Can a veteran custodial government change gears and support propel a mid-sized advisory firm into the RIA major leagues?
Jim Dario, a effectively-acknowledged figure in the advisory environment who most not too long ago was head of solution management and method for TD Ameritrade Institutional, is about to find out.
Not long ago named head of prosperity administration at SageView Advisory Group, Dario has been tasked with rapidly-forwarding the firm’s advancement, backed by the deep pockets of vast majority owner Aquiline Money Associates, a notable private-equity organization with ties to other money-provider firms.
SageView’s $175 billion institutional retirement strategy business enterprise will be the essential to growing the firm’s approximately $4 billion retail prosperity management business enterprise, in accordance to Dario, whose custodial experience involves stints as a best government for Pershing Advisor Options and Fidelity Investments above the previous 20 a long time.
The “expertise and trust” SageView has built up with retirement program sponsors has led to a need for the firm’s companies as a fiduciary and economic planner for men and women, Dario states.
“We have information of their place of work benefits and specifics of every single company’s plans,” he points out. “That puts us in an excellent placement to present thorough tips to approach members dependent on the benefit of their designs as very well as specific setting up options to satisfy their goals.”
And from a recruiting position of perspective, Dario can dangle a really engaging carrot to future advisors and advisory corporations: 1.5 million strategy individuals as prospective buyers.
In truth, mergers and acquisitions will be a huge aspect of SageView’s development system, Dario says. The RIA M&A market place is notoriously highly-priced, but Dario states SageView is “looking to Aquiline to enable give the fuel to develop.”
Dario’s growth designs for SageView face challenging problems, nonetheless.
The RIA will run into stiff levels of competition in the M&A current market, from the likes of cost-free-paying out prospective buyers like
and experienced aggregator powerhouses this kind of as Mercer Advisors,
and Hightower Advisors.
What is extra, the strong M&A sector may possibly be slowing down in the wake of the war in Ukraine and heightened industry turbulence. “Turmoil in the marketplaces, war and inflation are generally portion of the landscape,” Dario says. “I count on the prolonged-phrase advancement trends for fiduciary advisory firms will continue on.”
SageView also faces formidable competitiveness in the retirement plan market place. Captrust, its principal rival, has a substantial lead in assets, with over $680 billion in its institutional small business and about $35 billion in AUM in its retail wealth management business enterprise.
In addition to targeting like-minded corporations that are captivated to the retirement approach market place, SageView is also hunting to get firms that “give us further competencies and abilities,” Dario claims.
SageView is presently in negotiations with an RIA that has a “a sturdy competency in the ultrahigh-net really worth market” as nicely as with firms that have specialties in authentic estate investing and tax scheduling and preparing solutions, he suggests.
Dario, who shed his work at TD Ameritrade along with other major executives previous January following
acquire of the rival RIA custodian, also designs to construct up SageView’s advisory platform and enhance its style and design, solution progress, technologies, pricing, and promotion.
Dario is the most up-to-date in a variety of senior prosperity administration industry executives to be a part of SageView. Tony Notermann, formerly at Advisor Group, was named main economic officer final June. Also that thirty day period, veteran
executive Jeremy Holly, who headed M&A method for the large impartial broker-dealer, was named chief advancement and integration officer.
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