Which Wealth Management Firms Fit Investors Needs Best?

The financial industry is the second largest industry in our country, second only to hospitals and medical insurance. This creates an environment where there are a multitude of financial firms for investors to choose from, which can also create confusion on where to go for support and wealth management. This does, however, allow for investors to find the firm that works best for their specific situation and individual preferences.

Familiarity can often lead to making the decision to work with a firm, so the most logical place to start is to look at what are the top five companies investors are most familiar with. Fidelity tops the list with 62 percent of investors being familiar with them, according to recent research from Spectrem Group. Bank of America is close behind with 59 percent of investors being familiar with that firm. Chase has an equal number of investors as Bank of America that are familiar with their firm. Vanguard and Citi round out the top five with 51 percent and 47 percent familiar with those firms respectively.

How do investors determine which of the firms they are familiar with to trust with their wealth management needs? What types of firms do they feel will provide the best communication? Investment management firms are viewed by wealthy investors as the firm that delivers the most effective wealth management. Independent Financial Planning firms and Brokerage firms round out the top three types of firms that investors feel provide the most effective wealth management.

When it comes to specific firms, Fidelity outranks other firms in providing effective wealth management according to wealthy investors. Thirty-nine percent of investors feel that Fidelity is the top in providing the most effective wealth management. Vanguard is viewed by over a quarter of wealthy investors as the most effective in providing wealth management. Finally, Chase is the third firm that investors feel is the most effective in providing wealth management.

Regardless of what investors perceive, it is critical for investors to determine what firm would be best for their unique situation and needs. Investors should spend the time needed to evaluate what firm or firms would be ideal for them, regardless of popular opinion.

Related: Essential Digital Tools for Wealthy Investors