RIA for Fee Based Business?

[DennisTheMennis]

Hello, I am a CFP and am adding the fee based business to my practice.

I am aware of Global Financial and Brookstone Capital, any other names out there? I am willing to pay either a monthly fee or give up bps on the back.

Any help of other RIA names with a similar business model would be greatly appreciated!!

Thanks.

Mennis

 

[DHK]

There are many asset managers out there, and some that cater specifically to insurance agents who want to be more "comprehensive" and offer asset management on a fee-basis. Almost every article about the "Source of Funds" and encouraging all agents to get their Series 65 is written by such a person who represents such a firm.

Peace of Mind Planning (Peace of Mind Planning | Home) and Horter Investment Management (Horter Investment Management)

First American National Investment Advisors (First American NationalRIA - Managed Money)
- Open architecture so you can switch money managers when you want.

Retirement Wealth Advisors (Home | Retirement Wealth Advisors | Jason Wenk : Retirement Wealth Advisors)


Another one I'm somewhat familiar with is AssetMark (AssetMark) but they seem to cater primarily to RIAs with larger minimum account balances - $100k+ as a minimum. Also has an open architecture so you can change money managers when you want.

If you're going to form your own RIA, versus being an IAR... and need a trading platform, there's TradePMR. (RIA Brokerage Services | Registered Investment Advisor Tools | RIA Trading Platform | TradePMR Brokerage and Custody Services)

I have no specific recommendations for you, but this is a decent enough comprehensive list, I think.

 

[DWPCL]

I've been looking at Global Financial($350 monthly fee) and Royal Wealth Management(no monthly fee).

 

[DennisTheMennis]

Thank you for the help! I am with Global Financial now, I should also add I am not looking for money managers, I am simply looking for access to build my own ETF portfolios.

I spoke with Retirement Wealth, they charge 80bps for their portfolios but may be coming with an advisor based platform soon.

Let me know if there are any other names where I can build the portfolios and they either take a few points on the back or a small monthly fee.

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When I have a book larger than $10mil I will probably start my own RIA (or much more because of the compliance!!) but for now just IAR.

Global Financial is $395, how are you getting $350?

 

[DWPCL]

Thank you for the help! I am with Global Financial now, I should also add I am not looking for money managers, I am simply looking for access to build my own ETF portfolios.

I spoke with Retirement Wealth, they charge 80bps for their portfolios but may be coming with an advisor based platform soon.

Let me know if there are any other names where I can build the portfolios and they either take a few points on the back or a small monthly fee.

----------

When I have a book larger than $10mil I will probably start my own RIA (or much more because of the compliance!!) but for now just IAR.

Global Financial is $395, how are you getting $350?

Why are you unhappy with Global?

 

[DennisTheMennis]

Was promised Hidden Levers - which then they said will cost $200 per month!

Right now it is $395/month or 3bps whatever is greater, but in the future they can charge up to 15bps for advisor portfolios.

I am not unhappy with them, I think they are a good deal but wanted to see what else was out there.

All I really need is access to a custodian to build portfolios, I do like Envestnet reporting because it ties in the FIA's and has a vault for important estate planning docs.

 

[Cash]

Was promised Hidden Levers - which then they said will cost $200 per month!

Right now it is $395/month or 3bps whatever is greater, but in the future they can charge up to 15bps for advisor portfolios.

I am not unhappy with them, I think they are a good deal but wanted to see what else was out there.

All I really need is access to a custodian to build portfolios, I do like Envestnet reporting because it ties in the FIA's and has a vault for important estate planning docs.

Scottrade or Folio Institutional.

 

[DWPCL]

Was promised Hidden Levers - which then they said will cost $200 per month!

Right now it is $395/month or 3bps whatever is greater, but in the future they can charge up to 15bps for advisor portfolios.

I am not unhappy with them, I think they are a good deal but wanted to see what else was out there.

All I really need is access to a custodian to build portfolios, I do like Envestnet reporting because it ties in the FIA's and has a vault for important estate planning docs.

If you are comfortable building your own portfolios, you should look at forming your own ria sooner rather than later. Even after paying a firm for compliance you would pay less than what your paying global now. The names mentioned above do not require large AUM to use them either.

 

[scagnt83]

I agree with DWPCL. For slightly more than you are paying now per month you could set up your own RIA.

For under $3k you can use RIA in a Box for the start up + get ongoing compliance support for 12 months. After that it is like $150/m for ongoing compliance support.

Then for an extra $100/m you could use MoneyGuidePro for planning software (it now includes account aggregation).
Then use TD/ScottTrade/Schwab as your Custodian/Trading Platform.

Then you will have 100% control of your future/business model.

 

[wln417]

One of the things I understand a 65 is for is to be compliant with securities law when rolling over some 401(k) money into an annuity. Is that right?

If so, since you probably wouldn't be rolling over the whole nest egg, the 65 allows for the rest of the 401(k) money to be put with a money manager, who charges a fee and you, the agent, can share in that fee. Am I right?

What about other securities the client might have? Can they be put with the RIA so he would have only one place, and one monthly statement? Or is that a no-no, because a 7 is needed to trade securities?