Practice Management Insights from the Kehrer Group Benchmarking Surveys
Financial institutions are becoming increasingly focused on serving the wealth management needs of their wealthiest customers—a recognition of the magnitude of the opportunity and a reflection of the intense pressure to gather investment assets. But previous Kehrer Group research has found that wealth management penetration decreases with household wealth in the typical financial institution, and that wealthy households are much more likely to seek financial advice from other providers. How are banks and credit unions progressing towards the goal of moving their wealth management practices upmarket?
We can use investment assets per client household as a measure of the relative affluence of the firm’s client base, and the extent to which the firm’s advisors have captured those assets. Median assets per client was $263,545 in the typical financial institution at the end of 2025, essentially unmoved from the previous year.
Source: Kehrer Group 2025–2026 Annual Benchmarking Survey
Small bank practices and credit unions saw average assets per client decline during the year, by 6.7% and 7.4% respectively. On the other hand, assets per client increased 29% in banks with at least 25 financial advisors, suggesting that large banks are having more success at going upmarket compared to their smaller counterparts.
Meanwhile, this trend is unfolding against the backdrop of double-digit asset growth. Investment assets grew nearly 17% in the typical financial institution last year after increasing nearly 20% the year before, driven by the market appreciation of assets under management and the acquisition of new client assets.
Source: Kehrer Group 2025–2026 Annual Benchmarking Survey
Investment assets have been growing the fastest in banks with fewer than 25 advisors over the past two years. Large bank practices had somewhat slower asset growth last year compared to other banks, and significantly slower asset growth during 2024. Credit unions have enjoyed consistent investment asset growth of between 15% and 17% annually.
Assets per client worsened in the same firms that posted the strongest year-over-year growth in investment assets. Rather than going deeper with a more affluent set of clients, it appears that these firms continue to rely on the accumulation of small accounts and market appreciation to drive growth. Banks and credit unions need help upgrading their wealth management offerings to appeal to higher-net-worth clients.
“Community banks and credit unions have earned the trust of their customers and members over decades. The opportunity today is turning that trust into deeper relationships, greater wallet share, and higher client retention. At Merit, we help institutions do exactly that by combining the trust they have built with the planning, investment, and wealth management capabilities affluent families increasingly expect.”
Jonathan Pitzen
VP of Strategic Partnerships
Merit Financial Advisors
About the Kehrer Group Annual Benchmarking Survey
Kehrer Group has been benchmarking the investment services business in financial institutions since the early 1990s. This Highlighter draws on data* from the 2025-2026 Kehrer Group Benchmarking Survey, encompassing 127 banks and credit unions which collectively manage $471 billion in assets under administration and deploy 4,072 financial advisors.
*Survey data reflects participating institutions and may not be representative of all banks or credit unions. “Typical financial institution” and other statistical measures are defined according to Kehrer Group’s survey methodology. Past industry trends may not continue.
About Kehrer Group Highlighters
The Kehrer Group Highlighters package some of our most important findings, insights, and commentary into bite-size, digestible articles. We make the Highlighters available for free to the entire financial advice community—a small gesture of appreciation for a community that has done so much to support our work.
About Merit Financial Advisors
Merit Financial Advisors (“Merit”) is a national wealth management firm that partners with banks, credit unions, and other trusted advisors to help deepen client relationships, expand wealth management capabilities, and serve the evolving needs of their clients. Through comprehensive financial planning, investment management, tax-aware wealth strategies, estate planning coordination, and specialized expertise, Merit helps partners deliver additional value to their clients while preserving the trusted relationships they have built. Based in Atlanta, Georgia, Merit has more than 70 offices across the United States and manages approximately $32.92 billion in assets as of September 12, 2026. For more information, visit discover.meritfa.com/bank-partnership. Investment advice offered through Merit Financial Group, LLC, an SEC-registered investment adviser.
About Kehrer Group
Kehrer Group is the bank and credit union financial advice community’s trusted partner for original thought leadership, insight based on data, and strategies that drive success. Kehrer Group’s legacy of research and analysis has advanced the delivery of investment services in banks and credit unions and shaped the industry into what it is today. Kehrer Group’s principals meld the wisdom gained from its long history in the industry with cutting-edge analytics, data that is robust and diverse, and a deep understanding of the key drivers of performance.
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