Investors Giving Top Marks to Their Financial Advisors, and Low Marks to Congress
Press release from the issuing company
Tuesday, February 7th, 2012
A recent John Hancock survey of investors on the concept of trust in institutions and individuals showed that investors rank their financial advisors highly while viewing Congress far less favorably.
More than four out of five investors who work with a financial advisor indicate a high level of trust in those professionals (82 percent). Ben Bernanke, Chairman of the Federal Reserve, ranked second, with 31 percent of investors saying they had a lot of trust in the central bank chief. President Barack Obama ranked third, with more than a quarter of investors (28 percent), saying they find the U.S. President trustworthy. More than a quarter of investors surveyed (28 percent) said they trusted the financial news media.
On the other hand, members of Congress are seen as untrustworthy by more than two-thirds of investors (68 percent). The Occupy Wall Street movement is not far behind, with nearly six in ten (57 percent) saying they do not trust this group.
The findings were drawn from a survey on trust conducted by John Hancock in late 2011.
"John Hancock recognizes that the issue of trust in the financial world is of paramount importance to investors, given the global events of the past few years," said David Longfritz, Chief Marketing Officer for John Hancock. "Our survey found that investors respect their financial advisors and look to them for guidance in making financial choices and decisions. Despite ongoing uncertainty in financial markets, this bond is an enduring one."
When it comes to choosing a financial advisor and a financial services firm, investors give themselves high marks. More than three out of four investors feel confident in their ability to assess financial advisors (76 percent), while 74 percent feel they are capable of finding a trustworthy advisor.
Financial strength ratings are the most important to investors (84 percent) in deciding whether or not to trust a financial services company. Almost two-thirds (61 percent) of investors say that being in business for a long time is an important factor in determining trustworthiness.
Beyond proof of financial strength and longevity, recommendations are clearly the key to trust. When assessing the trustworthiness of a financial company, six out of 10 investors say that the recommendation of their financial advisor is important. Half of investors report that the opinion of peers and other customers is important in evaluating whether or not to trust a financial company, and nearly as many (48 percent) feel it is important to seek recommendations from friends and family.


