3 Most Trusted Wealth Management Companies

When you invest money with a wealth manager, you want to be sure your money is safe and invested appropriately and that your company cares about you. So which are the most trusted wealth management companies?


Investor’s Business Daily recently conducted a survey with polling partner TechnoMetrica Market Intelligence to find the 25 Most Trusted Financial Companies. The survey, in which clients rated the companies they do business with, included a breakdown of trust ratings in six business categories. Special recognition goes to the top three companies in each business, including wealth management companies.

Fidelity won the top honors for its wealth management division, with a trust rating of 90. Based on participant responses, the IBD survey identified the six most important trust attributes and weighted them by importance to compute an overall Trust Index. The six trust traits are the quality of products and services, commitment to protecting privacy and security, ethical practices and values, fair pricing and fees, customer service, and customer treatment.

Behind Fidelity, Charles Schwab (SCHW) and T. Rowe Price (TROW) also earned high trust scores, coming in second and third place, respectively.

3 Most Trusted Wealth Management Companies

Company Overall Trust Rating Privacy Quality Ethics Price Customer Service Customer Treatment
Fidelity 90.0 93.8 90.4 90.0 85.4 88.2 90.7
Charles Schwab 89.2 91.7 86.6 90.9 89.0 87.6 90.1
T. Rowe Price 82.8 89.6 86.3 88.5 72.2 78.1 78.3

Most Trusted Wealth Managers: Privacy Is Foremost

Survey takers rated Fidelity No. 1 among most trusted wealth managers in protecting privacy and security, quality of products and services, customer service, and customer treatment, while Schwab led in ethical business practices and values and in fair prices and fees. Fidelity’s privacy and security also earned the highest score of all its trust attributes as rated by survey respondents, at 93.8.

Fidelity’s wealth management requires a minimum investment of $250,000, half of what Charles Schwab sets as its minimum investment on its Schwab Private Client wealth management division. What Fidelity has going for it is its legacy. Fidelity has been managing wealth for more than 70 years, unlike Schwab, which began as a discount brokerage in 1971.

“It all starts with a conversation,” Fidelity says when you go to the homepage of its wealth management service. “We can help you build a personalized plan around your full financial picture designed to help you pursue multiple goals, grow your wealth, and take care of the people who matter most to you.”

More and more, trust is becoming an issue among wealth management companies ever since the days of Bernie Madoff, who defrauded more than 4,800 wealthy clients out of an estimated $64.8 billion, ending in his arrest on December 2008.

The word “fiduciary,” someone who is legally and ethically bound to put the client’s interests first, has become foremost not only to government regulators but to the clients themselves.

To be included in the study, wealth management companies had to be rated by 75 or more of their clients in the survey. Other wealth management companies in the study based on overall trust rating were No. 4 TD Ameritrade, No. 5 JPMorgan Chase (JPM), No. 6 Edward Jones, No. 7 Merrill Lynch Wealth Management, No. 8 Morgan Stanley Wealth Management and No. 9 Wells Fargo Advisors.

Schwab acquired TD Ameritrade on Oct. 6 in a $22 billion all-stock transaction. The combined company has $6 trillion in client assets across 28 million brokerage accounts.

The Most Trusted Financial Companies logo and accolades are available for licensing by contacting Investor’s Business Daily’s partner, The YGS Group, by email at [email protected] or at 800-290-5460.

Follow Michael Molinski on Twitter @IBD_mmolinski.


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