• Home: Leading Financial Advisor Recruiting Firm
  • About Us
    • Meet the Team
    • Testimonials
    • Case Studies
    • Representative Deals
  • Services
    • For Financial Advisors
    • For Independent Business Owners
  • FAQs
  • Articles
  • Podcast
    • Industry Update
    • Independence 101 Series
  • In the News
    • Moves in the News
  • Tools for Advisors
    • 2022 Advisor Transition Report
    • Merrill Information Hub
    • UBS Information Hub
  • Contact Us
  • Subscribe for Updates

Questions? Call us: 908-879-1002

Contact us...
Diamond Consultants: Financial Advisor Recruiting FirmDiamond Consultants: Financial Advisor Recruiting Firm
  • Home
  • About
    • Meet the Team
      • Mindy Diamond
      • Louis Diamond
      • Howard Diamond
      • Jason Diamond
      • Barbara Herman
      • Deborah Aronson
      • Wendy Leung
      • Cathy Nichols
      • Debbie Wallen
      • Allison Brunwasser
      • Joshua Tomolak
      • Shelley Muzio
      • Caryl Felicetta
      • Donna Riopel
      • Kelly Griffiths
    • Testimonials
    • Case Studies
    • Representative Deals
  • Services
    • For Financial Advisors
    • For Independent Business Owners
      • Sell-Side M&A Advisory
      • Consulting
  • FAQs
  • Articles
    • Subscribe for Updates
  • Podcast
    • Industry Update
    • Independence 101 Series
    • Subscribe for Updates
  • In the News
    • Moves in the News
  • Tools For Advisors
    • 2022 Advisor Transition Report
    • Merrill Information Hub
    • UBS Information Hub
    • Other Tools
    • Subscribe to e-Newsletter

For Sale: Boutique Financial Advisory Firm; Advisors and Their Clients Optional

For Sale: Boutique Financial Advisory Firm; Advisors and Their Clients Optional

For Sale: Boutique Financial Advisory Firm; Advisors and Their Clients Optional

Posted by Mindy Diamond

It’s an exceptionally active time for the financial services world. No headline is fully dressed without the words “merger” or “acquisition” attached to some of what once were the most exclusive names on the street. As the scale, resilience, and stability of “boutique” firms – such as what was Barclays, Credit Suisse, and now Deutsche Bank – come into question, advisors that work there are living in a world that becomes more uncertain with each day. Then a wirehouse or large regional firm swoops in – seeming to save the day – adding another layer of uncertainty and the possibility of a stay-worthy retention deal or a “free pass” to move on to something better.

What does an advisor at one of these firms do to solidify his future? Will a new name on a business card bring a host of bigger and better opportunities and solve for all that was previously wrong with his professional world?

Take Deutsche Bank and the latest rumors around sale of the wealth management unit to Raymond James. It’s one that has some legs given RayJay’s acquisition of Morgan Keegan and publicity stemming from CEO Paul Reilly’s comments at the last analyst meeting characterizing the organization as being in “acquisition mode.”

As a Deutsche Bank advisor with high net worth clients, you may be wondering how the Raymond James name will resonate, which is a perfectly valid consideration. While Raymond James certainly has a robust platform and all the capabilities that the high net worth client needs, the name certainly has not been the go-to brand for the ultra-affluent.

So while Deutsche Bank advisors – along with their Credit Suisse and Barclays counterparts in similar positions – are questioning whether the cachet of the brand that their clients are accustomed to can be supported by a super-regional like Raymond James, a bigger issue for each advisor should circle around the “free pass” each has been given, allowing everyone to evaluate the waterfall of possibilities with fresh eyes and a sense of new beginning, whether or not a deal with any prospective acquirer coagulates. And, after doing one’s due diligence, the $64,000 question should be, “Would I still choose my own firm or any firm that acquires it?”

Truth be told, I think that as the landscape continues to evolve, it becomes clearer and clearer that boutique firms that lack scale are not the most stable choice for advisors. And we will continue to watch many of the super high-quality advisors that have long practiced in that space move on to scalable and more resilient models. Firms like Raymond James certainly fit the bill: a regional firm – with more than 4,000 advisors and a multi-channel association model – that has a strong belief that the advisor owns the client. In fact, they are the only firm on the street that writes into the contract of W2 employees that the employee owns his/her book.

Of course, it makes perfect sense to give your firm the opportunity to win you over, as a handsome retention package may be presented in return for your loyalty. The best advice I can offer is this: run parallel paths. Allow things to unfold at your own firm, evaluating any potential acquirer and the retention package being offered. At the same time, continue to explore the industry landscape for new models that have emerged and traditional firms that provide you with a better opportunity to build the business that will be best for you and your clients.

Ultimately, you have quite an opportunity before you—many will say it’s a once-in-a-lifetime opportunity. While your head may be spinning with uncertainty, take a deep breath; the only bad choice is one of letting opportunity pass you by. This is your chance to choose how and where you can live out your best business life. So, be fearless…explore and conquer

You may also be interested in...

Share
0

About Mindy Diamond

CEO – By counseling advisors on how to ask the right questions and “dig deep”, she helps them look at all of the opportunities available to find the one that allows them to reach their full potential. That is, to best serve their clients and live a life that is in sync with their own beliefs and values. Learn more...

    Subscribe for Updates

    Get updated by email when a new article is added.


    Listen. Here. Now

    Recent News & Articles

    • Everything You Need to Know About Independence: An Industry Update
    • Realistic Measures: Identifying What’s Portable and What’s Not
    • Why Merrill, Bucking Trend, Won’t Offer Independent Model for Advisors
    • Andy Sieg: A Candid One-on-One With the Leader of the Merrill Thundering Herd
    • Why Wealth Management is Goldman Sachs’ New ‘Crown Jewel’ with Dealmaking at a Standstill
    Schedule a Complimentary Consultation
    We're available to answer your questions. Contact us

    Connect with us

    Search

    © 2023 · Diamond Financial Consultants, LLC t/a Diamond Consultants. All rights reserved.*

    • Leading Financial Advisor Recruiting Firm:
    • About
    • Services
    • FAQs
    • Articles
    • Podcast
    • News/Media
    • Tools/Resources
    • Contact
    • Our Locations
    • Privacy Policy
    • Site Map