The demand for financial professionals' advice

Authors

  • Cliff A. Robb Institute for Personal Financial Planning, Kansas State University
  • Patryk Babiarz Department of Consumer Sciences, University of Alabama
  • Ann Woodyard Department of Consumer Sciences, University of Alabama

DOI:

https://doi.org/10.61190/fsr.v21i4.4681

Keywords:

Financial knowledge, Financial planning advice

Abstract

Using a large, nationally representative sample provided by the Financial Industry Regula­ tory Authority (FINRA), individuals' use of professional planning advice is analyzed in the con­ text of personal financial knowledge (objective and subjective), financial satisfaction, risk toler­ance, and selected sociodemographic variables. The results indicate that different characteristics are associated with individuals using different types of financial advice (e.g., debt counseling vs. investment planning, or tax assistance). In general, financial knowledge (both objective and sub­jective) and satisfaction are positively related to using any type of financial advice, and specifically with using advice related to investing and saving, mortgage decisions, insurance, and tax planning. In contrast, knowledge and satisfaction are inversely related to the use of debt counseling. Other in­teresting relationships are noted among the demographic variables of interest, and implications for planners and policymakers are discussed.

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Published

2012-12-31

How to Cite

Robb, C. A., Babiarz, P., & Woodyard, A. (2012). The demand for financial professionals’ advice. Financial Services Review, 21(4), 291–305. https://doi.org/10.61190/fsr.v21i4.4681

Issue

Vol. 21 No. 4 (2012): FSR Winter 2012

Section

New Original Submission

License

Copyright (c) 2012 Academy of Financial Services

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