The call to independence resonates deeply with many working in the wealth management space these days. Breaking away from the wirehouse and embracing a more cutting-edge career path offers many attractive benefits, from higher revenue potential to the opportunity to thrive in a more innovative culture.
However, embarking on this journey requires a nuanced approach that balances the promise of freedom with the realities of responsibility. There are many models available for enterprising Advisors who have the flexibility to choose the type of practice that best suits their goals and style.
Determining the right moves for your specific situation requires self-reflection, meticulous planning, and dedicated research. The industry authorities at TERRANA GROUP are here to equip you with insights and experiential knowledge to navigate this pivotal decision — let’s delve into the process of evaluating how independence aligns with your aspirations.
Necessary Introspection
The cornerstone of any successful life transition is self-discovery. Defining your core values and vision for the future and making a 5-year business plan is the first step on the journey to professional fulfillment.
With unprecedented instability over the last several years contributing to seismic shifts in markets and priorities, it’s especially important to adopt an agile mindset and craft a master plan that includes contingencies and grants you the ability to remain flexible in the face of challenges.
“Independent Advisors are the growth story of the advice industry,” said Jonathan Beatty, senior vice president, head of sales and relationship management at Schwab Advisor Services. Many are increasingly pursuing the independent route, via groundbreaking turn-key models and boutique RIAs, or fully embracing the entrepreneurial spirit and striking out on their own.
Why make a career change now? More flexibility and control typically top the list of reasons Advisors consider independence. The ability to offer a wider range of products and services allows for greater customization to each client’s unique needs and goals. Leaving the wirehouse also frees you from the restrictions of set-in-stone investment menus and less responsive platforms.
Honing Your Brand
Consider your level of comfort with regulatory and administrative tasks. If the thought of handling compliance as well as social media marketing holds zero appeal, we suggest engaging with a skilled financial services recruiting team, the experts at TERRANA GROUP, can provide invaluable insights and guidance tailored to your goals.
Enhanced income potential also motivates many. By eliminating the wirehouse “split,” you retain a larger share of the revenues generated, creating more upside. Equity in your practice is another consideration down the line.
In today’s competitive landscape, standing out from the crowd is crucial. What sets you apart from other firms, both independent and wirehouse-affiliated? Do you possess expertise in a specific area, such as sustainable investing or financial planning for tech entrepreneurs? Or do you offer a bespoke service model, prioritizing personalized financial education or fostering strong client relationships?
Advisors who focus on one niche area tend to take home higher incomes than those who don’t, according to Michael Kitces, “chief financial planning nerd” at Kitces.com and head of planning strategy at Buckingham Wealth Management.
Creative client segmentation via AI-powered customer relationship management software gives you another effective tool for optimizing engagement opportunities and enables more personalized messaging.
Leveraging the latest tech not only frees bandwidth for focusing on more high-value tasks but also increases your appeal and relevance for intergenerational client acquisition. Energetic client servicing and omnichannel communication will give you a clear advantage in building an enviable book through the largest wealth transfer in history.
Expanding Horizons
The future is anything but certain, so strategic planning and careful research are integral to assessing if going solo is the right move.
If you yearn to increase your revenue, enjoy a more productive and empowering environment, and put your values to work as an RIA or independent broker-dealer, we’re here to offer expert assistance for enterprising Advisors. TERRANA GROUP is a priceless resource for any wealth management professional seeking a fresh path to freedom, success, and satisfaction.
For over 31 years, we’ve been one of the financial sector’s most trusted recruiting firms, embracing innovation, advancing industry diversity, and fostering an extensive network of relationships throughout the ecosystem.
From launching your specialized private practice to finding the perfect turn-key breakaway model that aligns with your North Star, discover every exciting opportunity that awaits by partnering with TERRANA GROUP — let’s start the conversation today!
