In the investment world, no matter how diligent you are or how well you perform, there are some instances that may derail your plans and cause you to lose money.
Investor complaints can focus on a variety of issues, including customer service, product selection and pricing, and management. The Office of Investor Education and Advocacy (OIEA) reviews complaints to ensure that individuals and entities regulated by the SEC respond when appropriate.
Customer Service
The quality of customer service is an important factor in determining the overall experience a consumer has with a company. This includes the way in which a customer receives support, whether it’s a phone call or an email, and how easy it is to contact a company for help. If a business can provide a personalized, swift, easy, and helpful customer service experience then they will be more likely to earn customers.
Complaints offer an honest window into the operations of a company and provide valuable feedback that can be used to enhance the customer experience. They can also identify areas of inefficiency and provide training for new staff members. However, many companies see these complaints as unnecessary or beneath them and ignore them. Ultimately, poor complaint handling hurts a company’s reputation, decreases employee satisfaction and loyalty, and damages customer satisfaction. Fortunately, most companies can turn these problems around and make improvements that will improve their bottom line.
Product Selection
When it comes to selecting the perfect product, a business has to consider the needs and wants of its target customers. A product that can satisfy the needs of a wide customer base, at a price point that will allow the business to make a profit, is the holy grail of product selection. A well thought out strategy will help a company choose the right products that will entice both new and returning shoppers, while also keeping costs to a minimum. In the quest to find the best product, a business should also pay attention to the quality of the materials and components it uses in manufacturing the selected item. The material’s quality and its relative strength will affect the product’s durability and lifespan. In addition, the proper choice of materials will determine its luster and appeal to the eye.
Pricing
A firm’s pricing strategy is an important component of its overall business plan. The pricing process is often designed to meet several objectives, including survival (that is, maintaining a firm’s presence in the market), rate of growth, market share and profit. In addition, the firm should also take into consideration the customer’s preferences and tastes, which can affect its ability to sell products.
Depending on the type of business you conduct, it is likely that your registered investment adviser and/or broker-dealer has policies and procedures in place that require you to promptly forward any customer complaints that you receive to the chief compliance officer or other designated compliance personnel. For those who are also covered by errors and omissions professional liability insurance, it is critical that you submit any customer complaints to your E&O carrier as soon as possible so that the complaint can be investigated. In this way, you can protect your assets from the potential for future liability.
Management
Management is the activity of using resources in an efficient and effective way so that the end product is worth more than the initial resources. It is an essential activity in every organization. It aims at fulfilling pre-determined goals by directing the human, physical and financial resources towards a common purpose. It is a science and an art which involves continuous observation, research and development (R&D), experimentation and systematic analysis of the process.
A manager uses his or her knowledge and experience in order to direct the efforts of other people towards a specific goal. This may be a personal objective or an organizational one, such as a Competitive Salary, Personal growth, Skill development, Good working environment etc. This is a crucial function of management as it helps to bring harmony in the use of human, physical and financial resources in order to achieve a definite goal. It also makes it easier for a company to meet its goals and objectives.
