Twice as many clients with a formal retirement plan are satisfied with their advisers than those without one, according to LIMRA Secure Retirement Institute (LIMRA SRI) research.
Retirement Plan planning can be challenging for everyone that is involved.
For clients, it can be stressful to plan the golden years of your life and consider the possible costs.
For advisers, it can be a drawn out process that involves a lot of personal questions and proper asset gathering.
However, new LIMRA Secure Retirement Institute (LIMRA SRI) research suggests that this process of creating a retirement plan helps both clients and advisers achieve their desired goals.
While the research is done in the US, the principles are universal.
According to the report, clients with a formal retirement plan feel that their advisers better understand them and their needs and were satisfied with their adviser (chart):
- 65% of pre-retirees and retirees with a formal retirement plan said that their adviser understood their long term needs. Just 34% of those without a formal plan said their adviser had the same understanding.
- More than half (56%) of those with a formal plan felt that their adviser provides an excellent value for the fees they were charged; only 28% of those without a plan felt they were getting the same value.
- Twice as many clients with a formal retirement plan felt their adviser put their interests first as those without a plan (54% versus 25%).
In total, 65% of those surveyed with a formal retirement plan said they were extremely satisfied with the adviser, compared to less than one-third of those without a formal plan.
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Advisers also have a higher rate of customer satisfaction when they provide their clients with a formal retirement plan.
According to new LIMRA SRI data, 54% of those with a formal retirement plan strongly agree that their advisers put client’s interest first, as opposed to only one-quarter of those without a plan.
Almost one-third of those with a plan say they are very confident they’ll be able to live their desired retirement lifestyle; less than 10% of those without a plan feel the same way.
These findings, found in the fourth edition of The Retirement Income Reference Book, highlight the importance of how relationship building with clients helps advisers gain both their trust and loyalty.
Helping clients develop a formal retirement plan helps advisers learn more about their goals and helps them better serve their needs.
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