It's a huge career move to break away from a large wirehouse or Registered Investment Advisor (RIA) to start your own firm. As you make this transition, you may be surprised when your employer asks you to repay your signing bonus. You might wonder, "What? They can do...
Break Away From The Pack
Year: 2024
3 things to review in your contract before transferring firms
The financial advisor world is a competitive landscape. Due to the number of confidential clients and trade secrets, firms are strict in implementing restrictive covenants in their employees’ contracts. These agreements aim to protect the interests of the firm, the...
What are the qualities of a trade secret?
Breaking away and starting a firm may require extensive resources essential to establish your operations. They can include valuable funding, expertise or intellectual properties (IPs) gained over time. Fortunately, these resources can receive protection under certain...
Should you take the leap and join a breakaway firm?
An established wirehouse career is a product of years of hard work, expertise and customer service. Because of this, it’s usually expected for an accomplished financial advisor to stay with their firm. However, some advisors move to Registered Investment Advisors...
Can someone starting a breakaway firm hire former co-workers?
Those who work in financial management or investments can enrich their clients and earn a very competitive living if they are successful at what they do. Those who work for existing investment entities often realize that their arrangements limit their income and...
What to include in an investment advisory agreement
Starting as an independent registered investment advisor (RIA) can be challenging, but it can also be rewarding. This path's success can depend on various factors, including the proper formation of the business and having solid relationships with new or old clients...
Tips for breakaway firms when onboarding financial advisors
Breaking away from a top wirehouse as a Registered Investment Advisor (RIA) to start your own firm takes a lot of courage and know-how. After you comply with registration requirements, there’s more to do once you’ve formed your team of financial advisors. Their...
Is progressive discipline suitable for your firm?
Breaking away and starting your firm can pose many challenges that may come with becoming an employer. Aside from overseeing operations, you also need to manage employees who can commit missteps, especially when they are new to the job. Making mistakes with day-to-day...
Could BOI rules trigger lawsuits for RIA breakaway firms?
Registered investment advisor (RIA) firms have an opaque business structure. A company has its own name, and there is not necessarily any public record of who has an ownership interest in any particular company or who helped to start a new RIA firm. Given that many...
How California Assembly Bill 1076 affects the enforceability of non-compete agreements
In recent legal developments, California Assembly Bill 1076 has emerged as a significant piece of legislation, inspiring substantial changes in regard to the enforceability of non-competition agreements. Many people in the business community know that non-compete...