All affiliation models have pros and cons. They all have red flags to watch out for as well.

The RIA model is no exception.

Case in point: when someone predominantly touts the "100% payout" of the model.

Yes, with your own RIA, you retain 100% of your client fee revenue. But when someone loudly touts the top line without also explaining the expenses required to generate that revenue, that is generally a red flag.

On this episode (#153) of the Transition To RIA question and answer series, I address this and other red flags in the RIA model 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/what-are-red-flags-to-look-out-for-in-the-ria-model/

About Host: Brad Wales is the founder of Transition To RIA, where he helps financial advisors between $50M and $1B 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.

Every couple of years, a buzzword seems to rise up to become the industry's token topic.

There was an era when "TAMP" was the sexy talk of the day.

About 10 years ago, "hybrid" was all the rage.

While these terms are still used today, past hype has sometimes caused confusion about when and how to use them.

Case in point, should you join a "hybrid" RIA?

But what does "hybrid" really even mean? After all, it's often used to describe several different logistical scenarios.

In this episode (#152) of the Transition To RIA question & answer series I clarify what a "hybrid" RIA is, and when it might be a fit for our practice.

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/should-i-join-a-hybrid-ria/

About Host: Brad Wales is the founder of Transition To RIA, where he helps financial advisors between $50M and $1B 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.

In most scenarios, passing the Series 65 exam is the prerequisite to become licensed as an Investment Advisor Representative.

However, there are scenarios where the 66, a CFP, or maybe even a 7 are still applicable.

It's important to understand how your practice profile, both today and going forward, impacts the licenses you may need in the RIA model.

In this episode (#151) of the Transition To RIA question & answer series, I break down the licensing scenarios 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/what-licenses-do-i-need-for-the-ria-model/

About Host: Brad Wales is the founder of Transition To RIA, where he helps financial advisors between $50M and $1B 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.

There is no golden goose when it comes to affiliation models in the wealth management industry.

Wirehouses, independent broker-dealers, RIAs all have pros and cons.

Anyone who suggests otherwise is either ill-informed or being disingenuous.

So when considering pathways for your advisory practice, it's important to understand how those pros and cons compare.

In this episode (#150) of the Transition To RIA question & answer series, I explain the pros and cons of the RIA model.

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-are-the-pros-and-cons-of-the-ria-model/

About Host: Brad Wales is the founder of Transition To RIA, where he helps financial advisors between $50M and $1B 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 misconception about the RIA model is that certain investment solutions such as variable annuities and alternatives (alts), are unavailable for client use.

That is incorrect.

Regarding variable annuities, you can generally continue using new products going forward while also accommodating your existing legacy positions.

It's a matter of understanding how the options work, the logistics involved, and which solution providers to use.

In this episode (#149) of the Transition To RIA question & answer series, I explain how you can use variable annuities in the RIA model.

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/can-i-use-variable-annuities-in-the-ria-model/

About Host: Brad Wales is the founder of Transition To RIA, where he helps financial advisors between $50M and $1B 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.

Whether you start your own RIA, or join an existing one, choosing which custodian to use is an important part of the decision process.

As with choosing most solution providers for your practice, many variables should be evaluated. Price is one of them.

So how much does a custodian cost?

For better or worse, there is a very nuanced answer to that.

On this episode (#148) of the Transition To RIA question and answer series, I explain what you should expect to pay (or not) for custodial services.

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-a-custodian-cost/

About Host: Brad Wales is the founder of Transition To RIA, where he helps financial advisors between $50M and $1B 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.

Over the past decade, all the (now tired) excuses for why advisors shouldn't move to the RIA model have fallen.

To name a few:

• "The technology is not as good."
• "You won't have access to the same level of investment solutions."
• "Clients want the big brand name on the door."

Not only are these arguments no longer true, but the RIA model now generally provides a superior solution.

But what about servicing HNW and UHNW clients?

Can such clients be accommodated the same, or even better, in the RIA model?

In this episode (#147) of the Transition To RIA question & answer series, I explain how supporting such clients is not just possible, but generally more favorable in the RIA model.

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/can-i-service-high-net-worth-and-ultra-high-net-worth-clients-as-an-ria/

About Host: Brad Wales is the founder of Transition To RIA, where he helps financial advisors between $50M and $1B 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.

I am often asked how long it takes to register an RIA.

The simple answer is typically 45-90 days, though in some scenarios it could take significantly longer.

Equally important is knowing when (and how) to file in relation to when you plan to launch your firm.

Furthermore, this is just one step in an overall transition process that typically takes 6-9 months.

On this episode (#146) of the Transition To RIA question and answer series I explain the variables that determine the timeline for registering your own RIA.

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-long-does-it-take-to-register-a-ria/

About Host: Brad Wales is the founder of Transition To RIA, where he helps financial advisors between $50M and $1B 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.