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Featured Advisor

Asset Preservation Advisors


State: GA

APA’s philosophy is to work closely with our clients to develop an in-depth understanding of their unique needs and objectives. We then customize a municipal bond portfolio that best meets their specific goals and needs. APA manages high quality municipal bond portfolios in four strategies: Short-Term, Intermediate-Term, High Income, and Taxable.

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Independent Investment Advisors Gain Ground

New advisor types increase market share

Full Service Brokers have traditionally been the advisor of choice for Millionaire households, but that market lead continues to be nipped away by the emerging new advisor types that are becoming increasingly popular , not only with Millionaires, but with multiple wealth segments.

Approximately 78% of Millionaire households use some type of financial advisor. Thirty three percent of Millionaires identify a Full Service Broker as their primary financial advisor. But independent Financial Advisors of multiple types are becoming increasingly important to Millionaires and changing the face of the financial services market. Independent Financial Planners now have 18% of the overall market share. Independent Investment Advisors (RIAs) have 5% and Investment Managers have 11% of the Millionaire market

Independent Financial Planners are especially attractive to Business Owners (21% of Millionaire Business Owners use an Independent Financial Planner) and households between the ages of 56-65 (21%). Independent Investment Advisors are used similarly regardless of age segment but are especially attractive to households with over $3 million of net worth. Independent Investment Managers are attractive to those over age 65 (13%) and wealthier households.

Why are these types of advisors gaining in market share?

-Many of these advisors are fee based advisors rather than commission based advisors. Some investors prefer this type of arrangement rather than the traditional warehouse commission model.
-Investors are looking for a more holistic approach to their finances than in the past. These Independent Investment Advisors are attractive to individuals seeking that type of relationship.
-During the financial crisis, many advisors left larger firms to start their own independent companies. Generally investors will move with their advisors thus increasing the market share of the independents.
-Finally, these advisors offer a broad range of products. Investors who fear being offered a proprietary only product approach prefer these types of advisors.

While Full Service Brokers are working hard to change their images these independent investment advisors will continue to appeal to those investors seeking a regional face-to-face approach.