We don't always report on LIMRA studies in the Broker/Dealer Playbook section of the magazine, but this one has legs. A new study from the organization finds that independent financial advisors and bank reps are increasingly using guaranteed income products with their clients, while registered investment advisors say they have few clients using annuities in their portfolios and do not expect that proportion to grow.
According to LIMRA, with the availability of a wide range of products, most advisors are using a more blended approach to financial planning--combining traditional asset allocation with product solutions to address the needs of their clients. However, there is still reluctance from RIAs to incorporate product solutions to address retirement risks into their practice.
All advisors said they used some sort of planning tool, such as financial planning software, but most felt the tools were inefficient and cumbersome. When asked, the majority of advisors said that most planning tools are manually intensive, provide elaborate reports, which are confusing to their clients, and generally get in the way of their ability to engage with their clients.
