Displaying items by tag: BDs

When financial advisors decide to change their broker-dealer, they often face the challenge of transitioning their clients smoothly. Many worry about the paperwork, duration, and impact on revenue.

 Insights from advisors who transitioned to Osaic Wealth reveal that 75%-100% of clients typically move with them, and the process takes about 60-90 days, though some clients move later. Having dedicated support is crucial.

Proper preparation, clear client communication, and understanding new systems are key to a successful transition. Advisors also note that initial revenue may drop but generally stabilizes or increases within a year.

Finsum: Leveraging the new BD and technology can really aid in the transition.

According to a report from Charles Schwab registered investor advisor firms with less than $100 million in assets are improving recruiting efforts as of late. In a poll, it was the fourth listed initiative among RIAs in 2021, up five spots from the previous year. How these new recruiting efforts are delegated is also interesting with a quarter of RIA’s planning on adding relationship managers and 15% looking to add a client-facing management role. Additionally, more than half the firms are also adding back office and admin staff. Talent is an increasingly important commodity in the average RIA firm and many new efforts will be made to obtain it.

Finsum: It will be interesting to see exactly how the details of obtaining new talent come out: whether that’s specific programs or bonus-based incentives.

(Washington)

Brokers, those that are dually-registered, pretty much anyone covered by Reg BI, you should be on the lookout for a pending crackdown by the new Biden administration-led SEC…see the full story on our partner Magnifi’s site