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Findings from previous studies generally indicate that relying on advice from financial advisors is associated with investment decisions. This study uses data from the 2013 Survey of Consumer Finances (SCF) to mainly investigate three types of advisors: (a) financial planners, (b) accountants, and (c) lawyers. Getting investment advice from financial planners is found to be positively associated with stock ownership, while this relationship is negative for individual investors relying on advice from lawyers. Evidence from this study also suggests that some personal characteristics, such as age, education, risk tolerance may play a key role in shaping individual investors' investment decisions. [ABSTRACT FROM AUTHOR]

Purpose: This paper examines ethics in financial planning in the context of the events that have occurred in the Australian economic and regulatory environment in the last decade and provides empirical evidence of the ethical behaviour of financial advisers in Australia. Design/ methodology/ approach: A mixed methods research design was employed using questionnaires and semi-structured interviews with financial advisers and clients. Client participants were randomly recruited using the Unaddressed Mail Service (UMS) and financial adviser participants were randomly selected from Australian Financial Services Licence (AFSL) holders/representatives. The study used qualitative data mining software (Leximancer) and statistical software (SPSS) to analyse the results. Findings: Clients ranked financial advisers highly on their technical competence but lowest on social/ethical awareness, nonetheless clients generally found their most recent financial adviser to be ethical and possessing the necessary technical competencies. Furthermore, clients rated the ethical values of financial advisers as more important than technical competence and advisers were found to genuinely care for their clients. Both clients and advisers acknowledged that rogue advisers give other more ethical advisers a bad name and that education has an important role to play in this regard. Practical / social implications: Findings support both a code of ethics and ongoing professional development for advisers and suggest an ethics curriculum is desirable. Originality: This is the first study to explore ethical behaviour of financial advisers in Australia from both the client and adviser perspectives using a mixed method approach. [ABSTRACT FROM AUTHOR]

The purpose of this study is to investigate whether a professional designation affects consumer choice behavior within the area of investment decision making. Forty-six participants were endowed with real money and received hypothetical investment advice from a certified financial planner (CFP) Professional and a stockbroker. Among low-income households, advice from a CFP altered investor choice behavior within hypothetical education and retirement savings accounts. When participants made investment decisions using education funds and received advice from a CFP, the mean expected value of their investment choices was $43,913, compared to $25,870 given advice from a stockbroker. When investment decisions were made using retirement funds, the average expected value given advice from a CFP and a stockbroker was $53,424 and $33,207, respectively. If an investor was risk-neutral or risk-seeking, investment choices were improved when advice was rendered by a CFP relative to a stockbroker. [ABSTRACT FROM AUTHOR]

Using the Asset and Health Dynamics among the Oldest Old (AHEAD), this study presents the first longitudinal results analyzing factors associated with getting and dropping a financial advisor. We find that quantitative as well as qualitative factors are significant when evaluating the value of professional financial advice. Getting a financial advisor was positively associated with becoming a widow(er), asking family members for assistance with financial decisions, seeking professional help for emotional problems, and experiencing increases in income and net worth. Among single and widowed respondents, experiencing significant cognitive decline also increases the likelihood of getting a financial advisor. Dropping a financial advisor was negatively associated with becoming a new widow(er), getting married, and experiencing an increase in net worth. No longer involving family members in financial decisions was strongly related to dropping a financial advisor. We discuss implications for practitioners relevant to both client acquisition and client retention. [ABSTRACT FROM AUTHOR]