The current economic turmoil appears to be leading financial advisers to rely more heavily on guidance from asset managers. Kasina, a strategy consultant to the financial services industry, reports that the vast majority of financial advisers look to asset managers for support and service, particularly during today's economic uncertainty. Ninety-six percent of financial advisers say the ability of a fund company wholesaler to deliver an informed opinion "at least somewhat" impacts their transaction decisions, according to a recent Kasina survey of 107 financial advisers.
The New York-based firm reports that while 41 percent of advisers think the U.S. economy is headed for recession, 34 percent are expecting a quick turnaround (26 percent currently are unsure). Although less than half of the advisers believe the U.S. will experience a recession, more than 50 percent see the economy as their greatest fiduciary concern for the upcoming year.
According to kasina, this uncertainty is echoed in adviser predictions for asset class performance. While international equity received a vote of confidence from 29 percent of financial advisers, the opinions of the remaining 71 percent of survey participants were diffused among the remaining asset classes. The uncertainty, kasina notes, may explain why financial advisers are seeking the guidance of asset managers.Melanie Rodier has worked as a print and broadcast journalist for over 10 years, covering business and finance, general news, and film trade news. Prior to joining Wall Street & Technology in April 2007, Melanie lived in Paris, where she worked for the International Herald ... View Full Bio