Most Advisors Are Not Growing Their Business - Here's Why That's A Problem and How To Fix It

Would it surprise you to learn that 75% of asset growth for financial advisors since 2015 has been purely due to market performance? Meaning, only 25% of the AUM growth for the industry has actually come from new client relationships or new assets from existing clients.

As Kieran Bol, Head of Platform Operations at PriceMetrix by McKinsey explains in this episode of The Modern Financial Advisor Podcast, 40% of advisors' businesses are experiencing negative net flows. Yup! More than a third of today's advisors have a book of business that is shrinking.

So what can an advisor, OSJ, RIA firm, or broker-dealer do about these alarming growth stats? Well... listen to or watch the episode of course.

Partner With Truelytics: Do you work with RIAs and independent financial advisors? Are you helping them grow their business, become more profitable, or prepare for transitions? If so, you should reach out to explore the Truelytics Solutions Partner Program. 

Subscribe to the Podcast! The Modern Financial Advisor Podcast is available on Apple Podcasts, Spotify, Apple Podcasts, Spotify, Google Podcasts, Alexa,  SoundCloud, Stitcher, TuneIn, or if you prefer video you can find it on YouTube.

Resources Related to this Episode:
Below is a list of resources related to this episode or mentioned in the update video above: 

• The Value of Personal Advice: Wealth Management Through the Pandemic - Credit to John Prendergast of Blueleaf for discovering the article that Kieran Bol and his team at PriceMetrix by McKinsey wrote to summarize their annual report.
• How Diversity, Equity, and Inclusion Add Value to a Modern Financial Advisory Business - 70% of women change financial advisors after their husband dies. This episode of the show might help you adjust your business to improve your retention of female clients.  
• Tony Stich of Advicent NaviPlan on The Evolution and Future of Financial Planning - At the end of our interview, Kieran mentioned that the next area of interest for the PriceMetrix team is financial planning and how financial advisors are using it (or not) in their businesses to better serve their clients. Check out Tony Stich's appearance on the podcast for a little preview.