The survey showed that more consumers are using financial advisors and are more likely to be satisfied with their personal finances when they do.
"Given the current economy, it‚s not surprising to see Americans getting more practice about managing their finances," says Elaine Bedel, chair of the CFP Board of Standards, which undertook the consumer survey. "It‚s heartening to see that Americans are deciding to take control of their financial futures by reaching out to qualified financial professionals."
The survey consisted of written questionnaires from 996 households, which had income in the top quartile in the age group of the person completing the survey. The survey was conducted between October 23 and November 19. It was the board‚s first such survey since 1999.
The survey showed an increase in the number of people reaching out to financial planners. Thirty-seven percent said they consulted with a planner, compared with 32% in 1999. And the percentage that use a planner as their primary financial advisor increased from 19% to 22%. Those who serve as their own financial advisors declined, dropping from 48% to 45%.
Those expressing extreme satisfaction with their financial advisors went from 39% to 47% and from 41% to 55% for those who consult with a CFP certificant.
Companies To Launch Fund Of Funds
Three more companies have entered the race to bring hedge funds to the masses. LJH Global Investments LLC announced strategic alliances with Phoenix Investment Partners Ltd. and Attica Portfolio Management to launch new fund of hedge fund products.
The alliance with Phoenix is to create a product for individual investors that will feature an investment minimum lower than that of a typical hedge fund, the companies say.
"We‚re looking at something between $25,000 and $50,000, but it hasn‚t been finalized yet," says LJH spokeswoman Charlotte Luer.
Under the alliance, LJH will develop and manage the fund, while Phoenix will handle the sales, marketing and distribution.
LJH and Attica–with offices in London, Amsterdam and Zurich–are teaming to create a fund of hedge funds product line for European institutional investors and high-net-worth individuals.