Investors are showing signs of confidence in their advisers.
In a survey of 350 investors and 218 brokers and advisers, Fidelity Investments and its National Financial unit found 36% of investors expect — and believe — that their adviser has the know-how to steer them to profits should there be a repeat of the financial downturn that took markets to near-historic lows in 2008-9.
At the very least, 55% of investors expect their adviser to minimize losses.
Nearly half of investors indicate that they would likely follow their advisers if they were to break away to a new practice. The survey results were released last week. "Despite their high expectations, our survey reveals that investors have shown confidence in advisers' ability to provide investment advice in this challenging market environment," said Bobbi Masiello, an executive vice president of National Financial.