Credit unions are dominating the growth in investment services revenue among financial institutions, according to according to Kehrer Bielan Research & Consulting's “Annual Industry Checkup: 2014/2015,” and financial advisors at credit unions face especially bright futures.
The investment services market is a lucrative one, according to the report. About 13% of American households own an investment bought at their primary bank or credit union, it found, and they tend to have larger checking and savings balances.
But the number of banks offering investment services fell for the fifth time in the last six years, sliding from 2,042 in 2008 to 1,772 in 2014. From 2013 to 2014 alone, the number dropped about 2%. Because the total number of banks shrank at a faster rate, however, the percentage of banks selling investments actually rose 0.7 points, from 26.2% to 26.9%, the report said.
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