Even Happy Clients Will Stray, Matt Oechsli Tells IMCA

 

Matt Oechsli recently told the members of IMCA, the Investment Management Consultants Association, that even the most satisfied investors will look around for a better option if one is available.

 

As he puts it, investors are inherently disloyal -- after all, these are business relationships, not friendships or love matches.

 

For an industry where people often pride themselves on building long-term relationships with clients that will last through thick and thin, richer or poorer, this is an eye-opener.

 

Do advisors always need to be seducing each other's clients away? Is the notion of client retention a myth?

 

Definitely food for thought. It's true that a lot of advisors sentimentalize their books, but some churn is probably natural. 

 

Of course, if the book starts shrinking, there's a problem.

 

 

 

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