonwealth Tops In Satisfaction
With the financial crisis increasingly in the rearview mirror, advisors at broker-dealers are reporting stronger satisfaction levels with their companies, according to an annual survey from J.D. Power and Associates.
The survey of more than 2,800 advisors holding a Series 7 license measured eight levels of employee satisfaction, and covered both advisors employed by their firms and independent advisors affiliated with a broker-dealer firm but operating independently.
In the employee group, Edward Jones finished first with a customer satisfaction index score of 876 on a 1,000-point scale. That was followed by Raymond James & Associates Inc., which scored 857. Employee advisors ranked their firms on eight key satisfaction drivers: firm performance; compensation; work environment; products/offerings; technology; job duties; contact; and people.
Edward Jones earned particular kudos in the areas of work environment and job duties. Raymond James did well in the compensation and firm performance categories.
Merrill Lynch ranked third with 710 points, and earned high marks in technology and products/offerings for its advisors.
In the independents category, advisors graded their firms on eight metrics comprising firm performance; people; technology; compensation; contact; job duties; products for clients; and offerings for advisors.
Among this group, Commonwealth Financial Network topped the charts with a score of 898. Advisors gave it high marks for perceptions of financial stability and operational and compliance support.
Cambridge Investment Research Advisors finished second, with a score of 848, and did well in products for clients and for providing advisors with flexibility in choosing products and services for clients. Raymond James appeared in this category, too, and finished third with a score of 845. Its strong suits included firm performance, products for clients and in-house investment research.
Advisors' satisfaction toward their employers and affiliated firms has picked up since the dark days of the market meltdown.
"As the financial troubles, compliance violations and merger and acquisition activity of some of the largest wealth management institutions begin to fade from memory, sentiment among financial advisors appears to be settling back in place," said David Lo, J.D. Power's director of investment services.