Our role, says Charles Goldman, is to "provide safety and soundness of clients' assets" for the advisors who custody those assets at Schwab Institutional (SI). Speaking on September 25, Goldman, the executive VP who runs Schwab Institutional and oversees its 3,500 employees, said that beyond being "safekeepers" for Schwab's retail, corporate, and RIA assets, the custodial arm of Charles Schwab is "focused on serving RIAs and helping them grow their business; if we do, they'll be rewarded, and we will, too." Noting that $10 billion in net new assets were brought to SI in 2007 from advisors turning independent--aka, breakaway brokers--"this year, we've beaten that already," and Goldman expects to see continued "very significant growth" from that segment of brokers with an entrepreneurial streak. The average broker coming over has $100 million in assets, he said, joining the 5,700 RIAs who already custody at SI. In the aftermath of the crisis, Goldman expects the regulatory environment to "change dramatically," though he would think it "unfortunate" if broker/dealer regulation in the form of FINRA compliance is applied to RIAs, which are "so distinct."
Focus working with mature clients including what are the characteristics of a sound goals-based investing method, how big is longevity risk, and a reevaluation of...
Digital Transformation and the Advisor: Keeping pace with a rapidly evolving competitive landscape will show you how to take advantage of—rather than feel threatened by—financial...
Secure the future of your business with customers from the largest generation in history.
Oct 20, 2016
Learn what critical roles document management serves for wealth management firms and their practical operational advice for running a viable business.
Oct 05, 2016
Some broker-dealers have already decided to exit certain lines of business and are sizing up how the rule will impact their IT and compliance budgets....
Sep 13, 2016
Nationwide is providing a deeper look into the rule’s implications and a discussion of decisions firms will need to make in order to comply.