Revolutionizing Wealth Management: How Bleakley’s Equity Partnership Model Transforms Financial Planning

The Shift in Wealth Management: Bleakley's Bold Move

In a groundbreaking shift within the wealth management industry, Bleakley Financial Group has successfully transitioned a significant 80% of its assets under management (AUM) to an equity partnership model, with assistance from Rise Growth Partners. This shift not only marks a pivotal moment for Bleakley but also sets a new precedent for RIAs aiming to attract top-tier advisory talent.

What Does This Transition Mean for Advisors?

Bleakley, which recently became the first investment of Rise Growth—a new player in the RIA field spearheaded by former United Capital CEO Joe Duran—has embraced an equity partnership that transforms its advisors from 1099 independent contractors to W-2 employees. This flexible model allows advisors to decide their compensation mix between equity and cash, tailored to individual performance metrics such as assets managed and revenue generated.

This model appeals to forward-thinking advisors who seek not just immediate financial rewards but also long-term investment in the firm's growth. Additionally, advisors benefit from a retirement program, providing them with more substantial financial security in their later years.

Growth Through Acquisition: A Strategy in Motion

Alongside the equity transition, Bleakley is actively pursuing further expansion by acquiring two additional firms, which collectively hold nearly $1 billion in assets. Duran emphasizes that such strategic acquisitions are integral to Bleakley's long-term vision of creating a national firm focused on serving affluent clients.

Hiring Adam Roosevelt as the first chief growth officer enhances the execution strategy behind these acquisitions. Having spent 15 years at BNY Pershing, Roosevelt is well-equipped to guide advisors who come on board, ensuring they adapt smoothly into Bleakley’s operational culture.

Building a Brand: The Evolution of Bleakley

As part of its growth strategy, Bleakley is preparing to unveil a new brand identity, aiming to reflect its commitment to serving clients while enhancing its appeal to potential advisors. This branding initiative follows a comprehensive client survey aimed at gathering insights that will shape Bleakley’s voice and positioning in the marketplace.

Duran asserts that the brand’s new look and feel aims to capture attention with an unforgettable name and strong imagery, underscoring the firm’s dedication to its clientele and the relationships cultivated over the years.

The Implications for Financial Planners and Wealth Advisers

This shift towards equity partnerships could resonate profoundly with financial planners and wealth advisers looking to elevate their careers. As Bleakley continues refining its model, the implications extend beyond just income potential; it highlights a broader trend where RIAs are being challenged to create more engaging, holistic opportunities for their talent. This strategy ensures long-term growth not only for the firm but for the advisors as well, who directly benefit from the firm's success.

Industry experts are watching Bleakley’s developments closely. If successful, this could signal a larger trend where more firms adopt similar equity-sharing models, reflecting changing dynamics in the financial advisory landscape.

As Bleakley moves forward, financial advisers are prompted to critically analyze their own firm’s models and what initiatives they might undertake to attract and retain seasoned talent in a rapidly evolving industry landscape.