Thiel, Casady latest executives to keep grinding, investing, earning

Thiel, Casady latest executives to keep grinding, investing, earning
Casady and Thiel
“They have the skills to run huge companies, so why not focus on a start up?" one senior executive said.
NOV 05, 2024

Both former Merrill Lynch head John Thiel and former LPL Financial CEO Mark Casady on Monday said they had taken on new roles in the financial advice industry, with the former announcing he was a co-founder of a new RIA and the latter saying he had taken on a board seat at a technology that focuses on artificial intelligence in the wealth management business.

As the wealth management industry continues to expand and ride the wave of private equity cash aimed at new startups or aggregators focused on bundling financial advisors, it’s no surprise that leading veterans like Thiel and Casady, who oversaw ten of thousands of financial advisors in their prior roles, were actively pursuing such ventures, industry observers noted.

Thiel was head of Merrill Lynch Wealth Management in 2016 when he became vice chair of Bank of America’s Global Wealth Management & Investment Management group. Casady was CEO of LPL Financial through early 2017 when he retired and founded Vestigo Ventures, an early stage venture capital firm focused on fintech.

“Many senior executives who have had illustrious careers, after they retire it’s easy to sit on a board of a charity or invest their own capital,” said Larry Roth, managing partner at RLR Strategic Partners, who is also a former CEO of both Advisor Group, now Osaic Inc., and Cetera Financial Group. “But it’s way more enjoyable to roll up their sleeves and work in these new wealth management businesses.”

“It’s hard for people like a John Thiel or Mark Casady to sit on the sidelines,” Roth said. “They have the skills to run huge companies, so why not focus on a start up? Add in the tailwinds of the wealth management industry, particularly private investors and equity ready to invest. They want the best people.”

Thiel on LinkedIn on Monday said he was co-founder and executive chairman of Indivisible Partners, a privately owned independent advisory firm.

“In advisors we trust, in clients we serve,” the announcement stated. More news will come in January.

Meanwhile, Casady on Monday said on LinkedIn that he was starting a new position as a board member of Domify AI.

“What’s lacking for these RIA aggregators and startups is not financial advisors, but experienced, top people who can manage these advisory businesses,” said another senior industry executive who spoke privately to InvestmentNews. “There’s always been an operations gap in the wealth management industry, but now there’s an unprecedented amount of capital. That means these top executives can run a new firm or work with private equity managers to consolidate them.”

Latest News

SEC bars ex-broker who sold clients phony private equity fund
SEC bars ex-broker who sold clients phony private equity fund

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.

The key to attracting and retaining the next generation of advisors? Client-focused training
The key to attracting and retaining the next generation of advisors? Client-focused training

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.

Chuck Roberts, ex-star at Stifel, barred from the securities industry
Chuck Roberts, ex-star at Stifel, barred from the securities 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.

SEC to weigh ‘innovation exception’ tied to crypto, Atkins says
SEC to weigh ‘innovation exception’ tied to crypto, Atkins says

Chair also praised the passage of stablecoin legislation this week.

Brooklyn-based Maridea snaps up former LPL affiliate to expand in the Midwest
Brooklyn-based Maridea snaps up former LPL affiliate to expand in the Midwest

Maridea Wealth Management's deal in Chicago, Illinois is its first after securing a strategic investment in April.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

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.