Raymond James shuffles succession and capital solutions unit

Raymond James is reorganizing the teams that help its financial advisors plan for retirement, fund acquisitions and access capital, folding what had been separate functions into a single reporting structure.

The realignment announced Wednesday is aimed at giving advisors a more coordinated set of options as they build, sell or hand off their practices, according to the St. Petersburg, Florida-based firm.

Raymond James said it had "enhanced its approach to advisor succession planning and capital solutions by bringing together complementary capabilities designed to help advisors grow, build equity in their businesses, access strategic capital and create lasting continuity for clients, teams and communities."

Read more: Advisors face retirement 'tidal wave', warns Edward Jones. But few are prepared for it

Effective October 1, Emma Boston, senior vice president of Succession & Capital, will report to Patrick O'Connor, chief operating officer of the Private Client Group. Rob Goff, vice president of Succession & Acquisition Consulting, will now report to Boston.

Raymond James said the realignment is meant to connect succession consulting, acquisition planning and capital solutions into what it called a "seamless experience" for advisors weighing their options.

The move builds on Raymond James' history of initiatives aimed at supporting entrepreneurial advisors across its network. In April last year, it welcomed Michelle Lynch to the newly created role of senior vice president, practice management and growth consulting, which came with a mandate to support advisors through the full business lifecycle, including succession planning.

Read more: Raymond James announces leadership shakeup to boost advisor support

The month after, the firm rolled out an equity financing option through its Practice Capital Solutions platform, letting eligible advisors exchange a minority equity stake and a slice of practice revenue for funding they could put toward succession planning, team growth, technology upgrades or acquisitions, while retaining full operational control and the option to buy back the stake later.

Boston, then vice president of strategic operations, said at the time that the goal was to solve advisors' capital needs "while ensuring that the advisor maintains full control – over their practice, their day-to-day operations, and their legacy."

Around the same time, Raymond James introduced a separate talent sourcing service for its independent advisors, connecting practices with a dedicated recruiter to help fill entry-level and specialized staff roles.

Read more: Raymond James gives its indie advisors a helping hand in recruitment - InvestmentNews

Shannon Reid, the former president of Raymond James Financial Services who has since jumped ship to become president at Osaic, said the service was built to help advisors balance "the priorities that continue to fuel their organic growth with the support required to deliver and expand on the services that their clients enjoy."

Succession has become one of the wealth management industry's most closely watched structural issues. Survey research from Cerulli found that 35% of financial advisors, who manage roughly 40% of industry assets, plan to retire within the next 10 years, and more than a quarter of them are uncertain about their succession plans.

The same report found finding a qualified buyer registers as a major challenge for 100% of the practice management professionals Cerulli surveyed on advisor succession, with legal considerations around buy/sell contracts cited as a major challenge by 75%.