Responding to their customers’ increased appetite for more sophisticated and flexible investment choices and search for more personalized attention, financial advisers plan to recommend mutual funds 10% less frequently, with the share of their clients’ portfolios invested in them declining by 35% to 31% by 2009. That’s according to a survey of 1,266 advisers that Cogent Research conducted in October.

“Advisers, armed with better technology and more product options, and tasked by clients to be proactive wealth managers, are more readily exploring newer investment vehicles to best meet individual client needs,” according to Cogent.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.