Survey on sales of bank net-worth wealth management products: lack of key information prompts, marketing compliance needs to be strengthened
Our reporter Peng Yan
With the implementation of new asset management regulations and new financial management regulations, the transformation of banks’ wealth management net worth has accelerated, and net worth wealth management products have gradually become the mainstream of the wealth management market.
However, when a reporter from the Securities Daily visited a number of bank outlets to learn about the sales of net-worth wealth management products, they found that the large-length product brochures of wealth management products caused confusion for many investors.
At the same time, the phenomenon of non-compliance with bank financing and sales is not an exception.
Many wealth management managers avoid the most important issues when recommending products, failing to mention the key information of the product, and the lack of risk warning information frequently arises.
In addition, many wealth management managers bluntly said that the growth rate of net-worth products is not directly proportional to investors’ purchase intentions, and net-worth products are also facing the situation of “not popular”.
Investors' acceptance of net-worth wealth management products needs to be improved.
Various expenses are not notified actively
In recent years, banks’ issuance of net-value wealth management products has been accelerating. Bank wealth management products have gradually transformed from an expected rate of return to net worth, and all wealth management products have adopted net worth management.
So, what exactly is net wealth management?
The so-called net-worth wealth management products have a similar operation model to funds. They are issued according to shares and disclose the net value of unit shares regularly or irregularly. This type of financial management usually does not have an expected rate of return, but provides a benchmark for performance comparison, which is reflected by changes in net worth The operation of investment is more transparent and can truly reflect the market value of assets.
Recently, a reporter visited and found that most of the wealth management products on the bank's recommendation column are net-worth wealth management products.
Similarly, some bank wealth managers also recommend such products first.
Many bank wealth managers prefer to introduce product highlights, past performance, performance comparison benchmarks and management teams when introducing products.
However, key information such as product-related costs, investment directions, investment asset types, and investment ratios are either not mentioned or simply passed on.
"Currently, the net-worth wealth management rate of return will be slightly higher than that of traditional wealth management. There is a product that sells well. This product not only has outstanding performance in the past, but also has a strong investment research team." said a financial manager of a joint-stock bank. The profit and loss of type financial management needs to be borne by the customer, that is, the final actual rate of return will fluctuate, which may be higher than the performance comparison benchmark, or may be lower than the performance comparison benchmark.
In the whole process of recommending the product by the wealth management manager, there is no detailed introduction to the product’s risk level, investment scope, investment strategy and related fees charged, but only a general introduction to the product, including performance comparison benchmarks, deadlines, and Purchase amount.
Different from wealth management products with expected yields, some net-worth wealth management products have to charge related fees, including subscription fees, redemption fees, management fees, custody fees, sales service fees, etc. However, a reporter from this newspaper found that during an interview, If investors do not ask questions on this issue, wealth management managers usually do not take the initiative to inform investors.
When the reporter asked whether a certain net worth product should be charged for related fees, a bank wealth management manager informed the reporter that a certain fee should be charged, and said: "The actual income that can be obtained in the end has been deducted from the related fees. This fee is Directly deducted from the product income, the income after deducting the expenses is shown in the net value."
Bank staff
Compliance sales awareness needs to be enhanced
According to relevant regulations, the transformation of net worth has put forward stricter requirements for banks in product risk assessment, product investment information disclosure, and customer risk assessment. It also places more emphasis on banks in terms of product marketing and promotion methods. Keep the bottom line of legal compliance.
But when financial products are sold, whether financial managers really recommend products from the perspective of investor suitability has to be a "question mark".
"Securities Daily" reporters found in the investigation that when some bank wealth management managers recommended wealth management products to customers, they did not introduce to customers from the perspective of the characteristics and risk levels of net worth products. For product risks, bank staff are either customers If you don't ask, you don't mention it, or it's a general introduction, and only emphasizes "the highest expected return."
Although there are risk warnings in the bank’s wealth management product brochures, the risk clauses are often complicated and jerky, which is not conducive to rational investment decisions based on customer understanding.
At a branch of a city commercial bank, the reporter found that the net value of the net wealth management products issued by the bank fluctuates very little, and has been fluctuating slightly above and below the performance comparison benchmark.
In this regard, in order to sell products, account managers use "performance comparison benchmarks" as expected returns. When introducing products to customers, words such as "generally achieve the highest returns" appear, laying down potential compliance risks in the sales process.
“I can’t understand the wealth management brochures and don’t understand what the wealth management managers say.” Most investors told reporters that the difficulty of understanding the wealth management product brochures is due to their professionalism, but bank professionals did not provide professional guidance to customers. .
In addition, many people even ignore financial product manuals.
The reporter interviewed an investor randomly.
The investor told the "Securities Daily" reporter that the returns of net-worth wealth management products are too volatile and risky.
Moreover, the terms on the instructions are too complicated, and a series of complicated calculation formulas made her bluntly "don't understand the benefits."
According to the reporter’s understanding, each bank’s wealth management product manuals are extremely long, with more than a dozen items in content. They are introduced in terms of product overview, product risk level, financial product terms, appendices, and risk disclosure statements. Content that is closely related to the vital interests of investors, but it involves a large number of professional terms, such as "duration", "retracement" and so on.
Investors have to sign a variety of documents when purchasing wealth management products. If investors want to read them within a few minutes of signing an agreement and understand it, it is no easy task.
"In the future, investors should judge product risks more based on the product's risk level, rather than the net value type. Net value wealth management products will further test investors’ ability to identify risks, and investors may face zero or negative returns ( That is, the loss of principal), so it is necessary to calculate the income and related expenses." Banking industry insiders said that they should pay attention to the product risk level, understand the specific capital investment, and read the product manual. Potential risks and possible losses will be affected. Hidden in the small description text.
After the purchase, pay attention to the product's asset allocation and net value changes regularly, and prevent potential investment risks while maximizing returns.
(Securities Daily)