Advisors feel that social media is a "wise use" of asset managers' time and resources and just over one-third believe asset management firms are "not yet seeing the value" of social media, according to a study by American Century Investments.
LinkedIn groups were the "most important" social media offering an asset manager can provide, according to nearly one out of four advisors, followed by "providing an advisor community" for nearly one out of five, and a Facebook page for slightly fewer respondents.
For their part, advisors are ramping up their usage of social media via smartphones and mobile devices in addition to laptop and desktop computers, according to American Century Investments' third annual Financial Professionals Social Media Adoption Study.
The research study, which examined advisor usage and attitudes toward social media such as Facebook, LinkedIn, YouTube and Twitter, revealed that some 35% used smartphones to access social media for business and personal use, versus 27% in last year's study. Also, 22% used mobile devices such as iPads and other tablets, compared with only 11% last year.
"Given the rapid growth trends in both smartphone and tablet device ownership, it's no surprise that social media access is growing through these devices, especially with apps that make it convenient to do so anywhere and anytime," according to Jennifer Sussman, Director -- Digital Engagement for American Century Investments.
The study also found that six out of 10 advisors are using social media for business at least several times a week, with 27% accessing on a daily basis. "With the proliferation of mobile devices, it will be interesting to see if convenience will drive even higher frequency of access," Sussman said.
Facebook continued to hold the top position with 73% (vs. 55% in 2010) having profiles, but LinkedIn and Twitter jumped to 62% and 27% participation, respectively, vs. 45% and 16% respectively in 2010.
The study's results were drawn from an online survey of 300 advisors, brokers or registered investment advisors. Meridian Marketing handled data collection and data weighting functions. Study participants averaged 14 years in the financial industry; roughly three-fourths were male and the average age was 45.
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