In May 2006, MNFA asked me to help them carry out some research.

They wanted to know more about what their clients and contacts really wanted from a ‘dream’ provider of financial services.

We thought about writing a huge article about what they said and what MNFA had learned from it.

On second thoughts, that sounded plain boring.

So here are a few snippets that you might find interesting.

Along with a few quotes from other financial service providers and ‘experts’ … who just don’t seem to have got the message!



A large proportion of you work in and around the world of finance.

But 76% describe yourselves as ‘not financially sophisticated’.

But according to Investment ‘Guru’ Chuck Smith:

“People who own high-end homes tend to be financially sophisticated people.”



Our clients tend to earn in excess of £250,000 per annum.

But only 19% of you describe yourselves as ‘wealthy’.



It’s an electronic age.

95% of you prefer to be contacted by email.

Over half don’t want to receive a brochure in the post.

So guess how the vast majority of the UK's private banks would like to contact you?

“Our Wealth Management brochures will give you a comprehensive overview of our wealth of products and services, together with a summary of how you will benefit from a private banking relationship with us.”



Many of you are turned off by the offer of a ‘holistic’ wealth service.

But not these people:

“Our Portfolio Management service adopts a holistic approach to your complete wealth management.” The Montpelier Group

“A holistic and open business model will be implemented.” Julius Baer

“There is a world of reasons to insist on Dresdner Private Banking specialists when it comes to developing holistic total wealth.” Dresdner Private Banking



‘Great service’ turns on a higher proportion of you than ‘great products’.

But the market still doesn’t really get it.

“We have expanded our presence … to facilitate clients’ access to the full range of our group products.” CIMB’s Private Client Website



94% of you want help avoiding as much tax as possible.

Well who wouldn’t?

Paymaster General Dawn Primarolo for one:

"Experience has taught us that we are not always able to anticipate the ingenuity and inventiveness of the avoidance industry. Our objective is clear and the time has come to close this activity down permanently.”



More of you agree strongly that you want complex products explained simply than want help with long-term investment, financial planning or borrowing.

Which is probably because of the prose favoured by the likes of Pictet Private Client UK:

“Increasing the number of positions in a portfolio tends to the overall volatility and enhance the returns. This phenomenon is accentuated when combining assets of a fund or portfolio of hedge funds as the correlation between managers tends to be lower …” (stet!)



And to finish, here are a few more stats:

Value for Money

Only 6% of you agree strongly that their Private Bank provides it.

Only 14% say the same about your financial advisor.



Empathy

Only 9% of you agree strongly that your private bank understands you.

Only 20% say the same about you financial advisor.



Imagination and Innovation

Only 4% of you agree strongly that your private bank offers these values.

Only 13% say the same about your financial advisor.

But:

For every one of you who wants their financial adviser to be competitively priced, two want it to be creative!


And yet the market keeps its head stuck firmly in the sand:

“Coutts has built its reputation on understanding the needs of individuals, whatever their walk of life.” Coutts.com

“Common to all our areas of business is a genuine commitment to the highest standards of service based around long term, director-led client relationships. We strive to provide imaginative yet pragmatic advice and solutions derived from a thorough understanding of our clients’ needs.” Smith and Williamson online


(The research was carried out online by Brand New Thinking in May 2006. 419 clients and contacts of MNFA responded. Please contact Lawrence at Brand New Thinking on 020 7681 8247 if you’d like to know more.)