4. Collaboration: teaming and practice support are integral for many advisors.
More advisory practices have turned to teaming and other practice support models to keep up with complex customer needs, extend multi-generational relationships, and consolidate insurance and investment portfolios.
5. Adaptation: fiduciary rules are the new normal.
Regulatory requirements on fiduciary standards are expected to drive up compliance costs and efforts, and impact the products that advisors sell, though some advisors see an upside. It is safe to say some advisory models are challenged by, but adapting to, the new expectations of regulators and consumers.
6. Increased expectations: empowered advisors expect more.
Advisor expectations for product innovation, and best-in-class service and support are rising. Speed to market with products that address market trends and targeted support that helps advisors grow their business are the keys for insurers and distributors to win over advisors and retain their business for the long term.
Harnessing opportunities: Key questions to ask
As insurance carrier and distribution firms evaluate value propositions to advisors and consumers, they must ask themselves:
- What are the signature products, services and other marketing and training support we can offer to advisors to signal interest in their growth aspirations and add to our competitive advantage?
- How can we best align our products, services and internal processes, including digital capabilities, to support advisors in the practice models most important to our market ambitions?
- Which investments in talent, technology and managerial capability are necessary to be more adaptive to new platforms and business models adopted by advisory firms?