This week Alan & Kitces talk about a subject that's been on a lot of advisors' minds with the rise of
Kitces and Alan break down the different versions of fee compression that they do and don't see in the financial advisory marketplace, and they talk about why they think
Kitces also talks a bit about his new show, Financial Advisor Success, and whether his guests have validated fears about fee compression or unsustainability of the marketplace. Alan highlights the benefits the big moves of large firms will have for younger advisors, who will be able to get legitimate financial planning experience much earlier in their careers.
Long story short: we'll be just fine, and a niche is (almost) always a good idea.
Listen to the Full Interview:
What You'll Learn from This Episode:
- The definition of fee compression and why the idea has some financial advisors worried.
- The current and future effects of big moves by companies like Vanguard and Schwab in the CFP and advisory space.
- Why advisors with smaller firms - around 100 clients - can remain competitive and successful in a market that's going to expand in the near future.
- How financial planning as a profession will become more widely accepted thanks to increasing accessibility for consumers.
- Why you shouldn't try to
outdo ordirectly compete with robo-advisors in asset management.
- The impact of the growing marketplace on young advisors who might have previously doubted the sustainability of a career in financial planning.
Featured on the Show:
- Register for #XYPN17
- XYPN Radio VIP Community
- The Monthly Retainer Model by Alan Moore and Michael Kitces
- First Ascent Asset Management
- Financial Advisor Success Podcast Ep 001: Rick Kahler on Entrepreneurial Persistence & Building a $200M AUM Practice
- Technology Tools for Today Conference
- Future Advisor
- "Why Robo-Advisors Will Be No Threat to Real Advisors" by Michael Kitces
- Charles Schwab
- Financial Advisor Success Podcast Ep 007: Matthew Jarvis On Building a Highly Profitable Lifestyle Practice by Age 35