A key challenge for firms anywhere is retaining the clients they have, and our survey shows this is much more difficult in the UAE and Saudi Arabia, where 41 percent and 29 percent of investors respectively have been with their primary wealth manager for less than three years. In Asia as a whole, that figure is just 21 percent.
It should be noted that the relatively low tenure is also affected by the relative youth of the investor base as a whole—although that doesn’t entirely mitigate the increased likelihood of these investors to look elsewhere if they feel their needs are not being met.
Local investors, then, have been more prepared in the past to switch wealth management provider, and our survey shows this will likely not change: across Asia, 30 percent of the 3,200 investors we surveyed across the eight markets in the Far East were looking to switch wealth managers in 2022 (up from 10 percent who did so in 2021); in the UAE, on the other hand, 38 percent are looking to change.
While it is little surprise that keeping investors satisfied is crucial for wealth managers, another standout finding is that local investors are as dissatisfied with their wealth manager as their peers elsewhere despite their investments performing better or somewhat better than expectations (77 percent in Saudi Arabia and 69 percent in the UAE—versus 60 percent in Asia).