Top Broker-Dealer Firms By Advisor Satisfaction

401k, retirement, popular, best

These firms are doing it right.

Raymond James came out looking very well in a J.D. Power study of advisor satisfaction among major broker-dealer firms, ranking near the top among employee and independent advisors.

Edward Jones ranked highest in overall satisfaction among employee advisors and Commonwealth Financial Network with independent advisors. Raymond James & Associates ranked second with both. Stifel, Nicolaus & Company ranked third for employee advisors, with Cambridge Investment Research third for independent advisors.

The study measured satisfaction among both employee advisors (those who are employed by an investment services firm) and independent advisors (those who are affiliated with a broker-dealer but operate independently) based on seven key factors:

  1. client support;
  2. compensation;
  3. firm leadership;
  4. operational support;
  5. problem resolution;
  6. professional development; and
  7. technology support.

Satisfaction is measured on a 1,000-point scale.

The survey also found that women still represent just 16 percent of all financial advisors.

One key to closing this gap, according to J.D. Power “is creating more advocates among existing female advisors, who are best positioned to influence other women to enter the industry.”

The good news is that female financial advisors are generally more satisfied and loyal to their firm than their male counterparts, “but they do have some unique pain points that firms that want to be leaders in this area will need to address.”

“The wealth management industry clearly recognizes that aligning the gender mix of advisors with the shifting demographics of investors is critical for their success,” Mike Foy, Director of the Wealth Management Practice at J.D. Power, said in a statement. “But firms that want to be leaders in attracting and retaining top female talent need to differentiate on recognizing and addressing those areas that women’s perceptions and priorities may differ from men’s.”

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