“Independent advisors can embrace the fi-borg wealth management model and help shape our industry’s future.
Some broker/dealers and independent financial advisors may be about to willingly give away hundreds of millions of dollars in assets and client relationships to their competitors. How can this be?
They’re doing so under a deeply flawed assumption that smaller clients can’t be supported in a fee-based context on a scalable basis. So in the future these clients — and prospects — with account balances under an arbitrary threshold (maybe $20,000 and sometimes even much higher) may be immediately directed to robo advisor offerings that have been reworked as “institutional” offerings that are dressed up and pitched to independent advisors.”