A map is a spatial representation of contemporary reality, and as such Ellen Uzelac’s cover story “The Shifting Geography of Financial Advice” offers a snapshot of today’s reality.
It would be a surprise if the story didn’t reference an advisor pulling up stakes because he was fed up with California—the trek of small business people out of the Golden State for business-friendlier climes has been well documented for well over a decade now.
That doesn’t mean it is not a place of opportunity for financial advisors. It remains a hub of many of the nation’s wealthiest people, many of whom regard the lifestyle and climate as worth the price of high taxes and whose professions are less affected by intrusive regulation.
And it would count as a grave omission had the story not referenced the shale revolution that is remaking America’s wealth map, pegging North Dakota and southwest Louisiana as emerging wealth centers. Advisors seeking to capture money in motion could do worse than to set up shop in Williston, N.D.
Money is remaking the map, as it always does. There is tremendous wealth in Chicago, for example, yet a recent study by Morningstar has found that per capita liability for government worker pensions redounds to $18,596 for every soul in that vast city.
A high level of government spending generally signals a high rate of future taxation, which economic theory suggests dampens productivity.