How many RIAs are there? No, seriously, how many?
Competing counts are full of 'bastardized' definitions of 'advisor,' state vs. SEC- vs. dually registered IARs, differing study criteria and agendas
UBS bets its 'wealth' future on ex-Schwabbie Naureen Hassan, a corporate digital A-lister, who analysts give a fighting chance to transcend PaineWebber's ossified culture
Still a $2-billion cash-flow cow, the Swiss bank's 6,000-broker, US-based wirehouse is milking aging broker relationships with aging investors but needs a new kind of human presence, empathy, mindset and smarts to draw in Gen Z.
July 16, 2022 at 1:35 AM
Oleg Tishkevich builds instant McKinsey-killer in RIA consulting by offering gigs and equity to six solo stars, but good luck managing egos and economics, says someone who's been there
The restless Invent.us founder names (thus far) Tim Welsh, Suzanne Siracuse, Gavin Spitzner, Mark Hollingsworth and Brian Bleasdell as owners in exchange for being on call to tackle big gigs as a superteam
September 10, 2019 at 10:52 PM
Top Executive: Timothy D. Welsh
The provision of investment advice is pretty clearly not a profession like that of physicians, attorneys, or engineers. In fact, it may not rise to the level of being a “trade.” One can find the exact number of plumbers in the United States as it requires a specific license. Plumbers are not plumbing supply salespersons. The same is generally true of the other trades.
There are clearly a set of investment advisers who are in the business of offering investment advice and management, but there are many, many more who are in the product sales business and use the IA registration as a revenue enhancer and front. As your article states, there is a great deal of bastardization of the term “advisor” no matter how one spells it.
I really wish there was an organization with the kind of discipline and authority held by the state bar associations, or medical boards. That would mean true self-regulatory organizations in each state with authority under the law to license and discipline.
If we use the statutory definition of advice and advisors, the number of advisors is quite small yet with the DOL Fiduciary definition, this number will grow quite large as broker/dealers are required to support advisory services in ways not evident today. There are technologies here and in Europe which are driven off of investment policy that are electronically geared to high level individualized portfolio construction and the ongoing monitoring (in a fiduciary capacity) of an unlimited number of individualized accounts. With scale these technologies the authenticated expert systems just add a few basis points in cost yet are totally transparent in terms of cost, performance and risk. Because this technology literally changes the role of the broker, the head count od advisors will exponentially grow. Who in fact will want to be a broker? Thus, this inflection point streamlines cost, greatly enhances the counsel of advisors and enables all advisors to achieve professional standing in advisory services. This is a material departure from commission brokerage, it democratizes intellectual capital required by statute. It lessens the industry’s cultural push back to advisory services and restores the trust and confidence of the investing public. It will also be the catalyst for much needed regulatory reform in the consumer’s and advisor’s best interest. The reticence of b/ds and regulators to support advisory services is rendered moot in a free market that values the consumer’s best interest..