What it Takes to Win in the RIA Acquisition Game
Want to beat out competitors to buy RIA firms? You still need plenty of cash – but increasingly, you need a long-term success narrative and a well-oiled integration machine as well.
That’s one of the takeaways from the initial “RIA Deal Room” research report, compiled by wealth management consultancy Advisor Growth Strategies and sponsored by BlackRock. The report goes beyond basics like number, size and price of acquisitions to examine the terms of recent deals.
Inside the RIA Deal Room: Advisor Growth Strategies, With Support From BlackRock, Unveils New M&A Study
Advisor Growth Strategies, a management consulting and transaction advisory firm serving financial advisory firms and institutions, today announced the release of a special research report called "The RIA Deal Room." Sponsored by BlackRock, the study provides unbiased, data-driven insights into the changing M&A landscape, including how acquirers and sellers are getting deals done.
The concept behind the study is to provide a more novel, in-depth look at the mechanics underlying RIA M&A transactions and provide information that is not otherwise readily available to market participants. This study is a result of a detailed analysis of recent M&A transactions.
The Evolving Advisor Podcast: Ep 006 John Furey
In this episode, Jeff and John discuss:
• John’s professional journey and what lead him to the forming of Advisor Growth Strategies.
• Finding and retaining fantastic talent.
• The tactic of compensation and equity mandates.
• Thinking readiness and preparedness.
John Furey explains the biggest mistakes advisors make (video)
Top RIAs weigh in on industry talent shortage
Three of the RIA industry’s top advisors have three different solutions for the wealth management business’ demographic issues.
In a panel discussion at the Citywire RIA Retreat in Austin, Texas, Savant Capital Management’s Brent Brodeski, Exencial Wealth Advisors’ John Burns and Beacon Pointe Wealth Advisors’ Matt Cooper revealed how they identify young talent in an industry some argue is beginning to look elderly.
‘This industry is doing a horrible job, terrible job at talent development,’ said John Furey, managing member of RIA think tank aRIA (the Alliance for RIAs). ‘It needs to do better and the challenge is everyone is a small business, not Merrill Lynch. That’s where wires and big firms are advantaged.’
Under pressure: Is the RIA industry morphing into the brokerage biz?
When asked, financial advisors who have fled the ranks of the wirehouses typically cite a handful of reasons for why they left the brokerage industry.
Some argue that they wanted to own their clients and equity in their business. For others, becoming an RIA stemmed from a desire to free themselves from their employer’s investment proposition and create their own portfolios.
But the world they’ve entered may start to resemble the one they left.