Transition To RIA Podcast Brad Wales

You've done your homework to learn how the RIA model works.You've considered the different pathways into the model.You've performed due diligence on the needed solution providers.It all makes sense. It's a fit for your practice. You're ready to get started!But, is there anything that could prevent you from doing so?Yes, there are hurdles that, depending on your circumstances, could be insurmountable. In this episode of the Transition To RIA question & answer series I explain what those hurdles are and when they could impact you.Come take a listen!P.S. Prefer video? You can find this entire series in video format on Youtube. Search for the TRANSITION TO RIA channel.Show notes: https://TransitionToRIA.com/what-could-prevent-an-advisor-from-starting-an-ria/ (https://TransitionToRIA.com/what-could-prevent-an-advisor-from-starting-an-ria/)About Host: Brad Wales is the founder of Transition To RIA (https://transitiontoria.com/), where he helps financial advisors understand everything there is to know about WHY and HOW to transition their practice to the Registered Investment Advisor (RIA) model. Brad has 20+ years of industry experience, including direct RIA related roles in Compliance, Finance and Business Development. He has an MBA and has held the 4, 7, 24, 63 & 65 licenses. The Transition To RIA website (TransitionToRIA.com) has a large catalog of free videos, articles, whitepapers, as well as other resources to help advisors understand the RIA model and how it would apply to their unique circumstances.

How much does it cost to start a Registered Investment Advisor ("RIA") practice?As often occurs with the advice that financial advisors give their own clients, the answer is "it depends."For new advisors first entering the industry who plan to run a virtual practice, the cost might be as little as a few thousand dollars. For a large team catering to HNW clients, who plan to transition their practice from an existing broker/dealer firm, the cost could potentially be $100,000+.There are several variables that go into the total cost equation. Some of the variables have static prices, while others provide a wide range of options for advisors to choose from.In this episode I explain what the main cost variables are and how you can start to pencil your own start-up estimate.Come take a listen!P.S. Prefer video? You can find this entire series in video format on Youtube. Search for the TRANSITION TO RIA channel.Show notes: https://TransitionToRIA.com/how-much-does-it-cost-to-start-an-ria/ (https://TransitionToRIA.com/how-much-does-it-cost-to-start-an-ria/)About Host: Brad Wales is the founder of Transition To RIA (https://transitiontoria.com/), where he helps financial advisors understand everything there is to know about WHY and HOW to transition their practice to the Registered Investment Advisor (RIA) model. Brad has 20+ years of industry experience, including direct RIA related roles in Compliance, Finance and Business Development. He has an MBA and has held the 4, 7, 24, 63 & 65 licenses. The Transition To RIA website (TransitionToRIA.com) has a large catalog of free videos, articles, whitepapers, as well as other resources to help advisors understand the RIA model and how it would apply to their unique circumstances.

Obtaining Errors & Omissions ("E&O") insurance for your Registered Investment Advisor ("RIA") is not only a best practice, it is usually now a requirement for most RIAs.E&O is professional liability insurance that protects your RIA from risks ranging from the proverbial "fat-fingered" trade entry error, to defending yourself against meritless lawsuits.Most custodians now require RIAs using their clearing services to maintain a minimum level of E&O coverage.In this episode I explain what those coverage levels typically are and the nuances between coverage types to be aware of.Come take a listen!P.S. Prefer video? You can find this entire series in video format on Youtube. Search for the TRANSITION TO RIA channel.Show notes: https://TransitionToRIA.com/how-much-errors-and-omissions-coverage-does-my-ria-need/ (https://TransitionToRIA.com/how-much-errors-and-omissions-coverage-does-my-ria-need/)About Host: Brad Wales is the founder of Transition To RIA (https://transitiontoria.com/), where he helps financial advisors understand everything there is to know about WHY and HOW to transition their practice to the Registered Investment Advisor (RIA) model. Brad has 20+ years of industry experience, including direct RIA related roles in Compliance, Finance and Business Development. He has an MBA and has held the 4, 7, 24, 63 & 65 licenses. The Transition To RIA website (TransitionToRIA.com) has a large catalog of free videos, articles, whitepapers, as well as other resources to help advisors understand the RIA model and how it would apply to their unique circumstances.

A common frustration by financial advisors in the broker/dealer model is a burdensome compliance department.This is often the result of the firm managing compliance to the lowest common denominator amongst thousands of advisors at the firm.An inaccurate assumption about the RIA model is that joining an RIA with similar growth aspirations will lead to a compliance burden no better than what the advisor is trying to get away from at their broker/dealer.In this episode, I explain why this is a faulty comparison and how the RIA model is different.Come take a listen!P.S. Prefer video? You can find this entire series in video format on Youtube. Search for the TRANSITION TO RIA channel.Show notes: https://TransitionToRIA.com/wont-large-rias-have-the-same-challenging-compliance-departments-as-broker-dealers/ (https://TransitionToRIA.com/wont-large-rias-have-the-same-challenging-compliance-departments-as-broker-dealers/)About Host: Brad Wales is the founder of Transition To RIA (https://transitiontoria.com/), where he helps financial advisors understand everything there is to know about WHY and HOW to transition their practice to the Registered Investment Advisor (RIA) model. Brad has 20+ years of industry experience, including direct RIA related roles in Compliance, Finance and Business Development. He has an MBA and has held the 4, 7, 24, 63 & 65 licenses. The Transition To RIA website (TransitionToRIA.com) has a large catalog of free videos, articles, whitepapers, as well as other resources to help advisors understand the RIA model and how it would apply to their unique circumstances.

A tale often told by broker/dealer management is that B/D technology is superior to the technology available in the Registered Investment Advisor ("RIA") model.A few decades ago, they were right!There was a time that broker/dealers had better economies of scale with technology investments as they had more advisors (users) to spread the investment cost across, versus what any one tech provider in the then RIA space could achieve.That investment advantage, led to better technology.That paradigm is now exactly opposite.With the growth of the RIA model over the past few decades, large RIA tech providers now have more users than any one broker/dealer has, thus reversing the economies of scale advantage.This is only one of the ways that RIA model technology has become superior to broker/dealer technology. In this episode I give a breakdown of what those advantages are.Come take a listen!Show notes: https://TransitionToRIA.com/is-broker-dealer-technology-better-than-ria-technology/ (https://TransitionToRIA.com/is-broker-dealer-technology-better-than-ria-technology/)About Host: Brad Wales is the founder of Transition To RIA (https://transitiontoria.com/), where he helps financial advisors understand everything there is to know about WHY and HOW to transition their practice to the Registered Investment Advisor (RIA) model. Brad has 20+ years of industry experience, including direct RIA related roles in Compliance, Finance and Business Development. He has an MBA and has held the 4, 7, 24, 63 & 65 licenses. The Transition To RIA website (TransitionToRIA.com) has a large catalog of free videos, articles, whitepapers, as well as other resources to help advisors understand the RIA model and how it would apply to their unique circumstances.

It is common for advisors transitioning their practice to the RIA model to want to bring their existing support team members with them.Those team members are often not only critical to the advisor's practice in general, but will likely play a key role in the transition process itself.In this episode of the Transition To RIA question & answer series, I am joined by attorney Rich Chen to discuss what options you have for bringing team members with you, and how to navigate the process safely.Come take a listen!Show notes: https://TransitionToRIA.com/can-i-take-my-employees-with-me-if-i-transition-to-the-ria-model/About Host: Brad Wales is the founder of Transition To RIA (https://transitiontoria.com/), where he helps financial advisors understand everything there is to know about WHY and HOW to transition their practice to the Registered Investment Advisor (RIA) model. Brad has 20+ years of industry experience, including direct RIA related roles in Compliance, Finance and Business Development. He has an MBA and has held the 4, 7, 24, 63 & 65 licenses. The Transition To RIA website (TransitionToRIA.com) has a large catalog of free videos, articles, whitepapers, as well as other resources to help advisors understand the RIA model and how it would apply to their unique circumstances.