How RIA employee advisors are fueling the next breakaway wave

Advisors from the big brokerage firms are having immense success joining the independent ranks at a time when the infrastructure and capital solutions to support these de novo businesses have never been more robust. [...]employee advisors who want to service clients in a different way, or who come t...

Full description

Saved in:
Bibliographic Details
Published inFinancial Planning (Online)
Main Author Diamond, Louis
Format Trade Publication Article
LanguageEnglish
Published New York SourceMedia 10.04.2023
Subjects
Advisors
Compensation
Financial planning
Investment advisors
Succession planning
Wages & salaries
Online AccessGet full text

Cover

More Information
Summary:Advisors from the big brokerage firms are having immense success joining the independent ranks at a time when the infrastructure and capital solutions to support these de novo businesses have never been more robust. [...]employee advisors who want to service clients in a different way, or who come to believe that their RIA no longer provides a best-in-class service model, are likely to consider a scenario that removes such limitations. In our experience, advisors who check the following boxes will enjoy more compelling exit opportunities and can demand more aggressive compensation packages. · Those with self-sourced and serviced clients as opposed to those with less-portable "firm relationships" · Those with limited non-solicitation, non-compete or other post-employment restrictions or whether the firm is a member of the Protocol for Broker Recruiting · Those with a hunger to grow and bring in new business · Those who are highly confident in their level of portability In short, the line between working for an independent firm and a wirehouse is starting to blur for many advisors.