Schwab Leads $4.5 Trillion in Advised Assets

In an interview with RIA Channel’s Julie Cooling, Jon Beatty, Senior Vice President of Sales and Relationship Management at Schwab Advisor Services, discusses the growth of the RIA Market, trends towards consolidation and M&A, and how Schwab is helping advisors grow. The RIA market is a growing space with advisors controlling $4.5 trillion of assets in the United States.

During a time of uncertainty, Schwab is working to create value and build strong client and advisor relationships. Current market trends reflect a shift towards passive investing. Investors are more accepting of market rate returns and unwilling to take on excess risk, ultimately limiting them in opportunities. While passive investing is becoming core portfolio components, advisors are looking for ways to add value in small cap and alternative investments.

According to Beatty, there has also been a pick up in advisor M&A within the last 24 months as more firms are capable of purchasing, and the confidence of sellers continues to grow. Sellers are seeing valuations peek and are looking for an organized method toward succession.

Schwab’s strong service and technology platform creates scale and efficiency for advisory firms so that they can focus on clients’ needs and investment opportunities. Through a strong sales and relationship management team and commitment to helping advisors compete within the market place, Schwab brings a comprehensive consulting solution to advisors.