Survey – Financial Service Professionals Less Trusted Than Car Salesmen


The declining public trust in the financial services industry confirms the serious problems permeating the industry. A recent survey by the public relations firm Edelman revealed that more than half of the educated public distrusts firms in the financial services sector, making it the nation’s least-trusted sector for the second year in a row (See InvestmentNews, “Car salesmen miles ahead of advisers in consumer trust”).

The survey consisted of online interviews with college graduates in 20 countries whose household income is in the top quartile for their age in their country and who follow public-policy issues in the news at least several times a week.

The survey, which is conducted annually, found that only 45 percent of this population trusts financial service firms to do the right thing, down from 48 percent a year ago. Banks are trusted by just 47 percent versus 50 percent a year ago.
Trust in corporate executives, government officials and regulators as “credible spokespeople” suffered the worst declines in the 12-year history of Edelman’s Trust Barometer survey. CEO trust plunged from 50 percent down to 38 percent, trust in government and regulators as dropped from 43 percent to 29 percent.

Nevertheless, 49 percent of the respondents said they want more government regulation of business.

Page Perry is an Atlanta-based law firm with over 170 years collective experience protecting investor rights and fighting Wall Street greed.