New kasina study reveals steps wholesalers must take to win over advisors

Wholesalers Get Dos and Don’ts

New York, (December 16, 2008) — With mutual fund redemptions expected to surpass $325 billion in 2008, it is now more critical than ever for firms to maximize wholesalers’ effectiveness in communicating with financial advisors.

In its latest study, “Maximizing Advisor Interactions: Dos and Don’ts for Wholesalers,” asset management consultant kasina sought to find out what advisors want out of wholesaler interactions, gleaning insights from an extensive survey of 343 advisors, and a series of in-depth follow-up interviews.

Upon surveying advisors, kasina found that 26% of their buy/sell decisions, on average, are directly influenced by wholesalers, a number that signals room for future improvement for firms seeking to increase advisor sales. In fact, the study’s findings further suggest that advisors do gain measurable value from wholesaler contact, but only if they follow certain rules.

The consensus across advisor channels, ages, and AUM levels, was that increased customization to diverse advisor needs would make the difference in wholesaler service models. This allowed kasina to develop a comprehensive set of “dos and don’ts” for wholesalers. Some key recommendations in the report include:

  • DO Segment: Customize sales strategy based on advisor experience levels and business models
  • DO Build Product Expertise: Understand how products interact and add value to portfolios
  • DO Ask Questions: There are pitfalls of pitching products before listening to advisor needs
  • DO Diversify Value-Add: Ensure that value added programs are client-focused and unique
  • DO Follow Up: Build a relationship beyond quarterly meetings

“Given investors’ and advisors’ anxieties in the current market environment, it is particularly important that wholesalers come prepared to bring demonstrable, customized value to every conversation they have with advisors,” says Lindsay Geimer, a senior consultant at kasina and lead author of the study.

By heeding advisors’ needs outlined in kasina’s study, wholesalers can expect to maximize the value and impact they bring to advisors, and ultimately receive a higher share of advisors’ business.

About kasina

kasina’s commitment to innovating distribution in the financial services industry has made it one of the most influential strategy consulting firms in its sector. kasina works with a wide variety of clients from five continents, including firms representing 90% of the U.S.’s total assets under management. An overview of services offered by kasina is available at