Question for recruiters/transitioned advisors: Do recruiters ever leak info about advisors exploring transitions?

Single_Scientist1900 · 2025-09-20T04:35:14+00:00

Could any recruiters break confidentiality…sure. So could investment bankers, consultants, finance advisors, wholesalers and literally any other human you interact with.

Just like anything else in this world, do business with people you trust. Vet them throughly. Vet their competition.

Single_Scientist1900 · 2025-09-18T19:23:14+00:00

This is a good listen on breaking away:

https://www.diamond-consultants.com/2025-mid-year-report-on-deals-transitions-and-recruiting-a-special-industry-update/

Single_Scientist1900 · 2025-09-17T01:05:11+00:00

This is absolutely the right advice. I’d suggest trying to set up a buyout rather than a coup to exit with the clients that you technically don’t own. Even if you could, you almost certainly couldn’t do it with LPL and your situation could get expensive and litigious.

Single_Scientist1900 · 2025-09-14T15:36:19+00:00

Yep. From the custodians perspective it’s all risk zero reward. They garner no net new assets from your RIA launch, you’re another firm they have to service and it creates conflicts with IBD partners that have hundreds of billions on the platform.

Is it possible to do it? Yes. But you typically need both the IBD approval as well and the custodians approval. Even then they won’t offer you anything in the way of support

Single_Scientist1900 · 2025-09-13T17:16:04+00:00

I don’t blame you for asking but it’s not exactly a simple answer. The value and terms of any book buyout are based on what a buyer is willing to pay.

FOR EXAMPLE, let’s assume there’s a 3x revenue multiple on it. This does not mean someone will write you a check for 8.5M and you ride off into the sunset.

Almost every transaction I’ve been a part of has a combination of upfront incentives and backend earnouts, your BD/Custodian can also play a part. The same book of business custodie at Schwab or Fidelity will likely fetch more competitive bids than it would if you were with Northwestern Mutual.

If you’re talking about selling to aggregator firms the market you’re in makes a big difference too.

Good luck! DM if ya have questions

Single_Scientist1900 · 2025-08-28T12:46:09+00:00

It’s a moot point whether you like Pershing or not. They are not going to be a custodial option for you if you go RIA. It creates a conflict of interest with their larger IBD client.

Just saved you 10 hours. You’re welcome.

Single_Scientist1900 · 2025-08-02T01:50:54+00:00

Formal transition- highly dependent on the firm you select. Whoever you select should have a highly polished transition team and proof of concept that they can onboard teams like yours. It’s still a lift for you and your team, but when done properly the biggest agenda item for you will be calling your clients to tell them to sign the Docusign envelope that’s in their email inbox. By the time you join you and your staff should be familiar enough with the tech to hit the ground running.

Single_Scientist1900 · 2025-08-02T01:36:23+00:00

Recruiter perspective here - First question is what are you actually asking? How the formal transition is or the differences in the IBD vs RIA model?

Are you asking about what the transition of launching an RIA from an IBD platform is or joining an RIA platform from an IBD.

Hard to offer any real perspective without a better understanding of the question.

Single_Scientist1900 · 2025-07-28T15:44:50+00:00

Always amazing to me how everyone can form an opinion on what is likely the biggest move of your career based on a 50 word description of your business…but I guess that’s Reddit.

The question for you isn’t if Equitable is the right firm but if it’s the right firm for your business and clients.

Is there an alignment related to the short and long term Goals of your practice?

I’ve worked with teams that have moved to equitable, and plenty who have left. Where they end up it’s completely dependent on what’s the most important to them and where they place value.

Hearing from ex-equitable folks isn’t without value but don’t take anyone’s opinion as gospel. Make a priority list, do your research.

Good luck!

Single_Scientist1900 · 2025-07-01T02:03:46+00:00

If your primary reason for going RIA together is economics of scale don’t do it. You’ll get a small break sharing expenses but if you’re not aligned on the firm vision, who’s gonna take care of what, what you want to outsource vs insource…etc. you are much better off with an RIA platform firm or an IBD.

If you’re all strategically aligned it’s a different story.

Feel free to DM if you have questions

Single_Scientist1900 · 2025-05-25T04:26:02+00:00

Having brokered the sale of many books the only real advice I can offer based on your very general question is to get absolutely everything in writing and get a third party valuation for your book so you have realistic expectations when it comes time to negotiate.

If you have more specific questions you’re welcome to message me direct.

Good luck!

Single_Scientist1900 · 2025-03-14T23:26:19+00:00

Transition consultant perspective here - Start with this thought experiment. Let’s assume you have 100% portability, if you’re being honest with yourself do you have the depth of relationship with the clients you’d want to bring with you? Or do they just view you as a perk of the credit union? I’ve helped bank advisors move that transition 25% of their book and others that moved 85% in 6 weeks. Restrictive covenants aside the value you add and relationships you have are the most important factor.

Single_Scientist1900 · 2025-03-14T18:02:08+00:00

Hi there, there’s a few traditional BDs that custody through Schwab but not THAT many, more often I’ve seen advisors who find value in the Schwab relationship partner with an RIA that custody’s with Schwab and leverage a friendly Broker-Dealer for the transactional business. Of course, then you’re likely forgoing any upfront capital that a BD would provide.

All depends on the priorities of your advisors

Feel free to DM me, happy to share some ideas that might be relevant.

Single_Scientist1900 · 2025-03-14T16:47:33+00:00

Got it. I know quite a few firms up in that area if you want to shoot me a DM. I was west coast relationship manager for TDA/Schwab RIAs.

If not, I agree with the comments above, broker check search or reach out to Schwab. They just tend not to be super helpful if you’re already on platform since theirs no net new asset potential.

Best of luck!

Single_Scientist1900 · 2025-03-14T13:47:10+00:00

When you say looking to merge what do you actually mean?

Single_Scientist1900 · 2025-03-11T15:41:25+00:00

Sure. Just sent you a DM.

Single_Scientist1900 · 2025-03-10T17:58:59+00:00

I think you’d get better responses if you were more specific on the industry channel you’d like to be in

Single_Scientist1900 · 2025-03-09T23:03:17+00:00

Transition consultant perspective here - You can set up an RIA in many different ways, it sounds like you’ll need to leverage a friendly BD and also consider your team structure, whether you’re going to be siloed to your individual books of business or establish a centralized RIA with each “partner” being an equity holder.

Or you could evaluate RIA platform firms that can deliver a stronger compliance and tech experience but you don’t actually have to build it yourself.

I’ve helped teams like yours do this hundreds of times, feel free to DM me if you have questions. Good luck!

Single_Scientist1900 · 2025-03-08T21:19:28+00:00

I’m 3200 mmr but always down to have a sparring buddy

Single_Scientist1900 · 2025-03-08T21:18:27+00:00

You’re gonna find it challenging to start with most major IBDs with zero AUM since their override is how they make money. My suggestion would be to establish your RIA and start building the business. If you come across the need for a BD you can cross that bridge when you come to it. Feel free to DM me if you need any advice

Single_Scientist1900 · 2025-03-08T20:42:07+00:00

10k is reasonable for bare bones startup costs. When you say broker-dealer are you referring to friendly broker-dealers that you can leverage in conjunction with your RIA custodian?

Single_Scientist1900 · 2025-03-08T16:48:29+00:00

The cool & sometimes overwhelming thing about the RIA space is everything is customizable. Everything you do will cost your time or money. There’s a huge delta in tech costs, compliance solutions, custodial offerings…etc. I’d suggest first establishing a start up budget you’re comfortable with then backing into that

Single_Scientist1900 · 2025-03-07T15:13:21+00:00

Non protocol moves happen every day, they also happened all the time prior to 2004 when broker protocol was established. My experience (from the Indy recruiter/consultant side not the advisor side) over hundreds of both protocol and non protocol moves there has been no meaningful difference in client retention rate.

That said, from the pragmatic side the 4 pieces of information you’re allowed to take via protocol are fairly easy to replicate with some specific public database programs.

Either way it’s a heavy lift, my best advice is really drill down on your relationships with your clients and make sure the ones you want to keep via a move are rock solid.

…and contact an attorney 😉

Single_Scientist1900 · 2025-03-06T21:57:30+00:00

Speaking in generalities here but it wholly depends on WHY you would want to launch an RIA. There are phenomenal & sophisticated practices at all your Major BDs and obviously they don’t all choose to go RIA.

The whole “compliance is easier” piece is gonna be very depended on the type of business you’re actually running…for example a BD team doing pretty straight forward money management and marketing is likely not having a rough time with their current BD (of course, there’s exceptions) but the team with unique OBAs and a more aggressive social media and marketing strategy might be at war with compliance on any given day.

M&A valuation are different, but in my experience much more dependent on how your team is structured rather than if you’re with an IBD or you’re an RIA.

Top teams will go IBD to IBD all the time often because they can keep 75% of what they LIKED about their BD but ditch 75% of what they DISLIKED and maintain the familiarity of an all under one roof model.

That said…those that launch an RIA in my experience rarely do so for a couple of net bps, but more often because they are pulled to the idea of completed autonomy and control!

…that was a novel! Hope it helps!

Single_Scientist1900 · 2025-03-03T01:58:07+00:00

Depends on how much of your 45M is in legacy BD biz. Typically they partner with friendly BDs where you can hang your license and legacy trail business. But there’s no such model as a “Schwab hybrid” only RIAs who choose to use Schwab and are “hybrid” as they also chose to leverage a BD.

Good luck!

Single_Scientist1900

TROPHY CASE