RIA firms with $1 billion or more in assets under management reported robust five-year compound annual growth rates of 9.2% in assets under management, 7.4% growth in revenue and 4.4% growth in number of clients, according to Schwab’s recently released 2020 benchmarking study.
Schwab fielded the study from January to early April. It contains self-reported data from 1,010 firms that custody their assets with Schwab Advisor Services and represent $1.1 trillion in assets under management.
More than three-quarters of firms completed the study after March 1, when markets had already been heavily affected by the coronavirus crisis, Schwab said.
Schwab earlier reported that RIAs with up to $100 million under management had also reported strong returns for the five-year period.
The chief strategic priorities for firms with $1 billion or more in assets have remained consistent year over year, the study showed: acquiring new clients and using technology to improve productivity.