Account managers’ commitment to their banks and credit unions tops those of their investment and mutual fund dealer counterparts, according to the results of this year’s Account Managers’ Report Card.
The 255 advisors surveyed have been firmly rooted in their roles for an average of 13 years. In contrast, advisors at brokerage and planning firms stay put for an average of eight years.
Account managers’ longevity with their firms could be credited to a wide array of support services and training. Advisors say their role provides a desired amount of job security, flexibility, the possibility for development and professional growth through training.
Take account managers at the Bank of Montreal, for example. “The majority, about 75%, of our account managers see this role as the desired role,” says Janet Peddigrew, senior manager for specialized distribution programs in Toronto. The rest are looking for career advancement opportunities, she adds.
This suggests that the financial institutions are grooming some account managers to advance through the ranks rather than having them move on to other banks or credit unions. And training is a significant factor keeping turnover at bay. For account managers, it proved to be one of most important factors; they gave it an importance score of 8.9. TD Canada Trust and the Bank of Nova Scotia scored best overall in the training category, with an 8.5 and an 8.4, respectively.
“We launched an intensive training program for our employees in the fall of 2005 that focused on functional training and selling training,” says Wendy Hannam, executive vice president at Scotiabank. “It was one of the highest-rated training programs that we’ve ever offered at the bank.”
Ambitious Scotiabank advisors note that they are provided with the type of environment that fosters professional advancement. “It’s an excellent organization to work for, and there’s lots of support. If you require a transfer, they care about you as an individual and are supportive to hire within,” says an account manager in the Maritimes.
One of the reasons why Scotiabank account managers are not eagerly eyeing greener pastures is because, Hannam says, “There’s a very strong culture of employee engagement, which we all take very seriously. We provide an environment in which the people who have the desire to succeed certainly will succeed — and we reward and recognize appropriately.”
Coast Capital Savings Credit Union had the highest score for ongoing training among the three credit unions surveyed with an 8.1.
“Account managers don’t get to a point at which they hit a roadblock and don’t go anywhere,” says Trudi Kloepper, senior vice president of investment services. “There are all these opportunities to move up as they get experience and education.”
And that education is paid for in large part by the firm, which provides up to $1,000 a year per employee for career advancement training.
Coast Capital account managers chime in with generally positive feedback, but they still see some room for improvement.
“Training is always available, but not always effective,” says a Coast Capital account manager in British Columbia. “It’s too repetitious and doesn’t provide us with the newest information and content. But, overall, it’s quite good. And we have regular monthly meetings.”
Training aside, account managers generally seem to be happy enough to recommend their firms to other advisors, with an average of 95% of those surveyed indicating that they would, or already have, spread the word about their firms.
The most significant jump in scores came from CIBC, as 99% of its account managers indicate they would recommend their firm. Only 68% had given their firm a positive endorsement in 2005.
A CIBC account manager from B.C. says there are myriad reasons why a strong recommendation is now in order: “There is lots of flexibility, a fair bit of freedom and good people to work with. We’re really moving forward and trying to improve our image and what we offer to clients. CIBC has one of the best financial advisor programs out there.”
Conversely, the black sheep of the credit unions is St. Catharines, Ont.-based Meridian Credit Union. Its overall IE rating was 7.1. It is the only firm that is not actively looking for new account managers this year.
The credit union also rated the lowest in the categories for ongoing training with a 6.8 and it tied with CIBC for last place for delivery on promises made with a 7.7. IE