A recent JD Powers Investor Satisfaction Survey found that investors want transparency surrounding their fees and portfolio performance.   When advisors are “transparent” and provide clients with these details the client satisfaction ratings increase on average from 65% to 95%!

Dealers and investment management firms are coaching advisors on that very topic to help them with the upcoming CRM2 disclosure requirements.  One firm doing a good job in this area is Manulife, which has launched the “CLEAR” program to support its advisors.

Communicate your value

List and define your services

Explain your fees and compensation

Align your client needs

Review procedures and plans

The CLEAR approach educates advisors on the benefits of being transparent with their clients, which is what CRM2 is all about.  Many people will say this is adding cost to their business, which is true, but those individuals might look at this as an opportunity to grow their business as many dealers may not address the investor’s need for “clear” and transparent information, possibly resulting in clients taking their business elsewhere.  Most will agree that being “clear” will always win out over being unclear.

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