$900 million UBS breakaway team forms new firm, joins Dynasty

Jonathan Blau founds Fusion Family Wealth with four team members

Nov 12, 2013 @ 1:26 pm

By Joyce Hanson

A team of five UBS AG advisers said Tuesday that they have left the wirehouse brokerage firm to form an independent investment advisory firm, Fusion Family Wealth, and have joined Dynasty Financial Partners' platform of wealth management services and technology.

Led by firm founder Jonathan Blau, a former UBS senior vice president, Fusion's team members started their new firm over the Veterans Day holiday after exiting UBS last week.

The $900 million wealth management team has already spoken to many clients, and they are “favorably inclined” toward moving to the new firm from UBS, Mr. Blau said.

(Advisers still leaving wirehouses but there's no exodus)

He declined, however, to characterize Fusion's team as breakaway brokers.

“I like to consider myself an independent registered investment adviser,” Mr. Blau said.

“I wasn't running from something,” he said. “I was running to something.”

With offices in both New York and on Long Island, Fusion Family Wealth comprises Mr. Blau, along with managing director Harvey Radler, senior wealth advisers Jeffrey Blick and Joel Bodner, and senior client service specialist James Cloudman. All are joining from UBS.

Although the new firm is in its “nascent stages,” the five UBS team members, who had worked together for the past 10 years, “always had an eye toward adopting an independent model,” Mr. Blau said.

(Track the latest in recruiting from InvestmentNews' Advisers on the Move database)

Fusion's professionals want to offer a high legal and fiduciary standard, which is why they were attracted to Dynasty's open-architecture platform, he said.

The partnership lets Fusion work with large accounting and law firms and thus handle a wide range of client needs using Dynasty's customized platform. The platform includes proprietary research from Callan Associates and Wilshire Associates as well as Envestnet's portfolio tools and reporting technology.

Fidelity Institutional Wealth Services will provide clearing and custody services.

In starting up Fusion, Mr. Blau looks forward to using behavioral finance when working with clients.

Research shows that emotion and psychology adversely influence investor's financial decisions, he said, pointing to such maxims as “sell in May and go away,” which can prevent clients from achieving their goals.

“I work with my clients on viewing investing from a more rational perspective,” Mr. Blau said.

0
Comments

What do you think?

View comments

Most watched

INTV

How advisers can be a gamechanger for women investors

Why women defer to men when it comes to finances and how advisers can combat this phenomenon and make a difference for female investors, according to Heather Ettinger, founder and CEO Luma Wealth Advisors.

INTV

How the 2020 elections could impact ESG investing

Joseph Keefe, president of Impax Asset Management, on the elections and how advisers can build a bridge to the next generation of clients with ESG investing.

Latest news & opinion

Schorsch, AR Capital to pay $60 million to settle SEC charges

The former REIT czar and his firm wrongfully obtained millions linked to REIT mergers.

CFP Board postpones enforcement of its revised fiduciary standard

Board's new Code of Ethics and Standards to be enforced next June, in line with the SEC's Reg BI

Charles Schwab reportedly in talks to buy USAA brokerage, wealth management business

The deal would net Schwab roughly $100 billion in new assets.

Advisers scramble to help retirees navigate looming Fed rate cut

The Fed's first interest-rate cut in a decade has advisers warning against chasing the bait of risk over safety.

X

Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting investmentnews.com? It'll help us continue to serve you.

Yes, show me how to whitelist investmentnews.com

Ad blocker detected. Please whitelist us or give premium a try.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print