The level of satisfaction among do-it-yourself (DIY) investors with their brokerage firm has stalled despite the powerful rally in the stock market, according to a recent report, as firms have struggled to differentiate and add value.

The average satisfaction of DIY investors is 708 on a 1,000-point scale, one point higher than in 2023 and the same as 2022, based on a J.D. Power 2024 U.S. Self-Directed Investor Satisfaction Study of 9,875 investors who make all their investment decisions without the assistance of a full-service, dedicated financial advisor.

“This lack of improvement amid a strong surge in stock market growth suggests that DIY investor satisfaction is no longer benefiting from the ‘halo effect’ that typically comes with strong markets,” the company said.

The survey revealed that satisfaction levels were highest among DIY investors who traded more actively and lowest among those who preferred a buy-and-hold strategy.

Satisfaction among self-directed investors who seek help increased by 15 points this year.

Fidelity placed first among such investors in terms of satisfaction, with 708 points, followed by Charles Schwab (707), TD Ameritrade, and Vanguard (702). Wells Fargo Advisor Solutions received the lowest score of 666 points, followed by Merrill Edge with 671.

Among DIY investors, TD Ameritrade ranked highest, with 722 points, followed by Schwab and Vanguard, with 717 points each. In this category, Merrill Edge came in last, with 665 points.

“Right now, trust levels are flat and until firms find ways to better connect with investors, they are going to struggle to forge the strong relationships they need to differentiate and add value beyond just digital prowess,” said Kapil Vora, senior director of wealth intelligence at J.D. Power.

The results show that the younger generation of DIY investors now prefers more personalized service, which large brokerages are battling with after developing systems to take a hands-off, no-fee approach with “green” clients.

“Retail brokerages need to rethink their role in their clients’ lives and start to deliver clear, quantifiable value, particularly to younger investors,” said Craig Martin, executive managing director and head of wealth and lending intelligence at J.D. Power. “Right now, that personal connection is really missing at many firms.”

The study was conducted from January 2023 to January 2024 and is based on seven elements (in order of importance): trust, digital channels, the capacity to manage capital in the way investors desire, products and services, value for fees, people, and problem resolution.