Brokers or Investment Advisers? The US Public Perception. Issue 3 (1st July 2019)

• Record Type: Journal Article
• Authors: Lach, Patrick A.; Flynn, Leisa Reinecke; Kelly, G. Wayne
• Is Part Of: Financial analysts journal. Volume 75:Issue 3(2019)
• Page Start: 125
• Page End: 131
• Publication Date: 2019-07-01
• Subjects: Investment analysis -- Periodicals; Investment analysis; HW_FM; Periodicals; Electronic journals; 332.6
• DOI: 10.1080/0015198X.2019.1600957
• Languages: English
• ISSNs: 0015-198X

Abstract

Abstract : We find that individuals are confused by the titles used by investment professionals and cannot distinguish between investment advisers and brokers. This confusion persists even among those with investment industry experience, a college degree, or a high level of perceived knowledge (one's self-assessment or feeling of knowing the information). Surveyed individuals better identified the brokerage responsibilities of "an investment sales representative" (an alternate title for broker) than the more ambiguous titles brokers often use, such as "financial advisor." Abstract : Disclosure: One of the authors, Patrick Lach, owns and operates an independent investment advisory firm. Editor's Note Submitted 17 January 2019 Accepted 13 March 2019 by Stephen J. Brown