Men and women don’t agree on everything, but when it comes to choosing an new financial advisor, male and female investors do have similar demands and requests from their advisor choices.
There are occasions when investors want to change advisors, and many times the problem is lack of communication, or poor investment performances. Either way, it takes some research to find a new advisor, and women and men tend to look for the same qualities when choosing a new advisor.
Spectrem’s report Investment Attitudes and Behaviors of High Net Worth Women versus High Net Worth Men details the investment differences between the two genders, but when it comes to finding a new advisor, they actually agree on key components.
By far, the most important factor in choosing a new advisor is honesty and trustworthiness. Ninety-eight percent of women and 97 percent of men say that characteristic is important.
In most other characteristics, women are slightly more interested, although the percentages are very close. For instance, 94 percent of women look at the investment track record of an advisor, as well as the advisor’s transparency and willingness to keep an investor informed about what he or she is doing. For men, the percentages are 92 percent of transparency and 90 percent for track record.
The other most popular choices for advisor characteristics are depth of products and services offered (88 percent women, 85 percent men) and fees or commissions charged (88 percent women, 87 percent men).
There is one category in which women are significantly more interested. Seventy-five percent of women want the new advisor to come with a strong referral or recommendation from a trusted associate, while only 66 percent of men find that important.
Also, 69 percent of women want the new advisor to be associated with a well-known brand or company, and only 60 percent of men feel that way.
Men and women are also in agreement about an advisor’s use of social media as a necessary component. Only 8 percent of either gender would look closely at how much an advisor uses social media in order to determine whether he or she should be their new advisor.