Asset managers that lack product specialists risk losing a competitive edge as they battle to engage with financial advisers, research reveals.
The Cerulli Report US Intermediary Distribution 2025 finds that as the demand for detailed product insights increases, along with the use of alternative investments and shifting adviser preferences, “the role of the product specialist has become essential”.
Three-quarters of asset managers distributing alternative investments surveyed by Cerulli say a lack of adviser education about the products is a challenge.
Further, nearly two-fifths (39 per cent) of financial advisers say that wholesalers sharing competitive product information is a very valuable resource.
Andrew Blake, Associate Director, Wealth Management at Cerulli, says that while wholesalers typically excel in being accessible to advisers while providing strong support for client events and building strong personal relationships, they may fall short when it comes to providing essential product detail.
“Product specialists excel in different ways, and the capabilities that advisers value in product specialists strongly complement the capabilities of wholesalers, providing a prime opportunity for a successful wholesaler-product specialist partnership,” Blake adds.
Blake argues that as demand for detailed product insights across all investment types, especially alternatives, continues to rise, asset managers must prioritise integrating dedicated product specialists into their teams.
Currently, among firms offering alternative investments, more than half (54 per cent) use a strategy involving a generalist wholesaler supported by adviser facing product specialists.
More than one-quarter (26 per cent) rely solely on a generalist wholesaler, while an additional 15 per cent use only an alternative-specific wholesaler.
Blake says: “Asset managers can ensure they stay at the forefront of client service excellence by dedicating additional resources and adopting practice-specific coverage strategies.”
Two-fifths of asset managers say the ability to discuss competitive product information is the most valuable skills a product specialist offers.
In addition to using product specialists, asset managers are increasingly reliant on artificial intelligence (AI) to improve lead generation, according to the report.
More than four-fifths (83 per cent) say prospecting has become more difficult. Consequently, more than half (53 per cent) of distribution executives report that implementing AI opportunities is a top priority to better identify opportunities.
Blake says: “Asset managers are leveraging AI to improve lead generation for wholesalers. Advisers continue to value asset managers’ resources focused on competitive intelligence and deep product knowledge.”
However, he adds managers must maintain relationships with advisers if they are to set themselves apart from the competition.
“Relationships remain highly important, since referrals from other advisers are wholesalers’ top source of new adviser prospects. Further, providing excellent client service and consistent performance remain key differentiators for asset managers.”
