Do you feel like you’re being squeezed…or perhaps taken over? You would not be alone. Intense M&A activity, commission compression and price wars are disrupting our industry. The wealth management industry is being redesigned and redefined. The changes are happening faster than ever before s at the expense of the independent advisor. When clearing houses start offering zero-commission trades and shrinking payouts and merger to increase clients and AUMs, one has to wonder: Do they have an interest in entering the RIA business?

As the mergers continue, advisor technology is one of key topics at the forefront of each negotiation; who has the best, and which should be eliminated? When the best, most intuitive technology is implemented, the zero commissions war is won through increased profitability. Rebalancing and trading software are often overlooked but the savvy understand that it is the bidirectional gateway to the money. BUY, SELL or HOLD it is key to the most successful firms. After all, mergers come with hefty price tags but are smart strategies.

“It’s a pretty hefty price. The deal is consistent with Morgan Stanley’s strategy to dive deeper into the mass-affluent market.” Alison Williams, Bloomberg Intelligence Analyst, Wealth Management.com, February 20, 2020.

For the advisors that use ‘soon to be abandoned’ software or use a new trading and rebalancing software, downtime can be critical, and the latest version is likely more expensive. Paying more for a new software system may be a downgrade for many advisors. Remember that the packaged software is dependent on the merger’s negotiations. Should an advisor gamble on what trading and rebalancing software they may be left with? AdvisorPeak represents a clear path to success, not a gamble based on a custodian’s decision it feels is in its best interest. Our path to success is dictated by our client’s success.

The same way that the zero-commissions war has evolved – through utilizing intuitive technology to increase trading and rebalancing efficiency while lowering expenses – is the same way that independent advisors should be strategizing their win. If your rebalancing and trading software is limiting, costly, and isn’t living up to your expectations, it’s time for you to find a new system, regardless of the clearinghouses you use.

When evaluating trading and rebalancing software providers, it’s essential to consider the most significant impacts on your business:

  • Efficiency- Are costs reduced, and can the software scale as your business grows?
  • Seamless Integrations- Can you keep primary custodians as well as service and analytics partners?
  • Customization- Do you have control over what is important to you and clients?
  • Flexibility- Can you retain or delete as much of the portfolio management process if you switch clearinghouses?
  • Fine-Tuned Securities Management- Are all types of securities, mutual funds, stocks, ETF’s, fixed income, hedge funds, or currencies supported?

AdvisorPeak considers these and other impacts. We believe that the most intuitive and cost-effective trading and rebalancing software isn’t a product of any custodian- it’s ours. Let us help you win the zero-commission war by scheduling a demo to show you how.