As the new year dawns, it’s a great time to start considering resolutions for how we’re going to make the changes we want to make in 2024. There’s no better time than the start of a new year to create a set of goals and action steps that will help get you where you want to be in the coming year. The market has never been better for new independent advisors striking out on their own. Even with economic uncertainty presenting obstacles, talented financial advisors are continuing to carve out their own niches and create increased value for their clients.
Making a career move as a financial advisor brings with it a unique set of challenges and opportunities. The most successful independent advisors and RIAs plan their moves carefully and ensure that they’re well positioned to make their move. If you’re asking yourself “what’s next?” Here are some ways to position yourself to make a career move in the coming year.
Identify Ways To Increase Your Value To Your Clients
Client retention is perhaps the single most important factor in determining whether a new advisory practice succeeds or fails. And planning for a move should include planning ways to ensure that your clients move with you. Generally speaking, an advisor opening an independent practice can expect between 60% and 90% of clients to follow. That’s a pretty big range! Ensuring that more of your clients are willing to stay on board can make or break a new practice. Finding ways to increase your value as a resource to your clients can mean the difference between a client sticking with your practice or staying onboard with the wirehouse you’re coming from.
Staying in touch is the easiest way to ensure that your clients think of you as a trusted resource. Reviewing client investment portfolios regularly, adding your clients to a mailing list where you can offer them access to additional news and information about the investment landscape, or even just developing a list of personal contacts for holiday cards and marketing materials will help to position your business for a move to independence. Never forget that building relationships takes time, and the work you put into staying in regular touch with your clients and referral sources can take months to pay off.
In addition, your clients can be a great source of research and information. Asking your clients what products or service offerings they would like to see from their financial advisor can help you plan and structure your new business.
Develop A Business Plan For Your Career Move
If you’re pursuing an RIA or other independent model, your business plan is a critical document. It can take months, or even a full year to position yourself to make a move, and creating a business plan before you embark on that process can help you to understand what steps you need to start taking early so that your transition is seamless. Be sure to include a budget and financial plan that reflects your assessment of the needs of your new business and a plan for securing financing, if necessary.
Remember that your business plan is a living document. It will no doubt be revised and re-envisioned over the course of your planning process. Avoid “letting the perfect become the enemy of the good” and commit your plan to paper as early in the transition as you can.
Seek Out Mentors And Educational Opportunities
Six to twelve months leading up to your career move are a great time to seek out development opportunities. If there are licenses, certifications, or other coursework that will make your transition easier, this is the time to pursue them. Likewise, this is a great time to reach out to mentors who can offer advice and experience on the transition process. Working with partners like the professionals at Terrana Group, who have experience with career development and transition planning, is a great way to ensure that your transition is smooth and successful.
Want to Keep the Conversation Going?
Going independent is more complicated than ever, and the right partner can make all the difference. At Terrana Group, our experienced and knowledgeable professionals welcome the opportunity to consult with you to determine the right platform for you going forward — one that satisfies your long term objectives and is also best for your clients!
Over the course of nearly 30 years, we have helped facilitate thousands of professional placements for Advisors, with client assets transferred exceeding $67 billion dollars. We have completed placements in most every major city throughout the United States, while building deep relationships with the advisory world’s most sophisticated and notable firms — including major Wall Street brokerages, most Regionals, Boutiques, Banks, Independent Broker Dealers, RIAs and Custodians. We have a broad knowledge of the deals that are currently being offered and will ensure that you are being presented with the offer which will be best for you.
Confidentiality, professionalism, and respect are protocol to our practices and beliefs; we handle each and every step of the placement process with complete communication, keeping you informed while making the process smoother from beginning to end.
We are proud to always be considered as a great asset by our clients because of our proven expertise, many years of knowledge, and acute attention to detail. Financial Advisor Recruiting Services are not all created equal; we guarantee that the TG experience for clients and candidates is always world class.
We are based in Chicago, with a nationwide reach. Let us know you are interested by contacting us today. To get the conversation started, email info@terranagroup.com or give us a call at 312.655.8380 today.
