Table of Contents
Weekly Digest: December 2nd
Evolving Client Demographics and Wealth Transfer:
The financial advisory sector is experiencing a significant shift as advisors increasingly focus on affluent clients, leaving average investors underserved. This trend is influenced by a critical shortage of advisors and the need to maintain solvency amid rising administration and compliance costs.
Fee Adjustments in Client Referral Programs:
Charles Schwab is contemplating raising fees for independent financial advisors participating in its client referral program, which has remained unchanged for many years. This move reflects the growing demand for financial advice and the evolving dynamics of advisor-client relationships.
Expansion into Wealth Management by Fintech Firms:
Robinhood Markets is diversifying into wealth management through the acquisition of TradePMR, aiming to tap into the growing registered investment advisory sector and compete with established custodians like Charles Schwab and Fidelity.
