Smart Investment: Evaluating the Total Return on Investment Services to the Banking Enterprise (November 2019)

Investment services are not considered a core business of most financial institutions, and consequently most banks and credit unions have not prioritized the opportunity to serve the investment needs of their clients and capture more of their investable assets. The Bank Insurance and Securities Association (BISA) commissioned Kehrer Bielan Research & Consulting to conduct research to help enterprise management see how an increase in customer penetration of investment services—the share of the institution's customer base with an investment relationship—increases overall bank customer profitability, especially for the coveted mass affluent segment, by demonstrating:

  • The linkage between providing investment advice and customer loyalty, and
  • The impact of investment advice on growing deposits and loans and increasing customer profitability.


In the first of a two stage-study, Kehrer Bielan analyzed consumer data from a highly regarded national financial survey to measure the impact of the investment relationship on the growth of deposits and loans. The study also examined the difference in investment services penetration between mass market, mass affluent, and higher net worth households, defining the mass affluent as households with between $100,000 and $1 million in investable assets, and the implications for the overall banking enterprise.

Smart Investment: Evaluating the Total Return on Investment Services to the Banking Enterprise reconfirms that households that have an investment relationship with their bank or credit union exhibit greater loyalty to the institution, use more banking products, remain customers longer, and contribute more core banking income to the overall banking enterprise. The study is available only to BISA members.

To learn more about becoming a member of BISA and obtaining the report, contact bisa@BISAnet.org.



The Bank Insurance & Securities Association is the leading financial services industry association dedicated to serving those responsible for the marketing, sales and distribution of securities, insurance, and other financial products and advisory services through the bank channel. Member companies include depository institutions of all sizes, their broker/dealer and mutual fund subsidiaries, third-party marketing companies, product manufacturers and firms providing products, technology or services to support these enterprises. For more information, visit www.bisanet.org.