As financial advisors and wealth management executives well know, the movement of practices and client assets is the lifeblood of the industry. IBDs need to recruit and retain advisors in order to grow their businesses. Out of some 250 recruiting moves announced in the indie channel this year, Financial Planning compiled a ranking of the 17 biggest in terms of client assets.
The below list spans more than 300 advisors who managed some $28.3 billion with their prior firms before switching their BD affiliations or dropping them to go full RIA. LPL Financial, the nation’s largest IBD, led the way in the sector with six of the moves bringing new practices or offices of supervisory jurisdiction into the fold. No other firm had more than two out of the 17.
On the other hand, RIA platform rivals like Dynasty Financial Partners and Fusion Financial Partners drew two practices that might otherwise have opted for incumbent IBDs like LPL, Raymond James Financial Services or Wells Fargo Advisors Financial Network. Another one of the largest enterprises to bolt in 2020 dropped their BD registrations altogether.
When it comes to the losing side of the deal, firms of all sizes bid adieu to significant teams and enterprises every year. In 2020, UBS and Advisor Group’s Securities America — which changed hands in a private equity-backed
The moves below represent the largest tracked by FP based on its review of company announcements. The list includes moves out of the IBD sector, as well as those involving so-called friendly BDs that service only small portions of advisory-heavy businesses. Other moves may have escaped FP’s notice.
Another important note: the client assets listed below refer to the sum cited by firms in their press releases as the amount managed by the teams with their prior BDs. Books of business don’t always transfer completely, and the amounts may be subject to rounding. Also, the dates come from FINRA BrokerCheck, so moves that are announced but not completed didn’t make the cut.
Scroll down our slideshow to view the largest recruiting moves of 2020 involving IBDs.
