Margaret Starner, the 2025 Alexandra Armstrong award winner for lifetime achievement
PHOTO: BECKY YEE
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The smart thing
BY ANDY BURT
When I met Don Barden this past summer, he offered me a bold claim as a behavioral economist: by 2028, women will hold most global leadership roles − not just in rms but in governments and small businesses. What’s more, according to his research, organizations led by women will outperform male-led counterparts via higher revenues, pro ts, better retention, and stronger culture.
That claim has signi cant implications. It means the conversation in the C-suite is no longer about simply “getting more women” in leadership as a fairness or representation issue − it’s about a fundamental shift in how leadership is de ned, how organizations operate, and how value is created.
The shift matters on several levels. Leaders shape norms, cultures, and institutions. When leadership becomes more inclusive of women − and when women’s leadership traits like collaboration, empathy, and empowerment become more visible − institutions tend to shift accordingly. Barden argues this will have ripple effects: increased productivity, better innovation, and stronger societies.
At an organizational level, rms that adopt what Barden calls “humancentered leadership” are better aligned with the modern economy than those with hierarchical, command-and-control models. And nancial advisors must shift from transactional models to relational − from “pitching product” to “partnering in vision” − when working with female business leaders.
These are not soft skills in the sense of optional extras; they are increasingly core to how competitive organizations succeed. In a world of knowledge workers, networks, rapid change, and at structures, leadership that can engage rather than just direct becomes a differentiator.
Here’s the catch. According to Barden, this evolution isn’t simply “nice to have” − it is the antidote to what he calls an “extinction event” for those who cling to outdated models of leadership and advisor− client relationships. He underscores that organizations and individuals who build inclusive cultures, adopt
relational leadership models, and invest in training for emotional intelligence and collaboration will have a major advantage. For many female leaders and women
Advisor Summit and Women to Watch Awards, it’s clear that the transformative effects described by Barden are underway. The increasing ascendancy of women
“Organizations and individuals who build inclusive cultures, adopt relational leadership models, and invest in training for emotional intelligence and collaboration will have a major advantage”
executives, the rising leadership tide also means greater ability to shape culture, mentor others, and shift the business ecosystem.
The November issue of InvestmentNews is our annual “women in leadership” edition, and in the aftermath of our Women’s
in leadership, especially in firms they have started themselves, is a signal of a broader shift in how value is generated. Not only is investing in and aligning with women-led leadership the right thing − it’s the smart thing as well.
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Business Development Managers: Catherine Reale catherine.reale@keymedia.com; Victoria Hamilton victoria.hamilton@keymedia.com; Barry Echavarria barry.echavarria@keymedia.com
Lead - Ful llment Team: Cole Dizon
llment Coordinators: Cyrus Arroyo, Pauline Talosig PRODUCTION
INSURANCE BUSINESS AMERICA cathy.masek@keymedia.com
INSURANCE BUSINESS AUSTRALIA sophie.knight@keymedia.com
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INSURANCE BUSINESS UK gemma.powell@keymedia.com
BENEFITS & PENSIONS MONITOR WEALTH PROFESSIONAL CANADA abhiram.prabhu@keymedia.com
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WOMEN INHERITORS ARE PAYING THEMSELVES FIRST
Among women who have already received inheritances surveyed by JPMorgan, nearly half said they’ve used the money to make investments.
What women do with inheritances
ADVISOR SALARIES RISING AMID TALENT WAR
As rms navigate high pro tability and slow organic growth, research by The Ensemble Practice shows advisor compensation growing across all levels. Senior advisors especially bene t from equity and pro t participation, with more than 70 percent of those surveyed having equity stakes that meaningfully boost their economics.
MOST ACTIVE
Through the rst nine months of 2025, Carson Wealth and Merit Financial Advisors set the pace at 14 deals apiece, followed by Mariner, Mercer, and Wealth Enhancement Group, which each had 10 acquisitions.
WHEN INCENTIVE FEES DON’T INCENTIVIZE
By analyzing data from annual fund reports led with the SEC, Morningstar found that some of the largest private credit funds’ fee structures, control of their lending rates, and use of leverage make it easier for them to clear their minimum hurdle rates and earn performance-based incentive fees.
Source: “The State of Semiliquid Funds,” Morningstar, June 2025
Source: 2025 Careers & Compensation report, The Ensemble Practice
Top RIA dealmakers, Q1–Q3 2025
$6.3B
WHAT MOVES AFFLUENT PHILANTHROPIC LEADERS
A poll of af uent donors by Bank of America found that around two-thirds are driven by personal values when deciding where to direct their giving, with just under three- fths citing their interest in an issue.
$5.5B
A BIG BANG IN CRYPTO WORLD
The US crypto ETF space has expanded to include 76 spot and crypto exchange-traded products as of August 11. Beyond spot exposure, the ecosystem has grown to include covered call and de ned outcome strategies amid a favorable regulatory environment.
NewsAnalysis
GRID CREEP AT WELLS FARGO?
’Tis the season for wirehouses to roll out pay plans, known as grids, and sing their praises to tens of thousands of employee financial advisors
BY BRUCE KELLY
Released in September and October, the wirehouse 2026 pay plans appear stable compared to recent years.
But one firm recently noted a potential fly in its soup. Wells Fargo reported last month rising compensation costs at its wealth and investment management group.
Pay can drive behavior at the big firms, and advisors at times are offended or put off by changes in pay plans that call for more sales of banking products or lending.
To keep their financial advisors happy, the big four wirehouses − Merrill Lynch, Morgan Stanley, Wells Fargo Advisors, and UBS − recently rolled out pay grids for 2026 that mimic recent years, and at a time when many advisors are earning more money than ever as the broad stock market continues to hit record highs.
Financial advisors generate fees for themselves and their firms based on their assets under management (AUM), so the higher the clients’ assets, the more revenue a financial advisor pockets.
And the stock market this year has not disappointed. After a difficult start, the S&P 500 has continued to reach new record highs and has increased by 18.3 percent through October 28. And that’s in the wake of posting total returns, including dividends, 25 percent in 2024 and 26.3 percent in 2023
The rising tide of the stock market is welcome news for advisors and their clients.
But the compensation math at wirehouses, along with independent broker-dealers such as Commonwealth Financial Network, acquired this year by LPL Financial Holdings, at times could burn out the best pocket calculator.
As noted, the stock market has seen repeated strong returns the past few years, with wealth management firms reporting record client assets and record firm revenues. On the other side of the ledger, however, are rising expenses that firms desperately want to control to maintain or broaden profit margins.
One wirehouse bank, Wells Fargo & Co., reported last month increasing compensation expenses at its Wealth and Investment Management group, which houses roughly 12,000 advisors under the brand Wells Fargo Advisors.
“Noninterest expense increased 8 percent due to higher revenue-related compensation expense and
“What happens at firms when assets go up is something called ‘grid creep’”
ANDY TASNADY, COMPENSATION CONSULTANT FOR WEALTH MANAGEMENT FIRMS
operating costs, partially offset by the impact of efficiency initiatives,” according to the company’s third quarter earnings report from October 14.
A Wells Fargo spokesperson declined to comment when asked about increasing expenses at its wealth and investment management group.
“What happens at firms when assets go up is something called ‘grid creep,’” says Andy Tasnady, a compensation consultant for wealth management firms and managing partner at Tasnady & Associates.
In wirehouse parlance, the grid is the formula by which advisors get paid, typically 35 to 45 cents per dollar of revenue they generate.
At regional firms, advisors are paid up to 60 cents per dollar of revenue. And at independent contractor firms such as LPL and Commonwealth, payouts can reach 90 percent − or 90 cents per dollar.
“In this kind of a stock market, advisors will get better compensated when they cross the compensation thresholds set up by the firms, say from $500,000 in annual revenue to $1 million to $2 million,” Tasnady says. “That’s the grid creep.”
“But the problem firms must watch out for is when revenues are flat and compensation expenses are up,” he adds.
That’s not the case at Wells Fargo, even with noninterest expenses increasing at the wealth and investment management group. For the three months ending in September, net income at the unit was $591 million, an increase of 12 percent compared to the same quarter in 2024.
About a week after releasing its third quarter earnings, Wells Fargo Advisors said it was keeping advisor pay steady in 2026. That announcement followed Merrill Lynch’s statement in September that it was minimizing pay changes in 2026. Morgan Stanley’s pay plan for its advisors next year also remains pretty much the same, although it lowered the amount advisors contribute each year in deferred compensation − meaning they get to hang on to a bit more of the cash they generate each month.
As for UBS, it backtracked in September and said it was raising the payouts earned by US nancial advisors, aiming to retain and hire advisors at a time of intense competition for talent.
“UBS took away on pay and then gave it back to advisors,” says Danny Sarch, an industry recruiter as well as president of his rm, Leitner Sarch Consultants. “What drives rms crazy is − and they won’t say it publicly – is the notion of, ‘why are we paying these guys so much?’”
“UBS took away on pay and then gave it back to advisors”
DANNY SARCH, INDUSTRY RECRUITER
Meanwhile, a compensation issue facing advisors at Commonwealth Financial Network’s roughly 3,000 nancial advisors is the platform or administrative fee they pay. Advisors at independent rms pay 10 to 20 basis points of clients’ assets for account services.
“Independent advisors get their payout, but the platform fee can make a signi cant difference,” said one senior industry executive, who spoke privately to InvestmentNews about the matter.
WELLS FARGO’S WEALTH MANAGEMENT EXPENSES ARE UP
“Noninterest expense increased 8 percent due to higher revenue-related compensation expense and operating costs,” according to its third quarter report.
NewsAnalysis
IS THE ERA OF STOCK SPECULATION OVER?
Advisors are using more ETFs at the expense of single stock trading
BY GREGG GREENBERG
Come on, wealth managers! Don’t you want to speculate once in a while? Maybe pick one of those high-flying meme stocks, or even a Magnificent 7 member, and just let it ride? No?
Fine! Just put your client funds into an ETF then.
The exchange-traded fund (ETF) market has surpassed $11 trillion, driven by a strong equity market and solid organic growth, with $511 billion in inflows during the first half of 2025, according to the latest Cerulli report. Furthermore, advisors increasing existing allocations to ETFs has been a major factor contributing to ETF asset growth, with 52 percent of asset managers considering it a major driver and 48 percent saying it is something of a driver.
In 2024, advisors allocated 21.6 percent to ETFs, up from a mere 11.2 percent a decade earlier, in 2015. The Cerulli study noted the growth of the ETF has come at the expense of two other investing vehicles: mutual funds and individual securities.
And the move toward ETFs is far from over. Financial advisors expect their ETF allocations to rise to 25.5 percent in 2026, a higher percentage than their projected allocation to mutual funds for the first time.
“ETFs have numerous advantages over individual stocks − namely, exceedingly low-cost diversification, combined with significant tax advantages for longer term investors,” says Rick Wedell, chief investment officer at RFG Advisory. “In today’s marketplace, you can access low-cost active or passive ETF structures with internal expense ratios in the 20s or lower. That’s 0.2 percent to get access to hundreds of individual stocks, in some cases that are being actively managed by a strategist.”
From a fiduciary perspective, Bryan Bibbo, president and CFO of JL Smith Holistic Wealth Management, believes ETFs make it easier to construct tax-efficient, balanced portfolios that align with a client’s time horizon and risk profile.
“We tend to use core ETFs that track broad indices like the S&P 500, quality dividend ETFs, and sector-specific funds for tactical tilts. We also use
fixed-income ETFs for liquidity management within our ‘soon’ and ‘later’ buckets,” Bibbo says.
Alas, sooner or later ETFs will dominate client portfolios. But what about the smiles that come with picking a winner?
As the great market-watcher Robert Plant once asked during a performance of “Stairway to Heaven,” about the bubblish good times: “Does anybody remember laughter?” Or just the unfortunate aftermath?
ETFs TAKE OFF
ETF market has surpassed $11 trillion
$511 billion in inflows during the first half of 2025
Advisors allocated 21.6% to ETFs in 2024, up from 11.2% in 2015
Cerulli: Advisors expect ETF allocations to rise to 25.5% in 2026
of daily tax-loss harvesting opportunities, which aren’t possible in a packaged product like an ETF.
“By realizing losses and offsetting gains throughout the year, we can improve after-tax returns and enhance overall tax efficiency. In this sense, individual stocks can actually offer more flexibility and control than ETFs for certain taxable portfolios,” Alison says.
Similarly, Stephen Tuckwood, director of investments at Modern Wealth Management, prefers to allocate to broad-based asset-class and sectorlevel ETFs. He turns to individual stocks when taxes are a top priority and where implementing a direct indexing strategy makes sense.
“With individual stocks, the client owns their own cost basis in each individual position, often with multiple lots per position. Since the client is not sharing an investment vehicle with other investors, their actions can’t impact the client’s journey and we can provide more precise tax forecasts,”Tuckwood says.
“If a client wishes to speculate on a stock outside of the confines of their personal investment plan, we suggest they have a play account at a discount brokerage to do so”
TODD RABOLD, CALLAN FAMILY OFFICE
THE EXCEPTION THAT PROVES THE RULE
To be clear, there is still a growing market for single stock picking among advisory clients. But it’s generally limited to high-net-worth investors and is not of the speculative variety.
ETFs offer a fast, tax-efficient way to get diversified exposure, which often appeals to mass affluent investors and advisors who value simplicity and scale. However, high-net-worth investors are increasingly leaning into direct indexing, using individual stocks to build tailored portfolios that reflect their views, specific constraints, and, crucially, tax management strategies.
“Our UMA structure and direct indexing partnerships are helping bring this level of customization to scale,” says Jen Wing, chief investment officer and head of investment solutions at GeoWealth.
Similarly, Dave Alison, president of Prosperity Capital Advisors, prefers using individual stocks through a diversified separately managed account (SMA) when managing post-tax, or non-qualified, money. This approach allows him to take advantage
Yeah, direct indexing may be great for wealthy folks who can afford a massive basket of individual stocks. But it still doesn’t offer the thrill of buying Oklo at $20 in January 2025 and watching it fly to $175 in October. Who cares that the nuclear microreactor manufacturer lost $74 million last year? It went up, right?
NOT ON MY ADVISORY WATCH!
RFG’s Wedell contends the concept of speculating with client assets is not truly his job as a fiduciary. In his view, most client assets that he manages are in the context of a relatively complex financial plan, and ultimately it’s the machine that makes the decisions in the form of a Monte Carlo simulation.
“That simulation breaks down if you start speculating – because now the client’s investment performance doesn’t really behave in the way the simulation expects,” Wedell says. “The simulation is looking for you to own a broadly diversified portfolio, not a single stock. Which means, if you own a concentrated portfolio, you’ve probably shot
“The thrill of picking the next winner is always tempting, but we’ve found that ‘boring’ often wins the race”
BRYAN BIBBO, JL SMITH HOLISTIC WEALTH MANAGEMENT
the mathematical underpinnings of your nancial plan straight into the garbage can.”
For some clients, Prosperity Capital’s Alison may carve out a small portion – typically 5 to 10 percent of the portfolio – for more speculative assets, knowing the goal is to potentially hit a home run while fully accepting the possibility of striking out.
“There are plenty of well-run, fundamentally sound companies that may experience volatility but that don’t necessarily carry high speculative risk. When we look at alternative asset classes like cryptocurrency or options, the speculation level increases, and we treat those exposures very differently,” Alison says.
JL Smith’s Bibbo, for one, views speculation as “entertainment capital, not investment capital.” For most clients, he keeps that at 5 percent or less of their total portfolio, and only if their long-term nancial plan is fully funded. Furthermore, he says, “these are not recommendations we make, but rather situations where a client expresses personal interest in a speci c company, trend, or sector.
“In those cases, it’s usually well-known innovation or technology names – companies tied to AI, clean energy, or biotech. We make sure clients understand those dollars are ‘venture’
money, not retirement income, and that disciplined diversi cation remains the foundation of their overall strategy.”
Or clients can simply take that speculative behavior elsewhere.
Todd Rabold, investment management partner with Callan Family Of ce, refuses to speculate with stocks in client portfolios.
“If a client wishes to speculate on a stock outside of the con nes of their personal investment plan, we suggest they have a play account at a discount brokerage to do so,” Rabold says.
MISSING OUT ON THE FOMO FUN
Okay, enough already. We get the picture. ETFs will be the preferred vehicle for nancial advisors from here on in, except for those really rich folks who can afford to direct index. Other than that, maybe some wealth managers will tolerate a tiny percentage of individual stocks in a client portfolio, as long as it doesn’t mess up the overall allocation.
But what about the fun of picking winners on a hunch, or a tip from a neighbor? Won’t wealth managers miss that when the machines and ETFs totally take over?
“I was an analyst at a large rm on the credit side for many years, where it was 100 percent my
FAMOUS SPECULATIVE PERIODS
Roaring Twenties bubble Dot-com bubble of the late 1990s 2008 nancial crisis fueled by subprime mortgages
Meme stocks during the COVID-19 pandemic
job to pick winners and losers for the fund in an actively managed portfolio. I will certainly admit that picking individual securities can be fun. However, in my role as chief investment of cer for a large RIA, selecting individual securities really isn’t in my job description,” Wedell says.
“I personally did stock speculation in the 90s, and looking back on it, it took too much time and emotion to do, and now I am invested across the same investments as we utilize for our clients. Broad diversi cation requires less time and effort than individual stock selection,” says Daniel Lash, certi ed nancial planner at VLP Financial Advisors.
Says Bibbo: “The thrill of picking the next winner is always tempting, but we’ve found that ‘boring’ often wins the race. Real wealth is built through patience, planning, and discipline, not adrenaline. The fun part for us is helping clients see the plan work in real time: steady growth, sustainable income, and peace of mind that lasts longer than any meme stock rally.”
Prosperity Capital’s Alison believes, “Human nature naturally drives FOMO – the fear of missing out – especially when we see certain stocks posting exponential returns like we’ve witnessed in recent years. But as we all know, it’s incredibly dif cult to predict which companies will deliver those outsized gains and which will not. There are far more losers than winners when it comes to stock speculation.”
Finally, Callan’s Rabold replied, “I do not miss the ‘fun’ of speculation as it often ends badly. Look at Beyond Meat’s trading the past two weeks, it went from 70 cents to $7 to $2.”
Yeah. Maybe that’s not much fun at all.
WOMEN’S ISSUE
INVESTMENTNEWS CELEBRATES BEST AND BRIGHTEST WOMEN TO WATCH IN 2025
At the sixth annual Women to Watch Awards, female nancial leaders celebrated progress, shared experiences, and highlighted how women increasingly shape wealth management
BY ANDREW COHEN
For many at the InvestmentNews 2025 Women to Watch Awards, the evening serves as a celebration of progress and a poignant reminder of how solitary the nancial services industry once felt for women.
“When I came into the business in 1996, I was the only female in our entire of ce, and it would not be unusual to go to conferences and be among a very, very small group of women,” said The Jamrog Group CEO, Amy Jamrog, winner of The Step Stone Group Award for Allyship Champion of the Year.
“I’m just so grateful that, fast forward almost 30 years, we go to conferences and we are represented, that there are big groups of us, and that it’s not as lonely as it used to be,” Jamrog said. “I think that’s the collective work of those of us who were in it decades ago to build something special for people coming into it.”
The October event was the sixth annual Women to Watch Awards hosted by InvestmentNews, which took place at Tribeca 360 in New York City. Earlier that day, the venue hosted IN’s Women Advisor Summit, with over 180 attendees and speakers from
rms such as Merit Financial Advisors, Ameriprise, Osaic, and Beacon Pointe.
Stacy Francis, whose rm Francis Financial won the Fastest-Growing Female-Led Advisory Team award, acknowledged current economic and lifestyle conditions that prompt more women than ever to seek nancial help. Francis, who started her rm in 2003, was also named Financial Literacy Champion, as the night’s only awardee to span wins across two categories.
“We’re seeing so many single moms come to us, individuals who are married but their partner may not be able to work because of disability or sickness.
Struggling, scared, and really needing help,” said Francis. “Prices are higher than we’ve seen in many years because of continuing in ation. We’re also seeing that with housing [as well as] some softness in the job market.”
The “Great Wealth Transfer,” projected to total $124 trillion nationwide by 2048, is expected to be majority inherited by women − in the US they live an average of ve years longer than men. The CFP Board says that 24 percent of Certi ed Financial Planner professionals are women; that gure has typically grown by a rate of 4 percent annually.
“I think that as the business grows and changes over time, we will more and more look like our clients, look like the people that we serve,” said Jamrog. “As women inherit and take over the signi cant wealth in this country, they want to work with female advisors.”
Few women advisors have witnessed the industry change as much as Margaret Starner, winner of The Alexandra Armstrong Award for Lifetime Achievement in the Financial Services Industry, who was honored by Armstrong herself. Now 87 years old, Starner founded The Starner Group of Raymond James in 1981 when she re-entered the workforce after spending 15 years as a stay-athome mother raising her children.
“One of the things that I think is really important is women have harder choices to make when they have a career, and so I try to work with women to say, I was a stay-at-home mom for 15 years, so I know what it’s like to start later,” Starner said. “And because we live longer, you can afford to start later.”
“When I came into the business in 1996, I was the only female in our entire of ce... I’m just so grateful ... that it’s not as lonely as it used to be”
AMY JAMROG, THE JAMROG GROUP
Starner remains senior vice president and nancial planner at the Miami-based Starner Group, managing nearly $2 billion in client assets.
“I’m very partial to the fact that I think both genders are really important to a team, mainly because we see things a little bit differently, but it doesn’t mean anybody is wrong,” said Starner. “There’s a greater recognition by everyone that I know that it’s important to have men and women on a team.”
Winners at the Women to Watch Awards held October 21 also included Marianne Caswell of Park Avenue Securities, recipient of the Executive Excellence Award; Isabelle Freidheim of Athena Capital, honored with the Osaic Award
WOMEN IN FINANCE − BY THE NUMBERS
$124 trillion
“Great Wealth Transfer” by 2048, projected to be majority inherited by women
5 years
Women’s average life expectancy advantage over men in the US
for Female Trailblazer of the Year; and Amplified Planning, recognized for Excellence in Gender, Diversity & Inclusion. Agnieszka Valenta of Retirement Income Source SFG won the Orion Award for Rising Star Advisor of the Year.
Additional winners included Cambridge Investment Research, named Employer of Choice; Kristin Hull of Nia Impact Capital, awarded Portfolio Manager of the Year; and Mosaic at Raymond James, recognized for Excellence in Philanthropy & Community Service.
Accepting the Employer of Choice award on behalf of Cambridge was Audrey Hixson, assistant vice president of service experience. The Iowa native first joined Cambridge in 2006 at 19 years old. Hixson, a mom to six-year-old twins, was also named to this year’s InvestmentNews Rising Stars list that recognized top financial services leaders under the age of 40.
“I feel like Cambridge has set the bar right out of the gate. Our CEO [Amy Webber] is a woman, and she was president when I first started. We really promote women in leadership at Cambridge, so I’ve been very fortunate to not know much different,” said Hixson. “Cambridge has invested in me.”
“One of the things that I think is really important is women have harder choices to make when they have a career, and so I try to work with women to say, I was a stay-at-home mom for 15 years − I know what it’s like to start later”
MARGARET
STARNER, THE STARNER
GROUP
Becky Yee & Bridget Haggerty Color Wheel Studios @beckyyeephoto
ACES IN THE PACK
If not a rollercoaster ride, this year has certainly delivered its fair share of sharp twists and turns.
While pundits continue to debate the political, economic, and social forces, these are immaterial to investors. The leading wealth professionals know that what truly matters is how they respond and not why the ride is bumpy. By rising to the challenge, the industry’s standout leaders and difference makers have thrown open new doors for investors, guiding them through disruption and meeting the growing trend of clients’ heightened expectations.
Those on InvestmentNews’ Hot List 2025 are
quite simply the movers and shakers who have stepped up, enabling diversi cation for investors and providing access to more sophisticated investments.
Mary Mock, senior vice president and head of distribution at Touchstone Investments, highlights how challenging it has been for top professionals to chart an engaging path for clients.
“The expansion in the RIA space is rede ning the competitive dynamics between traditional brokerdealers, wirehouses, and independent advisors because the need for scale and consolidation continues to grow,” Mock says. “And we see RIAs as leading the charge in aligning compensation with advice-driven relationships instead of product sales.”
She adds, “The ETF wrapper continues to be a preferred vehicle for those who want lowcost, tax-ef cient exposure, and we believe the move to having ETFs as a share class alongside mutual funds will be monumental, as it enables rms to serve different client segments without fragmenting strategies.”
UNLOCKING NEW AVENUES
Private investments are a growing area being explored, and, according to BlackRock, represents roughly 10 percent of the $16.4 trillion alternative investments universe. One driver is that companies are also relying more on private lenders for nancing as they stay private for longer.
With the rise of robo-advisors and nancial information of debatable quality available online, Carina Diamond, CEO of GFP Private Wealth, suggests that private and alternative investments have become an increasingly vital component of portfolios. This strategy has been a key part of how her rm has guarded clients’ wealth, with private investments making up 20 percent of AUM.
“AT
“A lot of our work has become commoditized, particularly on the investment side. But we have a real specialty in private investments, so that is de nitely a differentiator,” explains the 2025 Hot Lister. “Clients as a group have become more sophisticated; just having stocks, bonds, mutual funds, and ETFs – that’s not cutting it anymore.”
The widening public access to nancial information has also contributed to the need to focus on client–advisor relationships.
Diamond says, “More things have stayed the same than they have changed, and the biggest thing that has stayed the same is that clients want connection. They want to be understood.”
Similarly, another member of the 2025 Hot List, Thomas Ruggie, CEO of Destiny Wealth Partners, is also providing clients with more options. He has forged strategic relationships with rms that have opened the door to limited-access hedge fund and private equity opportunities, and curated and differentiated direct investments.
Speci cally, Ruggie’s fund has provided eligible quali ed persons with access to direct investment offerings in Elon Musk’s post-merger X.AI, as well as payment processor Stripe, AI-based defenseindustry disruptor Anduril, and pre-IPO Reddit.
“It’s my belief that we are in a once-in-a-generation moment with the AI revolution. We’ve been fortunate, through our relationships, to gain access to many of the biggest names in AI within the private sector,” says Ruggie. “We are generally investing alongside the private equity rm on their cap table. This is typically advantageous compared to where these same holdings are trading in the secondary market, most at a premium and many at a signi cant premium.”
Some wealthy investors with pro ts in taxable accounts are being offered a solution by Erik Lehr, another of the Hot List 2025.
The Empirical Wealth Management CIO has spearheaded the development of the rm’s comprehensive suite of tools for high-net-worth individuals dealing with single stock concentration. This includes strategies such as exchange funds, collars, and other option-related techniques, long/short overlays, and 351 exchanges.
“With the strong performance of the US stock market over the past 15 years, we have had more and more clients coming to us with large amounts of concentration in highly appreciated stocks,” Lehr says. “They are stuck with a dif cult choice: either continue to face the risk of an undiversi ed portfolio, or realize capital gains and end up with a large tax bill.
“By developing a wide range of potential solutions to help clients reduce stock concentration in a tax-ef cient manner, we have been able to give clients a third option, which helps to set them up for long-term success.”
GIVING IT AWAY
Last year, Warren Buffett explained how, after his death, his children would have a decade to allocate his billions to charity. While few have the resources of the Sage of Omaha, there is a rise in demand for philanthropic services.
“With the generational wealth transfer, you’re seeing a lot of patriarchs and matriarchs
who are opening foundations at 85 or 90 years old,” says Joseph Mrak III. The 2025 Hot Lister is CEO of Foundation Source, which offers a suite of technology and consulting services to philanthropists. Its platform enables advisors to control their clients’ philanthropic contributions. By understanding the needs of advisors, Mrak provides a variety of solutions, such as foundations, donor-advised funds (DAFs), and planned gifts.
“Advisors like to keep things in their box,” he says. “It goes back to education, helping them understand how they can help their clients be philanthropic. They don’t have to be afraid that they’re giving that money away. They still get to manage and oversee it.”
Mrak has also taken advantage of the growing popularity of DAFs, which deliver greater exibility. This was the rationale for Foundation Source’s decision to acquire ntech Venn to offer a better user experience.
“With foundations, you’re selling Ferraris, but a lot of people want Hondas. If you think about it that way, the DAFs are a much more mainstream product. You can start a donor-advised fund for $5, or I’ve seen ones with $50 million,” he says.
CONSOLIDATION BENEFITS
Another lever available to wealth management rms is to build scale by acquiring other companies. PwC’s US Deals 2025 midyear outlook reported that “declining to 70 and 63 deals in the second and third quarters of 2024, respectively, deal volume jumped to 80 and 85 deals in the fourth quarter of 2024 and rst quarter of 2025.” This was the highest level of AWM deal volume since the fourth quarter of 2022 and the rst quarter of 2023.
The dynamic is being driven by those on the frontlines.
“Advisors are under more pressure than ever to demonstrate the tangible impact they deliver to clients, and they’re looking to partners to help them do that, not just with products but with insights and tools that create capacity in their business,” says Mock. “The 2025 nancial industry is about choice, scale, and proof of value.”
Hot List 2025 winner Natalie Wolfsen, CEO of Orion Advisor Solutions, has prioritized acquisitions that deliver scalability while improving the rm’s capabilities.
“Orion is the collection of several acquired companies. We’re constantly making sure that we’re all aligned with the mission of creating a wealth community where every advisor and investor can thrive,” Wolfsen says. “That trend of consolidation means that everyone in the industry needs to understand how to be an attractive acquiree and how to effectively acquire.”
An example of this strategic mindset was behind the decision to purchase Summit Wealth Systems in January 2025.
“We had built an extremely exible, scalable data infrastructure that allows advisors to bring in information from all of the technologies that they engage with. They also had an incredible investor experience and advisor user experience, so by purchasing Summit, we accelerated our work in both
METHODOLOGY
In July 2025, InvestmentNews invited wealth professionals from across the country to nominate their most exceptional leaders for the third annual Hot List. After receiving hundreds of nominations, InvestmentNews narrowed the list down to 100 movers and shakers whose contributions have helped shape the wealth industry over the past 12 months. From innovators at the forefront of change to leaders who are transforming the way the industry does business, this year’s Hot List represents the best the industry has to offer.
“IF YOU DELIVER FOR PEOPLE EARLY IN YOUR CAREER AND YOU’RE CURIOUS, FOLKS GIVE YOU EVER MORE COMPLEX OPPORTUNITIES”
NATALIE WOLFSEN, ORION ADVISOR SOLUTIONS
of those areas by over a year,” Wolfsen explains. The same pressures are felt in more localized situations, where many individuals fear for their pensions. This concern has also affected Hot Lister 2025 Drew Boyer
His rm, Boyer Financial Group, has a niche client base among pre-retiree public servants, such as re ghters and police of cers in Ohio, and has seen annual growth rates of around 20 percent over the past ve years. Boyer works diligently to help clients focus on long-term nancial strategies rather than knee-jerk reactions to shocks. “I try to keep them based on a nancial plan, but it’s become more and more dif cult,” he says.
One of the hallmarks of Boyer’s offerings that has come into focus recently is his expertise around retirement.
“We’re able to not only do their investment management and planning, but all these people who are still in the rst responder community, they’re all lucky enough to have de ned bene t plans. They all have pensions, and there’s some irrevocable decisions that have to be made when you retire. And we help plan out their pension options.”
David Goldman, another winner on the Hot List 2025, is also making an impact for retirees. As chief business of cer at Pontera, a secure platform for advisors to manage 401(k) accounts, he has played an integral role in launching the company’s second integration with Orion. It has enabled advisors to holistically manage held-away
HOT LIST 2025
retirement accounts at scale, optimizing for asset location, improving quality of service, and boosting productivity.
“The past 12 months have been about collaboration and integration, making sure advisors can see and manage the full nancial picture for their clients,” says Goldman. “For Pontera, that means enabling retirement accounts to sit alongside other assets in a way that feels seamless, secure, and valuable for both clients and rms.”
NOT JUST FOR TECH’S SAKE
Naturally, all of the Hot Listers have explored AI and are using it where it brings bene ts.
Diamond notes the importance of utilizing tech that is ef cient and tailored to her rm’s needs. By using the Advyzon platform, GFP Private Wealth has introduced time-saving solutions such as a notetaker and new tax software.
“It’s not good enough to have a tech stack. You’ve got to have penetration and utilization of it,” she says.
Understanding her team’s needs when it comes to issues like tech is a priority for Diamond as a leader. “If you listen to your team – and I’m talking about every last person – they will tell you what’s going well and what’s not going well,” she says. “Sometimes, no one’s ever asked them.”
Underlining the need to give clients what they want, Boyer built his client base by visiting re halls and police stations. Though much of his
business now comes through referrals, his initial in-person interactions set the tone.
Still, Boyer has adopted tech for the obvious bene t of giving himself back more time for clients.
“We’re using as many AI tools as we possibly can use right now. I’m a hybrid advisor, but I’m mainly fee-based,” he says. “I work through LPL as my broker-dealer. We’re allowed to use Jump, which gets rid of some pain points, so I’ve leaned heavily on that.”
There’s also the signi cant impact that AI can have when it comes to determining patterns.
Wolfsen is positive about the amount of preparation work that AI has taken off advisors’ plates. She explains, “We’re very focused on building agents on behalf of our advisors so they don’t have to do that. It’s leveraging their data in a very privacy-aware way, so they get insights across their client base, and making sure that information is available in their CRM so they don’t have to go looking for it. Most important to me is making sure it’s very easy for them to get these insights.”
NAVIGATING VOLATILITY
JoAnn Seagren, partner at Chicago Capital LLC, believes the wealth professionals who have proven themselves in the recent turbulence, like those on IN’s Hot List 2025, are now in a place of strength.
“Geopolitical events have played a large and more direct role in economic activity,” she says. “This has led many businesses and investors to
“SOMEBODY TOLD ME, ‘I LIKE YOU BECAUSE YOU TALK TO MY HEAD, NOT OVER IT.’ I TAKE COMPLEX TERMS AND ACRONYMS, THEN BREAK THEM DOWN TO RELATABLE INSTANCES”
DREW BOYER, BOYER FINANCIAL GROUP
“WE’RE AHEAD OF THE CURVE IN DOING PRIVATE INVESTMENTS. WE REALLY DOUBLED DOWN 10 YEARS AGO, AND I THINK WE CONTINUE TO DO IT BETTER AND BETTER”
CARINA DIAMOND, GFP PRIVATE WEALTH
adapt and adjust their approach. Signi cant value is placed on advisors who have had experience in highly volatile markets and are comfortable and calm dealing with various market cycles.”
Mock urges more professionals to follow in the footsteps of the Hot Listers, as they have tapped into their true selves to explore and create new pathways forward for their clients.
“In order to continually deepen client relationships, you need to be your authentic self,” he says. “People recognize and respond to that, and when you have a rock-solid relationship at a personal level, people naturally want to continue to do business with you.”
Importantly, those on the Hot List 2025 have not only enabled diversi cation and access to more sophisticated investments to clients in choppy waters, but have also used the period to pass on their knowledge.
Michael Bisaro, CEO of StraightLine, has devoted the last 12 months to mentoring the next generation. Ironically, he was presenting to the Michigan State University Wealth Management Association
on April 8, the day that capped the S&P 500’s steepest four days of losses since the index was created in the 1950s, following the tariff fallout.
“Over the past year, the mentoring aspect of what we’re doing has really de ned our corner of the industry. It’s become central to how we grow, not just as a rm but as individual professionals,” Bisaro explains.
“Mentorship allows us to expand our capabilities beyond ourselves and ensures that knowledge and experience are carried forward. I see it as a responsibility to the broader industry.”
Note: Chicago Capital LLC is a registered investment adviser. Registration does not imply a certain level of skill or training. Information presented is for educational purposes only. Investments involve risk and, unless otherwise stated, are not guaranteed.
David Goldman
Chief Business Of cer, Pontera
Phone: (888) 677 3339
Email: dave@pontera.com
Website: pontera.com
Michael Bisaro, AIF® President and CEO, StraightLine
Managing Partner and Wealth Manager, Merit Financial Advisors
Tom Sittema
Partner and Executive Chairman, StepStone Private Wealth
Will Coughlin
Senior Investment Strategist, Partner, AC Family Of ce
Senior Partner, Chief Executive Of cer, and Chief Investment Of cer Crystal Capital Partners
NewsAnalysis
LPL SIGNS UP NEARLY 80% OF COMMONWEALTH’S ADVISORS
The company maintains its 90 percent target of retaining Commonwealth advisors
BY BRUCE KELLY
With its competing wealth management firms doing their best to recruit away Commonwealth Financial Network financial advisors, LPL Financial Holdings has signed up nearly 80 percent of the firm’s approximately 3,000 advisors. The firm maintains its retention target at 90 percent.
That’s according to LPL CEO Rich Steinmeier in discussing the firm’s third quarter earnings results. The wealth management industry for months has doubted whether LPL and Steinmeier could reach its goal of 90 percent.
“We’re at that kind of nearly percent − nearly 80 percent of assets having signed their agreements to stay with Commonwealth and on track for the 90 percent and putting all of that retention aside, we feel over the moon with this transaction,” Steinmeier said. “The cultural alignment and complementary capabilities are creating a combined firm that is far stronger than the sum of the parts.”
“Commonwealth is the key driver and has led to increasing momentum across the organization,” William Blair analyst Jeff Schmitt wrote in a note to investors. “While organic growth has been below normal recently due to lower advisor movements and a reallocation of resources to Commonwealth, this should turn when macro uncertainty improves and Commonwealth is integrated.”
Since LPL announced at the end of March its $2.7 billion, all-cash purchase of its former rival Commonwealth Financial Network, the company has steadfastly maintained its target of retaining 90 percent of the firm’s close to $300 billion in total assets.
That has not been an easy task.
A handful of senior industry executives over the summer privately told InvestmentNews that Raymond James Financial was second to LPL Financial in the bidding for Commonwealth.
Losing such a prize may have spurred Raymond James in the pursuit of Commonwealth advisors.
LPL’s competitors − including Raymond James and Cetera Financial Group − have turned on the charm and recruiting bonus offensives to woo those advisors, who are among the most productive in terms of annual revenue in the
“We feel over the moon with this transaction” RICH STEINMEIER, LPL FINANCIAL
independent brokerage and registered investment advisor industry.
Raymond James, for example, from the start of August to the beginning of October, recruited 18 teams of Commonwealth financial advisors with close to $4.5 billion in client assets, according to the company.
Cetera has managed to recruit at least two former Commonwealth groups of advisors with $1.1 billion in assets under administration.
Other firms are pursuing Commonwealth advisors but keeping mum about their progress.
With the broad stock roaring, LPL, like its competitors, reported new highs in assets for the third quarter.
32,128 Advisor headcount
$2.3 trillion Total assets $4.55 billion Q3 revenue LPL FINANCIAL HOLDINGS INC., AS OF SEP. 30
LPL’s total assets increased to a record $2.3 trillion driven by the acquisition of Commonwealth, organic growth, and higher equity markets. The firm saw an increase of organic net new assets of $33 billion, representing a 7 percent annualized growth rate.
The third quarter also saw record adjusted earnings per share of $5.20, an increase of 25 percent from a year ago.
“The company is on pace for 22 percent EPS growth this year, and we believe it can maintain EPS growth around the 20 percent level through 2027,” Schmitt wrote.“Key drivers include rising spread income despite interest rate headwinds, improving expense discipline, and synergy realization for the Commonwealth deal, which should result in an acceleration in EPS in 2027.”
PUTTING CULTURE FIRST AT PROSPERA
Prospera president Tarah Williams explains why culture is key to the firm’s growth
BY GREGG GREENBERG
IT ALL comes back to maintaining a strong culture for Prospera Financial Services president Tarah Williams − even when it’s a matter of money. Seriously.
“We’re selective in who we bring on, because culture matters just as much as AUM. Success here isn’t about joining a platform, it’s about joining a community,” Williams says.
Culture is non-negotiable when it comes to working for − or with − Williams. That’s the way it’s been since she was named president of the hybrid RIA in October 2022.
It’s also a primary reason why the firm has taken off since she took the position after two decades in the industry. Prospera has grown more than 40 percent in the past three years while maintaining a Net Promoter Score of 90 percent, proving that culture and performance can grow together.
“When I stepped into the role,” Williams says, “my vision was to honor what makes Prospera special − our boutique service model and genuine sense of community − while preparing the firm for the future. That meant investing
intentionally in our people, processes, and technology so we could scale without losing our personal touch.”
SCALING WITH SINCERITY
Prospera’s niche is “intentional independence,” according to Williams. They’re big enough to offer turn-key support, yet small enough to know every advisor by name, and what makes them tick. That combination, or what she refers to as “scale with sincerity,” has allowed the firm to maintain its growth trajectory.
C-Suite
AUM: $28 billion in total client assets
Employees: 96
Locations: HQ in Dallas and 230 advisors throughout the country
Advisor-to-home-office ratio: 2.5:1
Right now, the firm consists of 230 advisors managing more than $28 billion in assets. But more advisors are coming to Prospera for the gold-standard service of a boutique firm with the resources and confidence of a broad, national platform.
It’s not a one-way street, of course. Williams is going after advisors as well, as the necessity to scale has turned into a matter of survival in a wealth management business that has become viciously competitive.
This competitive environment is in part thanks to a tidal wave of private equity players who, to put it mildly, care far more about the bottom line than sincerity.
Back in April of this year, for example, Prospera acquired the St. Louis, Missouri-based
“Culture and strategy aren’t separate for us; they’re the same thing”
boutique firm Cutter & Company. Aside from being an independent broker-dealer and RIA overseeing $2 billion in client assets, Cutter also provided Prospera with an insurance agent and an increased Midwest presence.
Said Cutter CEO Deborah Castiglioni at the time: “Our shared values of client service and advisor-centric decision-making provide clear cultural synergies with excellent opportunities for future growth.”
Prospera agreed to provide a curated tech stack, family office resources, and high-touch operational resources. But it was a matter of culture that got the deal done. On both sides.
Similarly, when Prospera picked up the $650 million California-based advisor Painter Smith & Amberg Inc. a year earlier, its founder, Charles Painter, pointed to Prospera’s commitment to a “family-like culture” in the deal’s press release.
“Our growth will never come at the expense of culture,” Williams says, adding, “boutique isn’t
a size, it’s a mindset and it means staying close, staying personal, and ensuring our advisors and employees feel seen and supported.”
ALL IN THE FAMILY OFFICE
Right before Prospera announced the Painter Smith & Amberg deal in early 2024, Williams unveiled the Prospera Generational Wealth platform. The program gives advisors access to trust and estate planning tools, generational wealth resources, and concierge-style services that simplify complex planning for multi-generational families.
Williams calls the platform “one of our most exciting developments.”
“We have an Advanced Planning Council that is education-based, and a monthly meeting of the minds for advisors to share ideas and best practice cases. We’re now layering in expanded planning integrations through Prospera Generational Wealth, so advisors can serve sophisticated households with efficiency,
PROSPERA AT A GLANCE
FAMILY
• Husband: Dave Williams
• Kids: Brad, Alaina, Katherine, Christia
• Dog kid: Georgia, aka Georgie EDUCATION
• Bachelor of Science in Business, Family and Consumer Sciences
• Completed courses through the Wharton Executive Education programs HOBBIES
• Hanging out and traveling with her dog
• Paddleboarding and kayaking on Tampa Bay
• Designing hosted events at her home
• Beer tasting
• Spending time with her two grandchildren
• Member of the Vistage CEO Group
care, and confidence − all within the Prospera ecosystem,” Williams says.
Her goal is to be fully AI-operational by June 30, 2026, which means every department and employee will have the tools, training, and confidence to use AI effectively in their daily work.
Emphasized Williams: “At Prospera, technology will never replace connection; it will amplify it.”
ON PE, PATIENCE, AND (OF COURSE) CULTURE
Williams readily admits the recent influx of PE money into the wealth management industry has brought tremendous attention to what was previously a fairly staid business. In response to the increasingly heightened competition, Williams says she is trying to take a measured and intentional approach.
“We’re selective in who we bring on, because culture matters just as much as AUM”
As to how AI will impact Prospera’s ecosystem, Williams sees the blossoming technology as a way to make the firm’s people –and its culture − better.
“As with any tool or initiative we roll out, it must support our ability to serve our advisors through a thoughtful adoption. We’re building an AI roadmap that blends quick wins with long-term transformation, using AI to enhance workflows, deepen client insight, and increase advisor capacity,” Williams says.
“We’re focused on sustainable growth, cultural alignment, and long-term value creation − ensuring that any opportunity we consider strengthens our foundation and supports our advisors,” Williams says. “Our priority is clear: to keep building a firm that endures and thrives, regardless of market cycles.”
The toughest part of the process, in her opinion, is balancing the blistering pace required in this white-hot market with the patience needed to build the firm to match her vision. Leadership in this challenging environment
means moving quickly without losing connection, according to Williams.
“Our advisors inspire me every day with their entrepreneurial spirit, and our employees bring heart and excellence to everything they do,” says Williams. “Seeing those worlds connect − advisors thriving, employees fulfilled, clients well served − is what it’s all about.”
Added Williams, perhaps unable to resist: “Culture and strategy aren’t separate for us; they’re the same thing.”
SectorFocus
WALL STREET’S CRYPTO AWAKENING
Bitcoin’s record highs and Trump’s new crypto laws mark a turning point for institutions including Schwab, Morgan Stanley, and Citi as they enter digital assets more boldly
BY ANDREW COHEN
In the same month as Bitcoin hitting an alltime high above $126,000, over $19 billion in leveraged crypto positions were liquidated on October 10 − history’s largest single-day sell-off event on record.
The brief but dramatic crash was triggered by that day’s Chinese tariff announcement from President Donald Trump. But even as the president engages in erratic or sudden nature, the volatility of Bitcoin is dropping as legacy institutions leave their mark.
“The biggest [Bitcoin] declines in the past have been 70 or 80 percent and lasted for years. This decline was 30 percent and lasted about a week. In other words, it was a lot more like 1986 than
$126,210
$19 billion Leveraged crypto positions liquidated October 10
$500,000
Edelman’s
10%−40%
1929,” says Ric Edelman, the famed financial advisor turned crypto evangelist. “And the reason that Bitcoin is not likely to experience a 70 percent decline in the future, and the reason it’s not likely to sustain a bear market like it did in the past, is because we now have institutional engagement that we never had before.”
Edelman, who retired in 2021 from the over $300 billion mega-RIA Edelman Financial Engines, launched the Digital Assets Council of Financial Professionals in 2015 as a crypto education network for advisors and their firms. Edelman’s organization now assists Schwab on its forthcoming spot crypto trading, which Schwab CEO Rick Wurster said in
the price of Bitcoin to reach $500,000 by 2030, and he currently recommends portfolio allocation of 10 to 40 percent in crypto.
“Schwab clients already have access to spot crypto ETPs, crypto futures, and even non-ETF OTC crypto coin trusts through our trading platforms,” a Schwab spokesperson said in a statement to InvestmentNews “We remain on track to begin rolling out spot crypto to clients in the first half of 2026, starting with Bitcoin and Ethereum. We’ll launch this offer the Schwab way, combining education, research, risk management, and service at a great value.”
Coinbase is the largest cryptocurrency exchange in the US, while Binance holds that rank globally.
“Schwab is very aggressively developing its platform to trade and custody digital assets, and that is going to force all the other firms that compete with Schwab to do the same thing”
RIC EDELMAN, DIGITAL ASSETS COUNCIL OF FINANCIAL PROFESSIONALS
last month’s Q3 earnings call is likely to launch in the first half of 2026.
“Schwab is very aggressively developing its platform to trade and custody digital assets, and that is going to force all the other firms that compete with Schwab to do the same thing,” Edelman tells InvestmentNews. “Advisors are increasingly interested, and if the firm doesn’t make it available, their clients are simply going to go elsewhere. Firms may lose advisors over this, and they’ll certainly lose credibility by not engaging in what is the fastest growing asset class in the industry.”
Edelman says his work with Schwab is focused on advisor training with regards to integrating client crypto holdings across tax planning, estate planning, philanthropy, and divorce planning. Edelman expects
October was a pivotal month for legacy Wall Street brands embracing crypto, suggesting that Coinbase’s top spot might not last much longer. Last month saw Morgan Stanley drop its restrictions to let their advisors recommend Bitcoin ETFs to clients, while Citi told CNBC that it aims to launch its own crypto custody service in 2026.
“Schwab is a trusted name, so I think they could potentially put out the lights of a lot of the folks that are doing Bitcoin custody now. Let’s just be honest, are you going to custody with Coinbase or are you going to want custody with Schwab?” asks Tyrone Ross, CEO of Turnqey Labs, a software startup that brings crypto asset data into advisor workflows.
“Having [crypto] trading and custody [at Schwab] opens up a lot of flexibility for advisors who want to
build their own models, get clients direct exposure. It makes it easier to bill on, rebalancing, forecasting, building proposals; it could get really awesome,” says Ross. “I think if Schwab does it [and] Citigroup announced it, why wouldn’t Pershing? why wouldn’t Altruist at some point, or LPL?”
The SEC began allowing spot Bitcoin ETFs in January 2024, trailblazing launches from asset managers including BlackRock, Franklin Templeton, Fidelity, and Grayscale. Trump’s GENIUS Act signed into law in July was the first federal regulatory crypto framework to pave the way for stablecoins; some Wall Street executives are contemplating further crypto legislation.
“I think one of the biggest things would be allowing staking in the ETFs,” says Max Gokhman, deputy CIO for Franklin Templeton Investment Solutions. “Right now, if you’re buying an ETF and it’s not giving you yield, it’s kind of like buying a multi-family and not getting to charge rent. So it’s one thing that we really think is logical, and we do think that regulation should allow for that.”
Franklin Templeton’s allocation of digital assets to client portfolios will typically result in them also reducing exposure to riskier equities like emerging markets and international small caps, as well as increasing exposure to fixed income assets like treasuries, Gokhman says.
Institutions are becoming increasingly bullish on tokenization, which utilizes blockchain technology powering cryptocurrency. Robinhood debuted tokenized stocks in Europe in June, letting users buy US-listed stocks and ETFs as well as shares in private companies such as OpenAI and SpaceX. In September, Nasdaq sent a proposal to the SEC requesting to let investors trade tokenized versions of listed securities.
“Some of the things that Robinhood’s looking at, we’re actually looking at a lot of these concepts ourselves, which is tokenizing new asset classes,” Gokhman says of Franklin Templeton. “So tokenizing private equity LP shares, for example, or tokenizing
“Schwab is a trusted name, so I think they could potentially put out the lights of a lot of the folks doing Bitcoin custody now. Are you going to custody with Coinbase or Schwab?”
TYRONE ROSS, TURNQEY LABS
real world assets like fine art or other cultural assets, royalty streams.”
Fractional shares through tokenization are viewed as a promising future offering to retail investors, Gokhman says. He conceptualizes that investors could purchase shares in their favorite athletes or musical artists to gain royalty payouts based on sponsorship contracts, salary, or other earnings.
“If we tokenize equities, it really is a 24/7, 365, market. When I look out even five years, I think we’re going to see much more of all assets trade on chain,” says Gokhman.
“I think it’s actually going to fundamentally change the role of the advisor as well, from one who in the past was more of a portfolio manager to now more of a wealth coach, to being kind of a holistic almost life coach, where they’re really looking at how they tie all financial aspects of their clients together in one package,” he adds.
Edelman echoes the promise of blockchain assets, saying that retail investors will be able to trade tokenized versions of real estate, artwork, comic books, sports memorabilia, rare coins and stamps, and more assets.
“Instead of having 15 or 20 asset classes that are available today as a portfolio diversification strategy, we’re in the future going to have 15,000 or 20,000 asset classes,” says Edelman.
“You’ll be able to own a piece of Taylor Swift’s music. So instead of being a fan listening to her music on Spotify, every time somebody does listen,
July 2025: Trump signs GENIUS Act − first US federal crypto framework
2025: Frankin Templeton exploring tokenization of private equity and other real-world assets
2026 (planned): Schwab and Citi to launch crypto custody and trading services
you’ll earn a piece of the royalty,” Edelman says. “You’ll be able to own a piece of your favorite author so that when those royalties are generated, you earn a piece of it. When your favorite NFL quarterback gets a new salary contract, you’ll earn a piece of that contract, making you an owner rather than merely a fan.”
RoundTable
CONTINUITY AS A FIDUCIARY DUTY
Protecting clients, teams, and enterprise value now requires a discipline that reaches beyond planning portfolios to planning succession
More than one-third of financial advisors are expected to retire within the next decade. Yet fewer than half have a written succession plan. For a profession built on long-term planning, that gap has real consequences. A sudden event affecting a firm owner can fracture client relationships, unsettle employees, and diminish years of value overnight.
At a recent roundtable hosted by InvestmentNews and Mercer Advisors, industry leaders discussed that reality, including Martine Lellis, principal of M&A partner development at Mercer Advisors; Paul Hoerrner, senior managing director at Magnus Financial; and Leslie Hwang, client relationship manager with Magnus Financial.
Though they hail from different backgrounds, they all concur: succession planning is not a transaction to be postponed – it is an extension of fiduciary duty. As Lellis told the group, acting in a client’s best interest means preparing for their continuity as much as their portfolio.
CHOOSING BETWEEN CONTROL AND SCALE Hoerrner has spent more than two decades building his practice, managing a loyal client base, and refining his approach to advice. Like many of his peers, he admits succession has often taken a back seat to growth. “You spend so much time helping clients plan for their futures that you forget to plan for your own,” he said. “It’s easy to think there’s always more time.”
But Hoerrner said he’s increasingly aware of the unanswered questions as his firm grows. “What happens if I die? What’s my business worth if I retire? How would my son take over my book?” he asked. “Those are all things I haven’t spent nearly enough time on.”
Lellis has seen that pattern repeat across hundreds of firms. “We hear the same hesitation,” she said. “Founders worry about control, culture,
or timing. But the longer you wait, the fewer choices you have. A well-designed plan lets you define your exit, not react to it.”
Two models typically dominate the discussion: internal succession or external sale. Lellis explained Mercer’s integrated approach: “We buy the entire business, the people, the assets, the systems and fold it into ours.”
That structure, she said, allows advisors to focus on growth while relieving them of the operational weight that can hold back scale. “We try to remove the noise of running the business so advisors can spend 80 percent of their time in front of clients,” Lellis said.
Internal transfers preserve culture and relationships, but the next generation may not have the capital or the appetite for ownership. As Hoerrner explained, “People at that stage are usually still building their own careers. The economics of a buy-in can be tough.”
External sales, by contrast, bring liquidity, structure, and shared resources. In most cases, advisors who sell to an external partner and join up with them will have more resources to offer their clients. Once advisors see the capacity it creates, they understand it’s collaboration, not replacement.
That operational clarity, Lellis argued, is part of what makes a firm transferable. “Succession isn’t just about who buys you out,” she said. “It’s about whether your service model can be even stronger with a partner.”
THE MARKET THAT FUELS AND TESTS SUCCESSION
While demographics are driving consolidation, the market itself remains the biggest variable. Advisory firms are tied to asset-based billing, which means even a modest market decline can compress revenue immediately.
Despite that vulnerability, the broader environment remains favorable. Apart from the 2008–2009 crisis, markets have delivered two decades of strong returns, and the advisory profession has expanded alongside them. This is, in Lellis’s words, “still a business of opportunity.”
Lellis pointed out that the RIA space is poised for a record year of deal-making. Roughly 400 transactions are expected in 2025, the highest level on record. Yet even that surge pales beside the number of new firms
entering the market. “There are hundreds of new RIAs formed each year,” she said. “More advisors are leaving banks and broker-dealers to start independent practices than those selling them. It’s a sign of both consolidation and expansion happening at once.”
Larger firms are growing more sophisticated, offering broader service sets and career opportunities. Concurrently, independence remains a powerful draw for entrepreneurial advisors seeking flexibility and client-centric cultures. “It’s an industry of
abundance,” Lellis said. “There is room for both scale and reinvention.”
Looking to the next generation of advisors, Hwang noted the lack of awareness among young professionals about the time it takes to build an advisory career. “It’s hard for them to not seek instant gratification,” Hwang said. “They want guaranteed salaries and quick recognition.”
Lellis added that demographic shifts have changed motivation. “Younger advisors often come
from wealthier households,” she said. “Their parents can help them. It doesn’t create the same hunger that built many of today’s firms.”
That generational gap, Lellis said, is one reason larger organizations have turned to acquisitions. “We can find talent that already exists within wellrun firms,” she explained.
HOW VALUE IS BUILT AND WHY TIMING MATTERS
Valuation was another focal point: while deal multiples attract attention, the structure and sustainability determine long-term value.
“We look closely at revenue consistency, client tenure, and billing discipline,” Lellis explained. “Those are the elements that make an earnings stream reliable. The real asset is the people who sustain it.”
Today, high-performing RIAs can command mid-teens EBITDA multiples, but those figures are only meaningful if the business is operationally sound. “Strong growth and clean financials translate into confidence for a buyer or partner,” Lellis noted. “That’s what turns a personal practice into a transferable enterprise.”
For many firm owners, valuation conversations prompt deeper introspection. They expose whether the business can truly operate without the founder’s direct involvement.
As Hoerrner put it, “Succession planning forces you to see your firm through an investor’s eyes. It makes you a better operator before you ever become a seller.”
LEADERSHIP THROUGH CONTINUITY
Ultimately, succession is less about transaction mechanics than leadership. It reveals how a firm thinks about time, purpose, and the people who will carry both forward. The advisors who plan early are designing organizations that can outlast the conditions that created them.
Lellis described continuity as an ongoing act of stewardship. It is not achieved through paperwork or deal terms but through daily behaviors – sharing decision-making, documenting processes, and developing the next generation of leaders. Firms that build these habits now, she said, tend to grow stronger even before ownership changes hands.
“The hardest thing for founders is to step back from being the firm’s identity,” she said. “But the moment they do, the business often becomes more valuable and more human.”
For many advisors, the next decade will test not only succession readiness but the very definition of independence. The market is expanding, and clients are demanding broader capabilities.
The real question may no longer be when to plan but what kind of legacy an advisor wants their firm to represent: a business that ends with them, or one that keeps earning the trust they built long after they step away.
Rockefeller Capital doubles valuation to $6.6B
ROCKEFELLER Capital Management, a longtime family office that in 2018 plunged into the broader wealth management business, said it had raised a fresh round of capital from three investors, including the owners of Chanel.
This recapitalization now brings the valuation of the firm – according to the company − to $6.6 billion, up from $3.1 billion just two years ago.
RIA M&A ‘on fire’ in 2025
RIA MERGER and acquisition activity has reached unprecedented heights in 2025, with the third quarter closing at 94 transactions – the highest quarterly total ever recorded, according to the latest DeVoe & Company RIA Deal Book.
This surge continues a string of robust quarters that began in late 2024, positioning the industry to surpass the once-unthinkable threshold of 300 transactions by year-end.
As of the end of last month, the firm oversaw $187 billion in client assets across its three businesses: Rockefeller Global Family Office, Rockefeller Asset Management, and Rockefeller Strategic Advisory.
The momentum began in the fourth quarter of 2024, when deal activity climbed to 81 transactions, then carried through to 2025 with each quarter exceeding previous records.
Cetera scores with advisors
CETERA FINANCIAL GROUP, the brokerage and registered investment advisor giant, is clearly making inroads with financial advisors looking for a new firm after introducing a highly competitive recruiting bonus; it reeled in at least nine teams with close to $4.8 billion in client assets under administration over the summer and into the fall, based on a tally of public reports by the company over the past three months.
Two of those groups of advisors, Gigi Schneppat, with $60 million in assets under administration, and King Financial Network, with $1.1 billion in assets under administration, hail from Commonwealth Financial Network, which was acquired over the summer by industry behemoth LPL Financial Holdings for $2.7 billion in cash.
And Cetera is leaning on Summit Financial, which closed as a separate broker-dealer in 2019 and operates as a regional office, and its veteran leader Marshall Leeds, to reel in those advisors.
“Marshall Leeds runs Summit, and he’s a legend,” says John Pierce, former head of business development, or recruiting, at Cetera. ”Marshall and his team are the best in the business. His reps love him and he’s the best recruiter Cetera has.”
It’s been an industry-wide scrum for Commonwealth Financial Network’s close to 3,000 advisors since LPL announced the deal at the end of March and then closed it in August. The acquisition has kicked some firms, including Cetera, into an all-hands-ondeck way of operating their advisor recruiting efforts.
Raymond James Financial, for example, from the start of August to the beginning of October recruited 18 teams of Commonwealth financial advisors with close to $4.5 billion in client assets.
Cetera has close to 12,000 financial advisors across its platform and $590 billion in client assets.
AWS outage highlights how RIAs can weather cloud failures
ONEPOINT BFG Wealth Partners made its largest acquisition to date by purchasing Spahn Financial Partners, a $2 billion Chicago-based advisory practice. The deal pushes OnePoint to $15 billion AUM and CEO Andy Schwartz expects to reach about $25 billion in assets in 18 months.
OnePoint managed roughly $10 billion at the time of its minority investment from Joe Duran’s Rise Growth Partners in August 2024. All 17 Spahn Financial employees will transition to OneTeam. Founder Kevin Spahn and his partners Timothy Funke, Kyle DeRaedt and Nirav Patel are now all equity partners at OnePoint, which has over 200 employees
THE OUTAGE of cloud computing giant Amazon Web Services (AWS) in October had a ricochet effect across the financial services industry. Issues were reported starting around 3 am ET on October 20. Customers were temporarily locked out of accessing their investment accounts on Robinhood and Coinbase as part of the AWS outage, while Morningstar and fintech banking provider Chime were also impacted.
Tyrone Ross, CEO of Turnqey Labs, had his business operations derailed by both the Coinbase and Morningstar disruptions.
“Turnqey has a data integration with Morningstar ByAllAccounts, their service was down,” Ross said.
“Marshall Leeds runs Summit, and he’s a legend. Marshall and his team are the best in the business. His reps love him and he’s the best recruiter Cetera has”
JOHN PIERCE, JOHN PIERCE CONSULTING
Other firms are also successfully recruiting Commonwealth teams, according to industry executives, but have declined to make public statements about those advisors joining.
But Cetera’s new recruiting bonus has clearly gained attention in the marketplace. The firm is offering to pay some advisors
as much as 150 basis points, or 1.5 percent, based on their assets, if 60 percent or more are in advisory accounts, according to industry executives.
If an advisor manages $1 billion in client assets, the Cetera recruiting bonus would total $15 million and be worked off over nine to 10 years as a forgivable loan.
Stifel Financial sells non-core broker-dealer
STIFEL FINANCIAL Corp. continued its long-term move away from the independent broker-dealer industry when it said on Monday it had sold Stifel Independent Advisors, with close to 110 registered reps and $9 billion in client assets, to Equitable.
Terms of the deal were not disclosed, but the transaction is an indication of the continued appetite for investors and buyers of wealth
management businesses.
LPL Financial Holdings, Cetera Financial Group, and Osaic have for more than a decade been the leading buyers of independent broker-dealers such as Stifel Independent Advisors − formerly Century Securities Associates.
First Brand fallout hits FS Specialty Lending Fund
THE COLLAPSE and bankruptcy of an auto part giant First Brands Group, with likely billions in debt outstanding, is beginning to have an impact on financial advisors, with one popular private debt fund, FS Specialty Lending Fund, saying it no longer had exposure to First Brands. That came after reporting over the summer the
Robinhood eyes
fund held loans of the company valued close to $26.6 million.
FS Specialty Lending Fund’s disclosure about First Brands came in a regulatory filing, the same day the company said the $1.9 billion fund crossed the goal line and won investors’ approval to list its shares later this year.
‘symbiotic relationship’ between robo, TradePMR advisors
&PARTNERS has officially achieved the lofty recruitment target its co-founders set just over two years ago. The Nashville- and St. Louis-based hybrid broker-dealer and RIA welcomed its 100th advisory practice, Mannen Financial Group, cementing its position as one of the fastest-growing wealth management organizations in the country.
The addition of the St. Louis-based team brings &Partners’ network to approximately $50 billion in prehire assets and $350 million in annual revenue, the firm said in a statement.
ROBINHOOD STRATEGIES just crossed $1 billion in AUM across 180,000 funded accounts, as the brokerage giant envisions a potential crossover with its robo-product and RIA custodian TradePMR serving financial advisors.
“Robinhood Strategies doesn’t right now give financial planning advice or estate planning advice, things that really come from
an advisor and a one-on-one conversation,” said Robinhood chief investment officer Steph Guild.“One of my longer-term goals would be to offer our portfolios to the TradePMR platform, similar to the way you might see it in other places where their inherent portfolios are offered to their advisor network. I think it could be a symbiotic relationship.”
JOHN PIERCE
Stifel settles more Miami broker lawsuits, totaling $3.4 million
LAWYERS AT Stifel Financial Corp. were busy last month as they continued to clean up the legal mess stemming from a former star broker based in Miami, Chuck Roberts, who sold clients high-risk structured notes.
According to the BrokerCheck history of Roberts, who was barred in July from the securities industry by FINRA, Stifel Nicolaus & Co. Inc. agreed in September to settle three investor claims of former clients of Roberts for a total of $3.4 million. Stifel has paid millions of dollars in damages to former clients of Roberts over the past year. Stifel is on the hook to close to $180 million in damages, legal fees and settlements in investor complaints.
HSBC braces for $1.1 billion Madoff hit
HSBC IS preparing to absorb a $1.1 billion hit in its third-quarter results after a Luxembourg court ruled against the bank in a longrunning lawsuit connected to Bernard Madoff’s multibillion-dollar Ponzi scheme, underscoring the lingering financial and reputational risks major banks continue to face from the 2008 financial crisis fallout.
The provision follows a decision by the Luxembourg Court of Cassation, which rejected HSBC’s appeal regarding the restitution of
securities claimed by Herald Fund SPC, a Cayman Islands-based fund that lost assets in Madoff’s fraud.
Texas advisors in trouble for allegedly taking client money
TWO VETERAN retail financial advisors in Texas this month hit the skids in the wake of allegations that they misappropriated or stole client funds.
Where do bad brokers work and live?
THE RULE of thumb for bank robbers is they rob banks because that’s where the money is. The rule of thumb for “bad brokers,” sometimes called cockroaches, is to live and rob where the sun shines brightest, because that’s where all the retirees are.
High-risk brokers tend to cluster in warmer southern climes, according to a new research paper titled “Regulatory Leakage among Financial Advisors: Evidence from FINRA Regulation of ‘Bad’ Brokers,” published in the Journal of Financial Economics
“Although such individuals are spread across the US, they appear particularly concentrated in the Southeast and Southwest,” according to the paper, which was written by law professors Colleen Honigsberg, Edwin Hu, and Robert J. Jackson Jr. “Nevada had the highest percentage of high-risk brokers, at 4.9 percent, with Florida and North Dakota close behind with around 4 percent.”
And we can add in New Mexico and Arizona − with concentrations of bad brokers, respectively, of 3.9 percent and 3.8 percent − as other warm-weather
“I’ve seen very little to zero oversight by insurance regulators of products”
JEFFREY SONN, SONN LAW GROUP
The academic paper tallies a total of 4,062 FINRA-registered brokers in 2018 who were considered high-risk, or roughly 0.6 percent of the total number of FINRA brokers. A high-risk broker is defined as carrying two or more “specified risk events” or one or more final criminal matters.
Former NFL star’s advisor faces fraud lawsuit
states where retirees flock to that pose risks.
“All these states have a very high percentage of the population that is retired, and they are seeking ways to manage their money and they are also concerned about outliving their money,” says Rita Robbins, president of Affiliated
The Texas State Securities Board on October 9 filed an order against Ronald D. Smith Jr. and his eponymous registered investment advisor in Austin, claiming he misappropriated $1.4 million from 10 clients.
FINRA on Thursday barred a former Raymond James Financial Services Inc. advisor based in San Antonio, Jose Gamez, who did not provide information into FINRA’s investigation into whether Gamez used customer funds for personal reasons.
A FORMER NFL player and his wife have accused their longtime advisor of defrauding them, leading to a highstakes legal fight in North Carolina.
Mike Rucker, who played defensive line for the Carolina Panthers, and his wife, Kristina, say they put their financial future in the hands of Jon Patrick Kubler, a man they’d trusted since
college. Kubler was their go-to for financial advice, handling investments, insurance, and real estate. The couple says they gave him complete access to their finances, believing he was acting in their best interests. They allege that even after Kubler gave up his securities licenses in 2009, he continued to direct their investments.
Advisors, one of the largest offices affiliated with Osaic Wealth. “Sadly, it’s an appealing marketplace for the wrong people, the cockroaches.”
The insurance industry is more lightly regulated than Wall Street, regional and small broker-dealers, and registered investment advisors, all of which must answer to either FINRA or the Securities and Exchange Commission (SEC). Indeed, “insurance seems to attract FINRA brokers with a history of misconduct,” and bad brokers “flow to insurance” are two of the conclusions of the academic study.
Now that FINRA and the rest of the industry have identified the bad brokers, it’s up to the states’ insurance
commissioners to keep a close eye on their behavior, particularly the products they sell, says one plaintiff’s attorney.
“I’ve seen very little to zero oversight by insurance regulators of products,” Jeffrey Sonn, a plaintiff’s attorney, tells InvestmentNews. “There should be a review once a year of brokers and insurance agents with the highest number of investor complaints. We’ve seen insurance agents selling investment in Ponzi schemes. They’re just not trained to sell alternative investments and products.”
“And as the population ages, it’s an even bigger problem to address,” Sonn says. “You can’t have an industry that allows recidivists to hide in plain sight.”
SEC investigates exchange over alleged Scientology ties, fund misuse
THE SEC has launched a civil probe into Dream Exchange, a Chicago-based startup seeking to become a new stock exchange, following whistleblower allegations about its financial practices and connections to the Church of Scientology, according to reporting by the Wall Street Journal.
Former Dream Exchange employees told the Journal that SEC investigators from the agency’s Chicago office have questioned them in recent
weeks. The inquiry reportedly centers on claims that the firm misappropriated investor funds and maintained undisclosed links to Scientologyaffiliated organizations.
The probe remains in its early stages and may not result in formal allegations of wrongdoing.
Industry groups welcome delay of AML rule for RIAs
TWO OF the largest organizations representing investment advis o rs and asset managers are voicing support for a federal proposal to postpone new anti-money laundering requirements for RIAs, while urging regulators to use the extra time to address lingering concerns about compliance burdens and regulatory overlap.
FinCEN recently proposed
delaying the effective date of its anti-money laundering and countering the financing of terrorism (AML/CFT) program and suspicious activity report (SAR) filing requirements for registered investment advisers and exempt reporting advis o rs. The rule, originally set to take effect January 1, 2026, would instead be pushed back two years, to January 1, 2028.
FINRA fines Ally Invest $850k over recordkeeping failures
ALLY INVEST, a robo-advisory and online brokerage firm based in North Carolina, has agreed to pay an $850,000 fine and accept a censure from FINRA after the regulator found the firm failed to preserve tens of millions of business-related electronic communications over a six-year period.
The settlement, announced this week, follows previous warnings
from FINRA about similar deficiencies in Ally Invest’s supervisory practices. According to the settlement agreement, the violations occurred between September 2016 and November 2022. During this time, FINRA said Ally Invest failed to preserve 22.6 million electronic messages with customers concerning trade executions, fund transfers, and other account activity.
Hackers claim 1 billion record breach in Salesforce attack
A SPRAWLING coalition of hackers styling themselves as Scattered LAPSUS$ Hunters has claimed responsibility for one of the largest alleged data thefts in recent years, asserting that nearly one billion records have been siphoned from companies relying on Salesforce, the dominant US cloud software provider.
The group’s revelation, paired with the launch of a dark-web
extortion portal, takes aim at multinational corporations and financial institutions that depend heavily on Salesforce to run customer operations.
Salesforce, which provides cloud-based customer relationship management tools to retailers, banks, insurers and wealth managers, has rejected the suggestion that its own platform was breached.
TOTAL US annuity sales reached $119.3 billion in the third quarter of 2025, according to new data from LIMRA, marking the eighth straight quarter that sales have surpassed $100 billion.
The latest preliminary read of the annuity space represents a 4 percent increase from the same period last year and set a new quarterly record. Year-to-date,
Annuity sales hit new high Obamacare premiums to surge 30% as subsidy support falls away
annuity sales have climbed to $345 billion, the highest ninemonth total ever recorded by the industry group.
LIMRA’s figures published Wednesday showed that Q3 growth was fueled by strong demand for registered annuity products, including both traditional variable annuities and registered index-linked annuities (RILAs).
How advisors can prepare heirs for wealth amid conflicting information sources
AS AN estimated $84 trillion moves from baby boomers to their heirs over the next two decades, the stakes for families and their advisors have never been higher.
overload, not confidence. Prior to the internet and social media, people were more inclined to consult a professional such as a banker or financial advisor.”
THE AFFORDABLE Care Act marketplace is entering one of its most turbulent periods since its launch, as premiums are set to climb sharply and federal subsidies are poised to expire in December, creating potential ripple effects across insurers, investors, and consumers.
According to final rate filings from the Centers for Medicare and Medicaid Services, the cost of mid-level “silver” plans sold through
Social Security COLA for 2026
set at 2.8%
SOCIAL SECURITY beneficiaries
will see a 2.8 percent increase in their monthly payments in 2026, the Social Security Administration announced Friday, reflecting ongoing inflationary pressures and marking the fifth consecutive year of cost-of-living adjustments at or above 2.5 percent.
Healthcare.gov will rise about 30 percent next year.
The increase affects roughly 17 million Americans who purchase coverage through the federal exchange, representing the steepest average gain since 2018.
The adjustment, applied to Old-Age, Survivors, and Disability Insurance as well as Supplemental Security Income, will affect roughly 75 million Americans starting in January. On average, benefits will rise by about $56 per month, according to the agency’s announcement. The average monthly benefit for a retired worker is expected to increase from $2,015 to $2,071, while survivor benefits and disability payments will also see modest gains.
For Jill Shipley, head of family governance and education at AlTi Tiedemann Global, the task for advisors is not just about preserving this huge amount of wealth but about preparing the next generation for what’s coming their way, especially as younger generations often seek information in places that didn’t exist for most of their parents’ and grandparents’ lives.
“Early and ongoing communication and preparation are the most critical factors in ensuring a successful wealth transfer that preserves both assets and relationships,” Shipley says. “Let’s be honest, the sheer volume of conflicting, unaudited ‘advice’ on platforms like TikTok and YouTube leads to information
The lack of clarity created by these multiple sources is compounded by structural challenges.
“Today’s generation report feeling worse off financially than their parents due to having come of age during or after significant recessions, while also having to navigate costs of education and housing, and high inflation and financial uncertainty,” Shipley says. “The rising generations are seeking support and advice related to learning about managing money. They want to learn and are willing to do the work to gain confidence and competence.”
When financial literacy is scarce, many inheritors turn to those closest to them and that’s not always ideal.
US pension system holds steady as global peers advance
THE US has held its ground in the 2025 Mercer CFA Institute Global Pension Index, posting a modest gain in overall performance while remaining outside the top tier of global retirement systems.
This year’s Index assigned the US an overall C+ grade, with a score of 61.1, up slightly from 60.4 in 2024. Sub-index results reflected steady fundamentals: adequacy at 64.1, sustainability at
59.9, and integrity at 58.0. According to Mercer, the gradual improvement stems largely from stronger economic data and continued participation in employer-based retirement plans.
“The most significant generational shift I’ve seen is with rising generations redefining success to go beyond purely financial metrics”
JILL
SHIPLEY, ALTI TIEDERMANN GLOBAL
“Though family and friends are well intentioned, their advice often comes with emotional bias, personal baggage, [and] outdated strategies and investment philosophies,” Shipley says. “Wealth holders need independent, objective advice from a team that has experience across a spectrum of issues such as tax law, trust and estate planning, philanthropic structures, and investment strategies.”
Shipley says early exposure to advisors is a key differentiator in how younger generations conduct the management of their finances later on. And that should be recognized by firms.
“Wealth management firms should encourage younger family members to participate in meetings early on, even
More Americans planning to claim Social Security early
A GROWING number of Americans are opting to claim Social Security benefits before reaching the age that would maximize their monthly payments, according to new research from Schroders. Drawing from its 2025 US Retirement Survey, which polled 1,500 investors
if they are not the primary decision makers,” Shipley advises. “This creates connections, builds trust and offers educational opportunities long before the actual wealth transfer occurs.”
Shipley shares that many heirs imagine that being born into a wealthy family is like winning the lottery, but it does not guarantee happiness or solve all of life’s challenges. She says that aligning wealth with personal principles helps inheritors use money as a force for meaning.
“Pursuing those opportunities can relieve some of the challenging feelings that can accompany inherited wealth,” she says. “The most significant generational shift I’ve seen is with rising generations redefining success to go beyond purely financial metrics.”
nationwide, Schroders found that while most non-retired Americans understand the financial advantages of waiting, only a small fraction intend to delay claiming until age 70.
The survey revealed that 44 percent of non-retirees plan to file for Social Security before age 67, the full retirement age for those born in 1960 or later. Just 10 percent expect to wait until age 70, when benefits reach their maximum.
Advisors face new opportunities to bridge care, wealth gaps
MOST AMERICAN adults are not adequately equipped to thrive during their expected longer lives, despite advances in health and financial awareness.
This is one of the big takeaways from the inaugural Longevity Preparedness Index, a first of its kind study from John Hancock and the MIT AgeLab that reveals an average score of 60 out of 100 across eight
key dimensions of aging, highlighting significant gaps in care, health, and housing readiness.
The LPI was developed through research conducted with more than 1,300 participants and introduces a holistic benchmark for what it means to be ready for longer, healthier lives.
More Americans turning to AI for retirement advice
A GROWING number of Americans are turning to artificial intelligence for advice on money, retirement, and other high-stakes life decisions, according to new research from Pearl.com.
While AI’s appeal is driven by convenience and cost, experts caution that relying solely on technology can
Dynasty takes minority stake in Grantd
DYNASTY FINANCIAL Partners is deepening its commitment to the equity compensation space, announcing a minority investment in Grantd, an AI-driven platform aimed at helping advisors and employees navigate corporate stock holdings.
The move comes as Dynasty welcomes Brian McDonald, a veteran of
lead to costly mistakes – especially when it comes to retirement planning.
More than half of respondents said they could not pay for a sudden medical emergency, and 40 percent reported a lack of affordable legal counsel in their community. In the financial realm, 20 percent of Americans have used AI for personal finance advice.
Morgan Stanley and Charles Schwab, as a senior advisor.
McDonald, who recently launched Grantd, brings decades of experience in workplace financial solutions, equity compensation, and retirement benefits. At Morgan Stanley, he served as managing director overseeing workplace financial solutions, and at Charles Schwab, he held leadership roles spanning wealth management, stock plan services, and financial technology-driven solutions.
JILL SHIPLEY
YourPractice
Dynasty and Diamond Consultants team up
DYNASTY FINANCIAL Partners
and Diamond Consultants have announced a new partnership aimed at supporting large advisor teams considering a move away from traditional wirehouses and broker-dealers.
The Breakaway Investment Banking Initiative, launched this week, is designed to help teams managing $1 billion or more in
assets as they weigh options such as going independent, joining another firm, selling, merging, or raising growth capital.
The partnership initiative brings together expertise from Dynasty’s investment banking business, which it launched in 2023, and Diamond’s longstanding advisor consulting and recruiting network.
Succession planning takes center stage for family offices
AS THE largest intergenerational wealth transfer in history unfolds, family-owned businesses and offices across North America are facing a pivotal moment in succession planning. The next generation’s willingness – and preparedness – to take the reins is far from guaranteed, prompting families to weigh new options for ownership, leadership, and liquidity.
AI isn’t about to
replace human advisors
AS THE RIA landscape continues to evolve, Phill Rogerson, AssetMark’s SVP and head of RIA, is focused on helping advisors thrive amid sweeping industry change.
Rogerson sees a pivotal moment for independent advisors,
A new study from Deloitte Private has found that 26 percent of family businesses globally expect to seek outside investment, including from private equity, within the next three to five years. Another 19 percent plan to increase nonfamily ownership, while only 3 percent anticipate an outright sale.
one that demands both flexibility and scale.
“The pace of transformation – consolidation, rising client expectations, and the need for scale – is unlike anything I’ve seen,” Rogerson says.
“My top priority is to make sure RIAs have flexible, scalable solutions that let them personalize at scale and compete with the largest players, while maintaining their independence.”
How financial advisors can scale without burning out
AS THE wealth management industry wrestles with client growth, mounting regulation, and an aging advisor base, Stephanie Ackler believes the profession faces a “capacity crunch.”
In her closing keynote at the Women Advisors Summit in New York City last month, the president and co-founder of AKD Wealth Partners offered a candid look at how women advisors can scale their practices − without losing their sanity or their personal touch.
“For those of you who are asking, ‘Where did my fun go?’ that right there is the capacity issue,” Ackler says. “Client demands are increasing, the news cycle never stops, and compliance keeps us in check. We simply can’t do it all alone.”
Ackler, whose firm manages $1.2 billion in assets under management and generates about $6.5 million in revenue, credits her own evolution from solo practitioner to team leader as the key to sustainable growth. “For the first
time in my 40-year career, it’s not about me − it’s about my team,” she says. “That’s how we grow.”
Ackler frames her growth strategy around four strategic priorities: people, portfolios, processes, and positioning. Together, these pillars underpin what she calls a “foundation for scalable success.”
Under people, she emphasizes that the days of doing everything yourself are over. “It can no longer be all about you if you want to scale successfully and have a life,” she says. Building a strong support team − what she calls a “pod structure” − frees senior advisors to focus on high-touch client relationships and strategic growth. Weekly team meetings, clear role definitions, and open communication are central to keeping everyone aligned. “Your team needs 100 percent clarity on their roles and responsibilities,” she says. “Overcommunicate your message.”
Letting go is one of the biggest hurdles for type-A advisors, according
US asset management leaders future-proof their firms
US ASSET management leaders are charting a steady, disciplined path forward focused on cybersecurity, AI integration, and regulatory rigor.
According to KPMG’s 2025 US CEO Outlook survey, which included 110 asset management executives, today’s CEOs are balancing innovation with caution.
“Asset Management CEOs are playing the long game,” says Yesenia Scheker-Izquierdo, US sector leader for asset management at KPMG. “While advancing their AI agenda, they’re doubling down on fundamentals − their people, cybersecurity and regulatory readiness − to build firms designed to last.”
“For those of you who are asking, ‘Where did my fun go?’ that right there is the capacity issue”
STEPHANIE ACKLER, AKD WEALTH PARTNERS
to Ackler. “Many of us want everything to be an A-plus-plus paper,” she says. “But other people might get you to a better solution, maybe more quickly or in a way that resonates with a different segment of your book.”
Strategic delegation, she observes, not only reduces burnout but strengthens succession planning and firm valuation. A defining moment came when her client associate went on maternity leave and Ackler had to redistribute responsibilities. “That
forced me to elevate her role when she returned − she’s now our head of house calls, ensuring every client gets touched, while freeing me to focus on higher-level planning.”
Ultimately, Ackler stresses that scaling without burnout comes down to leadership. “Have conviction. Get the right people on your bus − and get the wrong ones off quickly,” she says. “Because the wrong people will poison your clients and your team,” undermining everything you’ve worked for.
Women’s philanthropy shifts toward local, personal giving
A NEW report from HSBC suggests that affluent women in the US are redefining both wealth and charitable giving, moving away from high-profile donations and toward a more personal, community-focused approach.
“The Giving Shift: Global Living, Local Giving” surveyed women with at least $100,000 in investable assets, revealing that three in five respon-
dents consider financial giving extremely or very important. Women are prioritizing causes that address immediate human needs and support those closest to them.
Top areas of giving include family (41 percent), human services such as food insecurity and disaster relief (36 percent), and health or medical causes (30 percent).
What are independent RIAs’ top risks in 2025?
INDEPENDENT
ADVISORY
firms are signaling a meaningful reshuffling of their risk priorities, according to a new report.
The 2025 Bi-Annual Risk Survey conducted by Golsan Scruggs show that while cyberbreaches still rank as the foremost threat to registered investment advisors, concerns around wire
fraud and AI-related mistakes have surged into the upper tier of business vulnerabilities. It reveals that nearly eight in ten advisors now identify wire fraud and social-engineering schemes as a major risk to their organizations, overtaking regulatory action which has historically been a highranking fear.
MORE THAN $120 trillion in wealth will be passed down to inheritors in the next 25 years, according to a recent Cerulli study. But while that money may stay in the family, it more than likely won’t stay with the same advisor.
And that’s good news for next-gen
advisors, or at least the ones that are preparing to capitalize on it.
Only 27 percent of widows and children plan to keep their benefactor’s wealth advisor, as per Cerulli’s survey of investors with at least $250K in financial assets. And that drops to 20 percent for those who have already inherited their riches.
ETF assets top $11 trillion as advisors drive record growth
THE US exchange-traded fund market has surged past $11 trillion in assets, setting a new high-water
mark amid a year of rapid inflows, robust product launches, and a growing embrace among financial advisors.
According to Cerulli Associates, the industry attracted $511 billion in new money during the first half of 2025, building on the momentum of last year’s record $1 trillion in inflows.
Advisors are playing a central role in this expansion. Cerulli’s research finds that more than half of asset managers see increased advisor allocations as a major driver of ETF asset growth, while another 48 percent consider it a contributing factor.
ED KURESMAN
STEPHANIE ACKLER
Investing
BlackRock’s assets reach new $13.5T high as private markets, ETFs drive growth
BLACKROCK REPORTED record assets under management of $13.5 trillion at the end of the third quarter, as the world’s largest asset manager benefited from robust inflows into exchange-traded funds, private markets, and cash strategies.
The New York-based firm saw $205 billion in net inflows for the quarter, with its iShares ETF business surpassing $5 trillion in assets for the first time.
The firm’s latest results highlight a period of broad-based growth, with net inflows into longterm investment funds totaling $171 billion – outpacing analyst expectations. The company’s adjusted earnings per share rose 1 percent year over year to $11.55, beating consensus forecasts, while revenue climbed 25 percent to $6.5 billion.
Cetera debuts model portfolios for affluent to HNW clients
CETERA FINANCIAL GROUP has launched a suite of private wealth model portfolios designed to help advisors serve affluent and high-networth clients, expanding its collaboration with Envestnet and aiming to streamline portfolio construction for complex client needs.
The new Cetera Private Wealth
Portfolios are available exclusively to Cetera-affiliated advisors through the Envestnet Private Wealth platform. The offering provides customizable investment portfolios developed by Cetera Investment Management, with the goal of delivering institutional-grade strategies and hands-on oversight for households seeking more tailored solutions. According to Cetera, the collaboration is intended to function as an outsourced chief investment officer resource.
How plan sponsors can bring alternatives into retirement portfolios
AS ALTERNATIVE investments become increasingly accessible to defined contribution plans, plan sponsors and advisors are facing new questions about suitability, education, and fiduciary responsibility.
Chip Castille, managing director at Wilshire, describes how sponsors can thoughtfully bring alternatives into participant portfolios while maintaining balance between risk, liquidity, and opportunity, noting that identifying which participants are most appropriate for alternative investments starts with assessing risk.
“Plan sponsors and advisors determine which participants are best suited for alternatives in retirement accounts generally by considering the risk of the investment option,” he says. “In cases where liquidity is restricted, sponsors and advisors can use an approach that is similar to how they determine risk.”
For Castille, alternatives serve a familiar purpose in a diversified retirement portfolio, similar to that of any other asset classes.
“Alternatives provide return and risk opportunities that can be considered for use in a portfolio to the extent they enhance return and also offer the
F2 Strategy acquires HBMJ Consulting
WEALTH MANAGEMENT research and consulting firm F2 Strategy has expanded its scope through the acquisition of a New York-based boutique that advises hedge funds, hybrid funds, and private credit managers. The firm has added HBMJ Consulting to its growing platform, adding significant expertise to its solutions capabilities in the alternatives space.
The deal is the latest push by
opportunity to diversify and manage the uncertainty of outcomes,” he says.
Education and visualization tools are critical for participant understanding, and Castille says that plan sponsors should consider giving participants tools to compare and contrast portfolios with and without alternatives and let them see the impact of restricted liquidity on consumption needs over long periods.
Recent innovations are changing the alternatives landscape.
“Interval 40-Act funds and semiliquid collective funds are making alternatives easier to use in DC plans,” Castille says, pointing to structures that allow limited liquidity while remaining compliant with ERISA and other regulatory frameworks.
For advisors, Castille advises viewing liquidity considerations through the same fiduciary lens as investment risk.
“Just as advisors consider risk preferences when designing retirement plans, they must also consider liquidity preferences when adding alternatives with restricted liquidity,” he says. “They should be looking for ways to extend current best practices that incorporate liquidity preferences and make
F2 to build a comprehensive asset management advisory platform following its earlier purchase of Aliter Investment Services, and the integration of HBMJ’s expertise in hedge fund accounting and operations extends the firm’s ability to deliver solutions that connect the front, middle, and back office s
“Alternatives provide return and risk opportunities that can be considered for use in a portfolio to the extent they enhance return and also offer the opportunity to diversify and manage the uncertainty of outcomes”
CHIP CASTILLE, WILSHIRE
allocation decisions while considering both simultaneously.”
Balancing those liquidity needs is especially important for participants who may need access to savings over shorter horizons.
“In much the same way that sponsors consider the appropriate levels of risk for participants by evaluating the relative amounts of human and financial versus an average risk preference, sponsors and advisors can determine appropriate liquidity needs by comparing the relative consumption of near- to medium-term consumption from wages or 401(k) account balances,” he says.
Blackstone sees profit surge in Q3 as deal activity rebounds
BLACKSTONE REPORTED a sharp rise in distributable earnings during its fiscal third quarter, driven significantly by
a resurgence in deal activity and continued strength in fundraising across its business lines.
The alternative asset manager’s distributable earnings – a closely watched measure of cash available to pay dividends – jumped 48 percent to $1.89 billion, or $1.52 per share, up from $1.28 billion, or $1.01 per share, a year earlier. The results surpassed analyst expectations, with FactSet’s consensus pegged at $1.21 per share.
Assets under management grew 12 percent year over year to a record $1.24 trillion.
Private markets poised for a $32T boom by 2030
PRIVATE MARKETS are entering a new era of expansion, with a new report forecasting global alternative assets to climb to $32 trillion in AUM by 2030, including private equity, credit, venture capital, real estate, infrastructure, hedge funds, and natural resources.
The Private Markets in 2030 Report from Preqin, part of BlackRock9, includes expectations of a rebound in private equity deal flow later this decade, following several years of sluggish exits and constrained liquidity
The report highlights three triggers that could reignite fundraising: lower policy rates, narrowing valuation gaps between buyers and sellers, and a continuing rotation of capital from public to private markets.
CHIP CASTILLE
401(k) investors retreat to cash and bonds
A CLEAR divide emerged between retirement savers and retail traders in Q3. Two separate data bundles showed 401(k) plan participants moved decisively toward safer assets, while individual investors increased their exposure to equities.
An analysis by Alight Solutions, which tracks the trading activity of
more than two million 401(k) plan participants with over $200 billion in assets, found that investors overwhelmingly moved money out of stocks and into bonds and cash during September. Trading activity was generally subdued, but when participants did make changes, they “moved from equities to fixed income.”
Global wealth surges to new record
DESPITE SLOWING economies in parts of Europe and Asia, global household wealth surged again in 2024, hitting a record €269 trillion (U$312.6 trillion).
The new Allianz Global Wealth Report 2025 reveals that financial assets expanded by 8.7 percent, outpacing 2023’s already strong 8.0 percent gain. But beneath the surface, familiar trends persisted such
Global M&A value rises 10% to $1.9T
in Q3
GLOBAL M&A activity returned to growth in 2025, with total announced value climbing approximately 10 percent to around $1.9 trillion over
the first three quarters of the year, according to a new report.
Boston Consulting Group’s latest Global M&A Report highlights a sharply uneven landscape and an upturn not being fueled by widespread market confidence but by highly experienced acquirers taking advantage of selective opportunities.
Increases in activity are concentrated among organizations with the operational maturity and dealmaking track record to act decisively despite market volatility.
as American dominance, weak European savings returns, and widening divides between rich and poor nations. North America still commands about half of all global financial assets. The region was responsible for more than half (53.6 percent) of the world’s asset growth in 2024, Allianz found, while Western Europe and Japan lagged well behind.
