At this week’s InvestmentNews RIA Summit, growth took center stage — and that stage had better be large and reinforced.
One panelist cited an industry report that said the market has grown from about 6,600 investment advisers registered with the SEC in 2000 to more than 13,880 firms now. Among those are 851 wealth management firms with $1 billion or more in assets, 166 with $5 billion or more in assets, and 75 RIAs with $10 billion or more in assets.
And as per Bruce Kelly’s reporting last Wednesday, “private equity managers are swarming around RIA firms with $500 million to $1 billion or more in assets, looking to buy and merge firms into increasingly larger networks. And because cash is cheap due to low interest rates, financing deals continues to be attractive.”
But that growth opportunity isn’t limited to the RIA world. As these firms’ clients look for increased access to alternative assets and digital currencies, custodians hope to capitalize on that. Ben Harrison, managing director and co-head of wealth solutions at Pershing, said the firm has set up a digital currency and asset business to explore the future of custody, blockchain and crypto investing and how it happens for RIA clients.
And Bernie Clark, head of advisor services and managing director at Charles Schwab, said, “We’re seeing tremendous growth in alternatives on our platform right now, it’s unprecedented, and I expect that’s going to continue.”
Rajesh Markan earlier this year pleaded guilty to one count of criminal fraud related to his sale of fake investments to 10 clients totaling $2.9 million.
From building trust to steering through emotions and responding to client challenges, new advisors need human skills to shape the future of the advice industry.
"The outcome is correct, but it's disappointing that FINRA had ample opportunity to investigate the merits of clients' allegations in these claims, including the testimony in the three investor arbitrations with hearings," Jeff Erez, a plaintiff's attorney representing a large portion of the Stifel clients, said.
Chair also praised the passage of stablecoin legislation this week.
Maridea Wealth Management's deal in Chicago, Illinois is its first after securing a strategic investment in April.
Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.
Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.
