BREAKING THE CHAIN: NAVIGATING YOUR CHOICES AS A FINANCIAL ADVISER CONSIDERING A MOVE (avoid unintended disclosure, or breach of loyalty to your current firm)
Do you think about “breaking away” from your current firm? Are you considering starting your own Registered Investment Advisor (RIA) or joining an existing RIA?
There are so many aspects to consider if you are an adviser looking to make a move: First, evaluate where you are (wirehouse, bank, regional firm, RIA) vs. your future career plan, the type of investment products you offer, are you fee-based only, what percent of your business is brokerage, lead sources, support systems, back office, compliance, etc. Our ambition is to educate advisers with the ultimate goal of finding their best “match” for the future by evaluating all of these moving parts. RIA’s are “booming” and increasingly competitive with licensed, experienced advisers “breaking away” from their firms. We believe it is important to first know how to compete in every aspect.
Do you have the entrepreneurial preparation and discipline it takes to succeed as an independent?
The autonomy and freedom that comes with running your own practice comes with many responsibilities or “headaches” depending on your view. We can help you decide if it’s right for you. For example, making the move from a “wire house” to an “independent” requires self motivation and the right skills to be successful. Working with a team of experienced professionals to get educated on how to properly utilize the best resources in today’s marketplace is key to setting yourself up for long-term success. We pride ourselves at assisting break-away advisers establish relationships, education and continuing education to help them become a successful entrepreneur.
Do you know how to brand your business and build an online presence?
Some financial advisors know a thing or two about blogging, building websites, creating marketing material, logos, etc. Knowing the best practices and leaders in the industry, compliance, and verbiage that can be used in sharing your unique message/brand are essential. We review marketing materials for regulatory compliance; whether it’s your original content, or content we provide, we strive for effective and compliant online marketing. We customize our recommendations based on the unique skills of you and your team, and the level of compliance required to establish and grow your firm. We can assist you with integrating cloud-based software solutions (third-party brands) that can help build trust with your clients. We also provide third-party business reviews (online content) that can help with Search Engine Optimization (SEO) to help establish visibility and credibility online.
Do you have education and access to the latest in technology?
Successful Independent Advisers (IA’s) carefully choose their technology stack carefully to maximize efficiency and minimize cost. Understanding your options when it comes to client management systems, compliance, reporting, filing systems, on-boarding new accounts, managing portfolios and bringing in new assets is important before deciding to start your own practice. Building a technology stack that is customized to your unique business is essential. The goal is to set yourself up right the first time instead of making a mistake requiring you to move clients from custodian to custodian.
Do you need help creating your website or with social media marketing?
We can help you navigate social media, it’s not as easy as most think! It is crucial to have education and professional guidance in this highly regulated area.
We also build custom adviser websites which include cloud-based filing cabinets or “vaults” for sharing documents, marketing material and compliance guidance – allowing your firm to stay ahead of regulatory audits and eliminating the need for printing or mailing documents.
Be aware of your current firm’s confidentiality agreement?
Be careful not to breach your duty of loyalty to your current firm. In most cases, an adviser cannot inform their clients of their plans to move. If they do, there can be legal ramifications and potential liabilities. It is also a “breach of loyalty” to spend hours planning your move, finding office space, etc. An adviser is obligated to work solely for their employer. This may mean finding a third-party to support you during your transition. If you have current clients and their business real estate (office space), interior office design, furniture, etc. you may feel it’s okay to ask for their help; this type of unintended disclosure is likely considered a violation of loyalty to your current firm.
RIA CCO provides prospective Independent Advisers with structured consultations to provide quality education and feedback using a systematic approach. Register here to have a career conversion assessment with CEO Sonja Wall (Series 24 Securities Principal, Outsourced Chief Compliance Officer) with no upfront cost. We work as a team to be your “concierge” in the rapidly changing Financial Services industry. We can discuss the following, plus more:
Book ownership requirements
Hybrid RIA (includes a broker/dealer) vs. Fee-based only RIA
Investment product options
Required regulatory filings / Ongoing Compliance
Cloud-based technology opportunities
* Our recommendations, strategy options and feedback are not swayed by exclusive relationships or compensation from companies we partner with. We strive for complete transparency. If there is any potential conflict of interest that could arise, it will be clearly discussed.
