Finding the success you’ve always dreamed of in today’s rapidly changing wealth management space is no longer about fitting in at a traditional wirehouse. It’s about charting a course that aligns with your vision, values, and aspirations.
For seasoned industry professionals especially, a critical juncture often arrives — a crossroads where the question “what’s next?” takes center stage.
Advisors have a multitude of opportunities available, from the allure of full independence to the stability of long-established firms. The path you choose will profoundly impact your professional reputation, work-life balance, and ultimately, your ability to serve your clients effectively.
Let’s take a deep dive into the exciting possibilities in this industry and explore the various paths you can take to boost your growth trajectory.
Choices: Breakaway, Build, or Bridge the Gap?
The traditional model of working within a large wirehouse may offer a level of comfort, but flexibility, compensation nor ownership doesn’t align with long term goals. This realization can spark the desire to follow a more independent path.
Before embarking on your next chapter, a period of self-reflection is crucial. Consider these key questions:
- Values and passions: What truly motivates you? Do you thrive on building long-term client relationships, or does the thrill of navigating the market fire you up? Understanding your core values is paramount in finding a role that aligns with your inner compass.
- Strengths and skills: What are you naturally good at? Are you a detail-oriented financial analyst, or do you possess exceptional communication and interpersonal skills? Honing your strengths and cultivating new talents will equip you for a wider range of career options.
- Career aspirations: Where do you see yourself in the next five to ten years? Do you envision leading a team, specializing in a niche area, or becoming a trusted partner to ultra-high-net-worth individuals? Having a clear vision will guide your search for the right opportunity.
Let’s break down three intriguing paths to consider:
Turn-Key Breakaway Advisor
This approach provides a fast track to independence. Partnering with a turn-key breakaway firm offers a comprehensive support system, including assistance with:
- Compliance and technology: Managing regulatory requirements and leveraging robust technology infrastructure frees you to focus on client relationships.
- Marketing and business development: Gain access to proven marketing strategies and resources to attract and retain clients.
- Ongoing training and support: Continuous professional development and dedicated support help navigate the complexities of helming your own practice.
The expert consultants at TERRANA GROUP can help you find the perfect partner, where streamlined processes will accelerate your transition to independent practice.
You’ll be able to reduce operational and administrative burdens by delegating onerous back-office tasks, allowing you to focus on client service — and you’ll benefit from expertise, the latest AdviceTech, and other success initiatives.
Savvy Advisors will also enjoy better compensation than employee models, the ability to brand your practice, and greater flexibility.
Building Your Own Practice
For advisors seeking complete control over their practice, establishing your own RIA firm is a strong consideration. This path requires dedicated preparation and in-depth strategizing on several fronts, including:
- Business planning and legal considerations: Developing a comprehensive business plan is imperative for successfully navigating legal and regulatory hurdles.
- Creating a sustainable tech infrastructure: Implement a robust technology stack to manage client data, investments, and operations.
- Compliance and regulatory management: RIA leaders are responsible for ensuring adherence to all applicable regulations.
Full independence gives you the ultimate control to tailor your practice to your vision, target client base, and unique service offerings. You’ll find greater prosperity when you’re able to capture the full potential of your client relationships.
Remember that building a practice from the ground up requires considerable time, ready cash, and risk. Initially, you and your leadership team will be responsible for all aspects of running the business.
The rollercoaster of entrepreneurship isn’t for everyone, but the industry experts at TERRANA GROUP offer invaluable guidance for Advisors considering a completely independent option.
Joining an Existing Independent Broker-Dealer (IBD) or RIA
This path offers a balance between full independence and support from an established advisory. Independent firms often provide an array of opportunities for top talent, such as:
- Regulatory and compliance tools: Gain confidence from compliance oversight and access to cutting-edge FinTech platforms.
- A marketing & business development inside track: Utilize the advisory’s existing brand and digital marketing initiatives to identify your niche and attract your target audience.
- Freedom and flexibility: Enjoy more agility in product offerings and client service approaches.
Experience the distinct advantage of a fully equipped infrastructure with an established platform and professional ecosystem. Escape the confines of the traditional wirehouse and discover a new level of autonomy where you can focus on high-impact processes while the firm handles administrative tasks.
Careful due diligence is necessary to ensure the RIA is aligned with your values. Industry professionals seeking a career jump-start should evaluate each firm’s culture, resources, continuing education opportunities, and overall commitment to their success.
An independent advisory is a small business at its core, so having the right mentorship, coaching, and support network can prove invaluable.
Potential Path to the Future
While providing quality service is an Advisor’s top priority, growth and succession considerations should not be ignored.
The path you choose for your practice’s advancement in the wealth management space hinges on your unique goals and aspirations. Do you crave the complete control of building a thriving business, or are you drawn to an established platform and full support? Perhaps the turn-key breakaway model offers the ideal balance of independence and structure.
At TERRANA GROUP, we’ve got over 31 years of experience helping Advisors explore a spectrum of opportunities and tap into their full career potential. Now is the time to make a move — reach out to us today!
