Retail Brokerage Fall 2012 Quarterly Report

The emergence of the branch advice channel as a powerful competitor in the wealth management arena has implications for all financial services providers from the largest bank to the smallest fund distributor. Deposit-takers, whether banks or credit unions, are strategically focused on retaining mass affluent and upscale clients through advice and investment solutions delivered by a qualified sales force. The successful implementation of this initiative has already helped reduce the flow of clients to independent financial advisors and full-service brokers. Of equal importance, success in retaining assets and deepening the share of mass affluent client wallets has generated significant business for proprietary asset management units at the expense of independent mutual fund managers. The Fall 2012 edition of the Retail Brokerage and Distribution Advisory Service examines the branch advice channel’s expanding role within the investment distribution landscape. The analysis highlights the opportunity and challenges ahead in terms of maintaining growth momentum in the face of an aging target client and their shifting needs. This research feature provides a critical awareness of the branch advice channel for industry executives, industry association members, regulators and others looking to understand the leading role that this conduit will likely play in the future development of the Canadian wealth management industry.