Better Together or Apart: A Breakaway Advisor Shares Why He and His Team Chose Separate Paths

45:42
 
공유
 

Manage episode 300280448 series 2321042
Player FM과 저희 커뮤니티의 Mindy Diamond - Financial Advisor Recruiter and Consultant and Mindy Diamond - Financial Advisor Recruiter 콘텐츠는 모두 원 저작자에게 속하며 Player FM이 아닌 작가가 저작권을 갖습니다. 오디오는 해당 서버에서 직접 스트리밍 됩니다. 구독 버튼을 눌러 Player FM에서 업데이트 현황을 확인하세요. 혹은 다른 팟캐스트 앱에서 URL을 불러오세요.

A conversation with Dan Johnson, President & CEO, Birchcreek Wealth Management

There’s real value to building teams in wealth management firms.

For clients and the business overall, there’s strength in numbers—where the merging of talent offers the potential of greater operational efficiencies and growth.

Plus, teams provide a built-in succession plan—keeping the business in-house should any of the advisors on the team desire to retire.

Yet many of these teams were formed not by the intentional “coming together” of like-minded players, but instead more at the encouragement of the firm to join forces. A retention strategy of sorts—because being part of a team makes it more difficult to leave the firm.

But it doesn’t always work out that way.

While these team members may have developed efficient and amicable practices together, oftentimes the individuals never fully realize the synergies typical of a successful ensemble.

That is, as my guest on this episode put it, they operate “more like a bowling team than a basketball team.”

Dan Johnson saw real value in being a part of a multi-generational team at Merrill. As the youngest member of the group, he credits each of his partners for the knowledge he gained over his 8-year tenure. And he felt a real camaraderie existed, but there was still something missing.

Yet there was one thing they were all aligned on: their frustrations over changes at Merrill. So as a group, they decided to explore their options.

And it was through due diligence that it became apparent they each had different visions, goals and timelines, which ultimately led them each to consider different options.

That is, while Dan was leaning towards independence, his partners were looking at other employee models.

It’s a common story we’re hearing from advisors in recent years. Team members coming to a fork in the road where they need to honestly answer the threshold question: “Are we better together or apart?”

And in this case, the team decided to go their separate ways—with Dan choosing independence, three of his partners opting to go to Morgan Stanley and one signing on to Merrill’s sunset program, CTP.

So in August of 2019, Dan launched RIA Birchcreek Wealth Management based in Dayton, Ohio.

In this episode, Dan speaks candidly about his journey, including:

  • Dan JohnsonThe process of exploration and decision-making amongst team members—and why he ultimately chose independence.
  • The pros and cons of each option he considered—and what it meant to give up the recruitment deal at another firm.
  • The prospects of staying at Merrill with a partner who was signing on to CTP—and why Dan opted not to become the inheritor of his book.
  • The choice to leave some assets behind—and how this strategic intent to “shrink to grow” has impacted his business today.

While it meant each member of his team choosing a different path, Dan shared those paths were the right ones for each of them and their clients.

Yet it was his realization about independence that really resonates: “The growth potential will eclipse the moment-in-time windfall of taking a recruitment deal.”

It’s an episode with insightful takeaways—whether you are part of a team, or an individual considering independence.

Download a transcript of this episode…

Download the Partner’s Quiz

Even the best relationships can reach a point where partners find themselves on different sides of the fence. As shared in this episode, we’ve outlined 10 questions that can help determine the “health” of the partnership and decide how best to move forward.

!function(o,t,e,a){o._aoForms=o._aoForms||[],o._aoForms.push(a);var n=function(){var o=t.createElement(e);o.src=("https:"==t.location.protocol?"https://":"http://")+"insights.diamond-consultants.com/acton/content/form_embed.js",o.async=!0;for(var a=t.getElementsByTagName(e)[0],n=a.parentNode,c=document.getElementsByTagName("script"),r=!1,s=0;s<c.length;s++){if(c&#091;s&#093;.getAttribute("src")==o.getAttribute("src"))r=!0;}r?typeof(_aoFormLoader)!="undefined"?_aoFormLoader.load({id:"641267f6-a3a4-4fe1-954f-cf0e1550c78a:d-0001",accountId:"43644",domain:"insights.diamond-consultants.com",isTemp:false,noStyle:false,prefill:true}):"":n.insertBefore(o,a)};window.attachEvent?window.attachEvent("onload",n):window.addEventListener("load",n,!1),n()}(window,document,"script",{id:"641267f6-a3a4-4fe1-954f-cf0e1550c78a",accountId:"43644",domain:"insights.diamond-consultants.com",isTemp:false,noStyle:false,prefill:true});

Related Resources

Teams: The Powerful New Retention Tool for Firms
Being a part of a team can be a valuable way to build a business, until the ties that bind become a restriction on your future. Read->

Shrink to Grow: Why Advisors are Making the “Strategic Decision” to Let Go of Assets
Wirehouse advisors are recognizing that being a true fiduciary is impossible as an employee—and it’s adding more fuel to the flow of movement to independence. Read->

Breaking Up: A Former $750mm UBS Advisor’s “Split” for Independence
A conversation with Robert Harris, Senior Wealth Advisor, Avidian Wealth Solutions Listen->

Betting on the Long-Term: Former Merrill Resident Director Shares Why Her $1B Team Broke Away
A conversation with Melissa Bouchillon, CFP®, Managing Partner, Sound View Wealth Advisors Listen->

Stuck in Place: How Merrill’s CTP Has Senior Advisors Right Where the Firm Wants Them
Advisors who accepted Merrill’s ironclad succession agreement are now realizing how stuck they really are—serving as a cautionary tale for those who have yet to sign on. Read->

Dan Johnson, CFP®
Founder, CEO & Wealth Advisor

Dan founded Birchcreek Wealth Management to serve families as a steward of their financial lives in a structure that ensures their interests are always placed first. He entered the industry in 2007 and left a major wirehouse in 2019 to establish the thriving fee-only RIA in Dayton, Ohio.

Helping clients navigate the Great Recession has given Dan insight into the importance of financial planning and managing risk in investment portfolios. Having worked in both a large mutual fund company and a major wirehouse has provided him perspective on how the structure, capabilities, and technology in the RIA space can better deliver those essential elements in client relationships.

Originally from Florida, Dan is a Business Finance graduate of the University of Florida and holds the CERTIFIED FINANCIAL PLANNER(TM) certification. Committed to giving back to his community, Dan is a director on the board of Habitat for Humanity of Greater Dayton and an active member of the Centerville Rotary Club. He resides in Centerville, Ohio with his wife Katie and their three daughters. They enjoy the outdoors, traveling, and community service activities.

Also available on your favorite podcast app and other media sites

WealthManagement.com Feedspot Top 35 Podcasts for Financial Advisors

Browse other episodes in this podcast series...

208 에피소드