Fund Firms Fail to Provide Wealth Transfer Tools
September 18, 2006
Less than a third of mutual fund companies are providing financial advisers with useful wealth transfer tools and education-causing both to miss out on a potentially huge market due to the transfer of much of the nation's retirement wealth from pensions to defined contribution plans.
This is according to a new study by Corporate Insight that analyzed the wealth transfer capabilities at 16 mutual fund companies. Six had nothing on the issue, and of the remaining 10 that did, Corporate Insight deemed the information useful at only five companies.
"Many major players are missing a significant opportunity by not providing their adviser networks with the tools necessary to address this important growing market," said Alan Maginn, senior analyst at Corporate Insight.
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