Increasingly, clients seek personalized advice from their financial advisors. Outsourcing empowers advisors to focus on meeting this demand by offloading time-consuming front-, middle-, and back-office tasks and redirecting their time to amplify value for clients.
AssetMark—a provider of investment solutions, technology, and consulting services to financial advisors—continued to explore investment management outsourcing trends and benefits in this third installment of research first conducted in partnership with 8 Acre in 2019.
About 700 financial advisors were surveyed. Key findings include:
- Preference for TAMPs is on the rise among advisors who outsource, and those who primarily use TAMPs report better benefits than advisors who rely on other types of outsourcing providers.
- Client relationships benefit the most from reclaimed time. On average, advisors who outsource save more than 9 hours per week, and 72% reallocate at least a portion of that time to client-facing activities—5.4 hours on average.
- Outsourcers see higher rates of new asset acquisition while working fewer hours and spending more time with clients. New assets brought into their practice in 2023 as a percentage of 2022 year-end assets was 14% for outsourcers compared to 11% for non-outsourcers. At the same time, outsourcers work two hours less per week on average than non-outsourcers.
