News and Commentary

Joining an Independent Broker-Dealer Can Strengthen Financial Advisors’ Capabilities, Help to Improve Client Service by Eric P. Zeitlin

Gone are the days when large, institutional banks and wirehouses were the only ones with pockets deep enough to arm financial advisors with the tools needed to attract and retain wealthy clients. Today, registered investment advisors (RIAs) and wealth-management firms that align with independent broker-dealers (IBDs) have access to a wide array of customizable strategies and support functions that help them narrow their focus on doing what they do best: helping clients achieve their estate and financial goals.

As an example of the rise of independent wealth management firms, consider that in 2017 almost 80 percent of the $94 billion in assets that moved away from wirehouses went to independent RIAs and boutique wealth-management practices aligned with IBDs. It is unknown whether this exodus is the result of advisors choosing to abandon the high-pressure, aggressive-sale-quota focus of the wirehouse environment or consumers’ growing distrust of institutional behemoths following the 2008 financial crisis and subsequent scandals.

While some RIAs choose to go out on their own and create an advisory firm from the ground up, they should consider all of the time, resources and liabilities that come with establishing and managing a start-up firm. Instead, advisors and advisor teams should consider the benefits that they and their clients can yield when they join an existing independent wealth advisory firm.

Below are some of the benefits both advisors and clients can find when advisors and advisors teams join an independent wealth advisory firm as opposed to starting their own RIA.

Benefits to Advisors

Benefits to Clients

 

To learn more about how broker independence can benefit you and help improve the overall client experience, visit www.provwealth.com.

About the Author: Eric P. Zeitlin is managing director of Provenance Wealth Advisors, an Independent Registered Investment Advisor affiliated with Berkowitz Pollack Brant Advisors and Accountants, and a registered representative with Raymond James Financial Services.  For more information, call (954) 712-8888 or email info@provwealth.com.

Provenance Wealth Advisors, 515 E. Las Olas Blvd., Ft. Lauderdale, FL 33301 (954) 712-8888.

Eric P. Zeitlin is a registered representative of and offers securities through Raymond James Financial Services, Inc., Member FINRA/SIPC.

Raymond James is not affiliated with and does not endorse the opinions or services of Berkowitz Pollack Brant Advisors and Accountants. PWA is not a registered broker/dealer and is independent of Raymond James Financial Services. Investment Advisory Services offered through Raymond James Financial Services Advisors, Inc., and Provenance Wealth Advisors.

This material is being provided for information purposes only and is not a complete description, nor is it a recommendation. Any opinions are those of the advisors of PWA and not necessarily those of Raymond James. The information contained in this report does not purport to be a complete description of the developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete.

 

 


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