Advisor Benchmarking: The Independent Life | WealthManagement
More advisors are writing out their succession plans; 44 percent of RIAs indicated they have a documented plan, up from 31 percent last year, according to WealthManagement.com’s 2014 AdvisorBenchmarking RIA Trend Report, a survey of about 400 RIAs. That indicates a growing awareness on the merits of succession plans, yet only 1 percent of advisors say selling their business is a top priority, down from 2 percent last year. In addition, only 1 percent say purchasing another financial advisory practice is a top goal, the same as last year. Two percent of RIAs indicated buying a practice was a secondary goal, while 6 percent put it as a tertiary goal. The results indicate that the industry won’t likely experience a high rate of consolidation in the near future, as advisors focus on growing their businesses organically and increasing profits.