Make client problems your problems, Merit Financial Advisors CEO says

Rick Kent is the CEO of one of the fastest growing RIAs in the industry. Since launching his career in wealth management in 1998, he said he has approached the industry as an entrepreneur.

At the helm of Merit Financial Advisors, a hybrid RIA based in Alpharetta, Ga., Kent said he has prioritized scalable growth, advanced client relationships, and the use of technology, helping to make Merit a significant player in the industry.

After a series of entrepreneurial ventures, he entered the field with a focus on quickly establishing trustworthy relationships with clients, a skill he said is essential to success.

“What I noticed [when I first started] in the industry was the importance to build relationships fairly quickly,” he said. “Secondly, you had to be trusted. If you can build trustworthy relationships and you can do it quickly, you could probably be successful in this business.”

It wasn’t until 2005 when he decided to launch Merit and instill that focus on trust and relationship-building, which he said has been a guiding principle for the entire Merit team.

Over the past 20 years, the firm has grown to almost $13.5 billion in assets under management, with 48 offices across the country. 

"We really exist to enrich the lives of those we serve," Kent said. "We put a lot of emphasis on the client relationship and try to think of ways we can enhance that experience."

That can mean calling a client back the same day, he said.

“Don’t wait. If the client has a problem, accept it as your problem. Solve their problem for them right away. It's really about listening to the clients, solving their problems and [taking] more complex situations or conversations about money and make them simple.”

This client-centric approach has manifested in a range of innovative initiatives at Merit.

For one, rather than simply managing investments, the firm has expanded its services to address a broader spectrum of client needs, from health care planning to tax services and comprehensive estate planning.

Kent said he envisions Merit as a one-stop shop for clients, where advice on complex financial decisions extends beyond investment management to cover such services.

Recognizing the evolving needs of clients, Merit has expanded to include services like small business valuations and employee benefits, helping business owners and high-net-worth individuals navigate the full spectrum of financial planning.

“The RIAs of the future are going to be the ones that really touch people in many different facets of their life. It's going to be a lot more than just money management and financial planning,” Kent said.

To that end, Merit has developed alliances that enhance service offerings, giving clients access to a broader range of financial expertise. For instance, Kent points to Merit’s CPA Connect program that he said allows for collaborative planning with accounting professionals, streamlining services for clients while expanding business avenues.

Also underpinning Merit’s growth is its strategic use of technology.

Recognizing the importance of data and analytics in driving informed decision-making, Kent said RIAs need to adopt the convenience-driven standards set by major platforms like Amazon.

That’s why the firm has invested heavily in building its own proprietary data warehouse, through Salesforce, allowing Kent and his team to track metrics like new assets, household data, referrals, and areas for improvement.

“We have to anticipate what the clients really need, and we need to start delivering that for them,” Kent said. “The only way we're going to be able to do that is through technology.”

"Once you have that data, there's just no limitation to what you could do with it,” he said. "We're very focused on it, because it's going to be a big part of our future going forward."

More recently, the firm partnered with Purshe Kaplan Sterling Investments as its broker-dealer for the commission-side of its business, after a public breakup with LPL Financial.

Kent emphasizes the split was needed as both firms “grew in different directions,” also noting that it was best for the business long-term.

“We made a decision that independence is super important to us. We want flexibility for our clients. We want them to be able to choose what the best place is for them to put their money. We made that decision [with PKS],” he said.

Acknowledging that Purshe Kaplan Sterling isn’t as developed as other larger broker-dealers like their BD predecessor, he emphasizes that they’re willing to work and develop together.  

 “Just like our partnerships with the advisors that we partner with, it's a two-way street,” he said. “It's going to be better for them and better for us.”