[00:00:01] Speaker A: Hello and welcome, everyone. I'm Taylor Pankratz, and this is behind the breakaway. Together with my co host, Jason Barber, this show takes you behind the scenes of leaving your captive broker dealer firm and explores the world of RIA independence.
[00:00:20] Speaker B: All opinions expressed on the podcast by the hosts and guests are solely their own opinions and do not reflect the opinion of uptick partners. This podcast is for educational purposes only and is not legal advice and should not be relied upon as a basis for any decisions.
[00:00:41] Speaker A: All right, we are back. Another podcast got Jason here.
This is Taylor. And today we're going to be talking about those first conversations that you have after you've left your captive broker dealer firm. You decided to. To break away.
The day you break away, you're calling some of your former clients, telling. Telling them what's going on. And the question is that we get a lot is, well, what are you. How are you explaining the RAA relationship or the structure of that when clients are used to.
They've never even heard that term. And so today, we're gonna talk about just what that. How that conversation goes and what you say.
[00:01:23] Speaker C: Yeah, so I think that ultimately, you got to think of it like this. Most financial advisors don't even know what the word or letters RiA mean or stand for, particularly in a smaller town. I think especially if you're like us, you're the first Ra in your town. I think that adds to this. Hey, I'm not familiar with this. Compared to Dallas or Chicago, et cetera, there's going to be rias all over the place, and clients are probably somewhat familiar with that, or maybe may potentially be more familiar with that. Whereas small town Texas, small town Alabama, small town Georgia, there may not be as high of a familiarity with that. Generally, this conversation is happening when you're breaking away. It's happening in that first announcement phone call. So you just announced to them that you resigned. You've told them, hey, here's my new phone number, here's my website, here's my email address, here's my address. This is where I'm located now, etcetera. And then you're hoping that they ask a question, typically, because you're not allowed to solicit, which has been in the news recently, you are allowed to compete once you've resigned, you're just not allowed to solicit. You have to be careful about what you're saying and how you're saying it's. But if the client asks you, what is that? What is an RIA? Why'd you do that? Et cetera, then that's your opportunity to be able to share with them the advantages of why you did it. And so I think that there's a lot of things in this space that, as we've talked about, are opinions. Some people, some financial advisors are going to have an opinion that the captive broker dealers are the best. And some will have an opinion that the RA is the best. And of course, as anything, we always like to make sure it's very clear that this is our opinion. Okay? And so there's some things that I think, though, that we can identify that are facts that you're going to have in this conversation.
And so want to try to, like, let's highlight the facts first, and then let's talk about the opinions second. So the facts as we see it are, there's this relationship, there's this difference in this relationship of who you're working for. So when we were at our previous broker dealer, the broker dealer, or think of it as the broker dealer slash custodian, okay? So there's a bunch of different custodians. Merrill Lynch, Edward Jones, Raymond James, Wells Fargo, Charles Schwab, fidelity.
All these different organizations are custodians of clients money. And when we were in the broker dealer or working for our previous broker dealer, we worked for, we were a w two employee of that custodian. And now that we have broken away, we are now independent, and we don't work for the custodian anymore. The custodian works for us, you could say. Or the custodian is a vendor of ours. And in particular, if you are, or have at least the ability to be multicustodial, I think that adds to that conversation where you can explain to the client that, hey, baby, we're custodying clients assets with BNymal and Pershing. But we also, in the future, intend to be able to offer multiple custodial choices and give people that option. It really, what it does, I think, Taylor, is it helps to emphasize this point of, I work for you, I don't work for the custodian. I'm not employed by the custodian. I don't have any loyalty to the custodian. Okay. And then, you know, so there's this idea of the advice, which is what we are paid for. Our advice is separate from the custodian who holds the money and keeps the money safe, which is also separate from the investments in terms of the investments basically being whether it be mutual funds or ETF's, or structured notes, or private investments, alternative investments, whatever the investment is that you're investing your money in those investments are not controlled by, or what's the right word I'm looking for influenced by the custodian.
[00:05:48] Speaker A: So I think the people listening to the podcast might be thinking, all right, when you're having these conversations, what are you telling the client? So in our scenario, if a client asked, we had a, we had an idea of what we wanted to say and everything was always different because it's such a very dynamic conversation you're having with all these people. But generally it was, we're doing this, we're going RIA to be able to provide better service, adding this tax element to it that we couldn't before, estate planning, doing these things that were, we weren't able to do before at a captive broker dealer. So think of it as more service as it relates to that, or you just want to be able to hire more people, right? There's an element of that you're not able to do it. Some of these firms of staffing up to give better service. So better service, more investment options. I think that's typically very true, that the RA world lets you have clients acts, gives clients access to different.
[00:06:58] Speaker C: So would you say that, I'm sorry to interrupt you, Taylor, but would you say that, that the points that you're making there have more to do with going independent than going Ra, though? Like, in other words, if you're independent or if you went independent broker dealer, for example, you would be able to hire more people, or I think you're.
[00:07:16] Speaker A: I think you're able to hire more people. I think there's still an element of the other services that you're talking about.
[00:07:23] Speaker C: Are you going to be able to have a tax business if you're IBD, for example?
[00:07:27] Speaker A: I think it complicates things tremendously. It's going to depend on which IBD and what their compliance decides, how that, how they view that. But for sure, the advantage of more, and to be sure, we're not saying better, we're just saying more investment options than the IBD channel and the captive broker dealer channel, just almost by definition, because in the IBD world, even though it's independent, you still, your money is still custody, that one custodian and that thing that the client wants to buy has to be able to be held at that custodian. It has to be able to, or they have to at least be okay with you investing that client's money in that thing so that you're not, as they say in the captain Burger dealer world, selling away, which is like almost the cardinal sin. Yeah, but back to the conversation that you're having with clients, they're going to inevitably ask, why are you doing this? And it's very important that, and it'll be an emotional thing for the first few times that you talk about this, but it's very important to highlight why this is a good thing for them.
[00:08:40] Speaker C: Exactly.
[00:08:41] Speaker A: What's in it for them?
[00:08:42] Speaker C: Exactly. I'm thinking back to a lot of the conversations that I had, and we were a little bit different because we didn't have an uptick partners to help us figure this out. But I remember very vividly, many times talking to clients and saying, we did this. We did. We went RA and we launched our own RA in particular because we felt that it was in the best interest of our clients. And we mean that because it's fair to say that there were many phone calls that we took over the years from recruiters that tried to recruit us to go to a variety of different firms or variety of different channels, and they would have paid us a lot of money to do that. And it would have been a lot easier to do that. But you would run into the same question mark of, hey, if I left this firm and I go to this firm, how is that good for the client? And I just genuinely felt like it was going to be very hard for me to look somebody in the eye and say, this is good for you, when the reality is that it's really probably more good for the advisor to do that and not really like a ton of benefit to the end client. You think of it and you're like, what's it, what's good for the advisor? The advisor gets a big payday. The advisor gets ownership of their book, the advisor gets to brand it. The advisor gets all these things. But you're like, what's, is there less conflict of interest for the client?
Is there more investment choices for the client? Maybe a little bit, but you're still going to definitely have some limitations there.
Are there more services for the client? Are the fees lower? Maybe you probably have more control, but I think at the end of the day, we wanted to be able to check the box on all of those things and be able to say we have more service, lower fees, or better technology, whatever the thing may be, indisputably, and make sure that we're very clear on one thing. There is no affiliation model, no channel in this world that has zero conflict of interest. But I think most people would agree that there is less conflict of interest. In the RA world, there just is particularly the fee only RA world where you don't have that broker dealer.
There are no commissions. So it's going to inevitably lead to there being a lower amount of conflict of interest.
[00:11:15] Speaker A: Yeah. And the, I think the fiduciary element of what you're saying, I think, resonates with clients. We've been saying it for a while now, but clients are becoming more and more educated on this fiduciary. The word, what that means, looking for that. We get prospects all the time from not even just in Nacogdoche, I mean, from around, around Texas and even around the country that find us, because they typed in fiduciary wealth management into Google, and they were specifically looking for that because that was important to them. And when you're talking to these clients, having these conversations, they might not know what that is, but I think it does make them. It does help when you're saying that you now have to put their best interest first.
[00:12:02] Speaker C: Right.
[00:12:02] Speaker A: But you have to.
[00:12:03] Speaker C: Yeah.
[00:12:03] Speaker A: And they might say, didn't you always do that? And everybody can answer that question however they want to, but. Because now that you can say, I am required to, is different than I was doing it because I wanted to.
[00:12:19] Speaker C: Yeah. What are some of the frequent questions that people ask? Like, I can think of, is my money safe? What happens? I think I haven't had one person ask, what happens if you die? Because they don't really understand. They think of it as, I'm going from this really big brand over here to you. And so it's like, how do they.
[00:12:37] Speaker A: Know that's the biggest hurdle you're gonna face, is having that conversation of your money is held at. In our case, it was being white Mellon Pershing and explaining what that was to people that had never heard that name before. And yes, they're a very large custodian. This is what they do. But they don't necessarily have that brand recognition that a big box broker dealer has or Charles Schwab has, or these things that you're. So you're trying to, you're educating that their money's safe. And. But that's a, that's probably the biggest question we got, was, I like you, but what is my money safe if I move it to you? They think your money's going. They think their money's going to, like, your personal or your company's bank account.
[00:13:24] Speaker C: Yeah.
[00:13:25] Speaker A: And because a lot of that is probably information that the other firm that split your accounts and gave them to all these advisors around your town are probably feeding them this information. It could be because those advisors literally are. Don't have any idea of how the industry works, or it could be because they just like to say things that are going to try to scare people into doing business with them.
[00:13:51] Speaker C: But, yeah, they'll say things like, your money's safe here, insinuating that your money's not safe over there.
[00:13:58] Speaker A: Yeah, but what's really interesting is that people are smart, right? It's like they. They understand that you would never upend your entire livelihood and your well being and all of this to on a hope and a prayer that you haven't done a tremendous amount of due diligence on this decision. And so when you tell them that I'm doing this for you, because I think this is what's best for you, and how we can add more value to you as a client, that they get that right, because they understand that this is just a blip on their radar. In fact, for the last year, you've been doing due diligence on this. And this is. This is a thing for you. This is your job. So they recognize that and they get that you wouldn't be making this decision lightly.
[00:14:54] Speaker C: So sometimes I can think, I had a conversation with some people, and by the way, a lot of this was just. It's a back and forth conversation that you're having with people. So it's not like every time, but I can remember a couple people. Just, you think about it in terms of what's in it for the client and what's in it for me, and just having a very honest conversation and going back to that idea of if I wanted to choose what was definitely best for me, there are other things that I could have done that would have been a lot easier and would have been a lot more money in my pocket right now to do this. And so I remember trying to lay out some points where I would say, what's in it for me is more control, more control and control over the decision making, control over marketing, control over who we hire and how much we pay them. And maybe what's in it for me is, in my opinion, the ability to grow faster. Okay. And to market myself, et cetera, whether or not we were certainly not getting any big upfront money. Okay. Sometimes a custodian, when we have to disclose all of this in our ADv, custodians, will give you what they call soft dollars, where they'll help you with some of the technology costs and things of that sort. But there's certainly no nobody's writing us a big check, which you can't say that about. A lot of other. Moving to different channels. There's a lot of channels where you'll get. An advisor can get a serious amount of money to make a move from one to the other. Yeah, handcuffs, golden handcuffs, where they say, hey, if you're a, if you're a million dollar producer, you might get a, I don't know what the number may be, multiple millions of dollars to make that move. And that certainly was not the case with us. And I feel comfortable sharing that with people that, hey, this is not in the short term, this was not what's best for me, that's for sure.
[00:16:46] Speaker A: Or you're not doing it for the money.
[00:16:49] Speaker C: Exactly. You're not doing it for the money. You're doing it because in the long run, you hope that it is a good financial decision for you. You're betting on the long term growth of your business, okay? And you're betting that if I do good things for you, that that is going to lead to more people becoming our client because we're doing, we're really, truly putting our clients interests first. And by that we end up winning in the long run. That's basically the conversation that I can recall having that many times with people, you know, to where they understood that. Because I do remember, you know, when we were at our broker dealer, very vividly remember a conversation one time where what was at the time the largest advisor at that firm left and went to a different firm. And I remember very vividly people that were in the leadership organization talking amongst themselves saying, I bet he or she left and just wanted to take a big check. Okay. And I think that there's like this stigma out there. That's why you, that's why you would leave. And I even remember that's certainly why people leave. People do that. Yeah, some people do that. And so I wanted to make sure it was clear that was not us. Right? That was not us. And I can even remember hearing some clients that would take phone calls from the babysitting advisors would say, you know what would relay to me? That's what the babysitting advisor was telling them. Oh, they left because they wanted to, you know, they making so much more money now or whatever else. And here I am not getting paid for six months and no money in my pocket like I'm or client's fees go down, clients fees go down. And it's like, how. Wait a second. 2nd like, how's that actually? How's that actually true. So. But I think that's just a lot.
[00:18:34] Speaker A: Of it's ignorance, too, on their part.
[00:18:36] Speaker C: Because why would you leave? Of course, you must do it because you're making more money.
[00:18:40] Speaker A: It's not always just a nefarious thing. Sometimes it's just ignorance and. Yeah, but I do think that when people are. When breakaway advisors are having these conversations with clients or anticipating this, and you're. You might be thinking to yourself, I'm planning on breaking away, and I'm nervous about how many people will come. We have a podcast about that, or what I'm going to say and how those conversations are going to go. Just know that a lot of your clients or a lot of your former clients, they genuinely like you, and. But they're just going to be curious about this thing that they've never heard of. And so you need to have some of these things be able to explain cohesively of why it's good for them, because that's gonna be the thing that they're gonna get off the phone and be like, am I either doing this or not? They're gonna need to feel like this is very thought out. This wasn't a rash decision. You weren't fired. You've been planning this, that this is an actual thing that people do all the time. Right. Which is leave the captive broker dealer space and go do something, go to a different channel. And I don't know. I just feel like.
I feel like clients, at the end of the day, they just want to know that you're putting their interest first, because that's what you've.
[00:20:02] Speaker C: They want to know their money safe and explaining, being able to be well versed on SIPC insurance. I remember having that conversation a lot. Some of that was because we were leaving during the banking crisis.
[00:20:12] Speaker A: Yeah, that was tremendous timing on that back. Impeccable back in May, when at that time, Charles was in the news quite a bit with that whole thing, and that was. We were like, we're glad we're not.
[00:20:22] Speaker C: That was our backup choice or second choice.
[00:20:24] Speaker A: And so, yeah, that could have been a nightmare.
[00:20:26] Speaker C: Yeah. Schwab stocks is, you know, going down the tank or whatever, you know, at the time. So.
[00:20:33] Speaker A: Yeah, so. So that's. Yeah. Is my money safe? Why are you doing this? Oh, your money is safe. I'm doing this to be able to add more service, better service, more investment options, align our interest. I want to be a fiduciary to you all the time.
[00:20:49] Speaker C: Have to be like, maybe people would ask, like, how are you regulated? Or how to what's the oversight process?
[00:20:56] Speaker A: You'll hear a lot of noise from the babysitting advisors that they're not regulated. And so that is definitely something that is, you clients might ask about, because that's something that the babysitting advisors are going to be chirping in their ear. And so, depending on where you're going and how big you are, if you're creating your own ra and you're under 100 million or whatever that number is. But for us, we would just tell people, yeah, now we're regulated by the SEC the same way we were before. Right. And what's. You can take it a step further, because now the SEC does specific audits to our firm, whereas before they're doing audits on the large broker dealer, and you're just one little cog in that entire wheel. And so, yes, there's more compliance oversight from the big box broker dealer, probably, to make sure that every single thing you're doing is to the very confines of what the big box wants you to be, because they can't afford for you to step out and poke your head out a little bit. Whereas we have compliance here. And. Of course. And. But there's a little bit more freedom because there's not 20, 30, 40,000 advisors that they're trying to have oversight in. There's ten.
[00:22:20] Speaker C: Yeah, right. But we play by the exact same rules.
[00:22:23] Speaker A: Exactly.
[00:22:23] Speaker C: We play by the same rules. We have the same regulatory body, or we're not regulated by FINRA because we don't have a broker dealer in our particular case, which we're proud of.
That's ultimately what leads to a lot of the less conflict of interest. We're basically paid for our advice, not paid for selling products anymore. And so you can highlight that, that we're regulated by the securities Exchange Commission, the SEC, and we will be audited periodically. We will be audited. We also have a third party, not in house, but third party compliance firm that we pay a lot of money every year to regulate, to offer us guidance and make sure that we're doing the things that we need to be doing, and dotting the I's and crossing the t's, etcetera. So that we're making sure that we're always putting our clients interests first. Basically, that compliance firm, the analogy that we like to use is that they're helping us do the homework so that we get an a on the report card when the SEC audits, usually. All right. But ultimately, that's how you explain that to people, is that we're not. We don't have an in house compliance department that's looking at every little detail that we're doing. We have a third party compliance department that's guiding us to make sure that they're helping us do the homework so that ultimately, at the end of the day, the same as we were before. We're going really, actually, to your point, on a deeper level, more scrutinized now. Yeah, we're more scrutinized because again, the securities Exchange Commission knows my name. Right.
[00:23:59] Speaker A: That's my point is if I was a one advisor at a large broker dealer in little old Nacogdoches, Texas, it's really rare, unless you're a very big producer, that the SEC is going to come into your firm at your location and dig through your phone logs and your everything. Right. That's very rare because you were one micro, you're one thing of this larger firm. And the larger firm is the thing that's on there. That's on their checkbox right now. We are a line item on the SEC's checklist of did I check holistic planning? Right. Not, did I check big Brock, big broker dealer?
[00:24:40] Speaker C: Yeah.
[00:24:41] Speaker A: And yep, I did a sample size. And they're all good. No, they're literally coming to our firm in person, looking under, looking under the hood. And so I would argue that we're actually more scrutinized. That's probably that. Let's just say that's my opinion.
[00:24:55] Speaker C: Yeah.
[00:24:56] Speaker A: But I feel that way. And trust me, when we say we take it, we take compliance much more seriously than we did because of that fact. Because you feel like it's, this is a, the SEC is gonna potentially give you a fine or these findings. And what, it's like you wanna have a.
[00:25:13] Speaker C: You're under more of a microscope, for sure. You're for sure. It's undeniable that you are more like you are held to a. I wouldn't say maybe you're not held to a higher standard, but you're held to the same standards, but it's just, you're under a microscope. They're going to be looking very carefully at what you're doing, as they should. Okay. But, so I think it's.
[00:25:31] Speaker A: And then you tell the client that we welcome that.
[00:25:33] Speaker C: Exactly. We welcome that. And so it's. That's a big thing to explain, or that's a. Maybe you could think of it as a kind of like an faq. What about the whole what happens if you die? Thing? How do I.
[00:25:43] Speaker A: What happens if the clients think that if you die, then that is somehow that their money, like, that they still don't control their money, or there's something happens to their money. And. And so that was a. I don't think I got.
[00:25:58] Speaker C: I might have got that question.
[00:25:59] Speaker A: Once it's rare, twice it's rare.
[00:26:01] Speaker C: But you can expect somebody will ask you.
[00:26:04] Speaker A: Yeah, somebody could ask you if you. What happens to their money if you die? And. And he's like, thank you for killing me off early. And that your money, nothing changes, right. Your money is held at the custodian and you still have access to it, and it's. Nothing changes there. And if you're more than just, if you're creating your own ra and it's just you, then there's bound to be some type of thing where there's some rigmarole of how that works. I really don't know. But if you're at a firm, if you plug into uptick, then your clients money, you're going to get replaced, or your money, your clients will have an advisor to talk to if they want to move their money and all that, like, instantly. But it is a rare question.
But clients will ask you all kinds of things that they've heard in the past. Just like horror stories, right? I had one person that wanted me to send them our cybersecurity and e and o insurance like policies to make sure that we were insured and bonded and things like that. So that was one person, but still, that is a. That they had been burned in the past, so I sent them that. And that passed muster for them. But people have had some weird experiences, and they're gonna want to make sure they don't make that mistake again. But that's pretty rare. I would just summarize it all to say for the people thinking about breaking away, that there's definitely questions that you want to be prepared for. We're going to happen. We've just talked about them. So those need to be. You need to not stutter. Right. Because that is very important that they ask those questions. You are. That you're saying that is with as much confidence as you would say that what your name is, right. It needs to be confident, clear, and so that when they get off the phone, they don't have this innate sense and them going, I think I'll move, but I don't want to be the first off the boat, because that didn't make me filled with confidence. When I asked him that question, he wish he washed. He didn't really have a it's got to be, you need to practice this thing, right. This is not this. You have. There's real money on the line by making sure this is goes well.
[00:28:19] Speaker C: Exactly. Which I would think that certainly if you're partnering with us, but I would like to think that anybody that was going to take such a large risk as breaking away like what we did, I would hope that you would have so much conviction in your heart that it was the right thing, that this is not a hard conversation to have, because it's easy.
[00:28:45] Speaker A: You just need to know what you're saying.
[00:28:47] Speaker C: You just need to know the bullet points. Okay. But it matters. I'm a big believer in this idea that people can just sense your confidence or your intent or heart intent or your heart, like they can feel it. And so you have to have your heart in the right place.
And I do believe, and look, I just think that at the end of the day, like we've said, I'm not saying that anybody that doesn't go Ria is a bad person or anything like that, but I'm just saying I do generally believe that it's easier to have that heart to heart. I am putting your interests first here. Conversation. When you don't take a big check, right. And when you do, you know, quit your job and you do go fee only, and you do, you know, and you can say, look, these are all the reasons for why this is good.
[00:29:41] Speaker A: For you, and you don't feel like you're selling it.
[00:29:44] Speaker C: Exactly.
[00:29:45] Speaker A: Because it's just true.
[00:29:47] Speaker C: It's. Wouldn't you want that?
[00:29:48] Speaker A: So that's what's nice about the whole experience, is it's almost cathartic in a way, but it also, you're not having to remember the talking points, necessarily. Yeah, because they're all true. You don't remember what you told them before. It's, you just tell them the truth. But you do need to say what you're saying with confidence. But I would say to plug up tick and then we'll maybe, we'll maybe call it a day for the podcast. But I would say to plug us in is that you can, you have these conversations and you have this confidence and you're telling people about what you're doing, and they're so excited. They need to, you need to keep that momentum up and they need to, in short order, you need to get them over the finish line, and you can't have any speed bumps in the way. And what are those? What could those speed bumps be? And we know because we lived them. So what we're trying to do here is prevent you. The person listening to this, thinking about breaking away, wants to go Ra, or is thinking about Ra. Give us a call, because we'll tell you the speed bumps that we went through. And they are. Look, your website. Your website has got to be up and running after you tell the people what. Who you are, because they're going to google you. It has to be up and running. It has to look like you didn't just do it last night. Cause that's what's. That's gonna give me the feeling, if I'm the client, that's gonna give me the feeling that you're actually fired and that the rumors are true. So it has to look polished. It has to look so good that when they say they wanna come, that you have a process in place so that they don't get talked off of coming by the babysitting advisor, planting seeds. Right. It needs to happen quick. We lost a client from transferring because it was maybe a week between when they said they wanted to come and when we finally got in front of them and paperwork sent to them to sign on the dotted line. And in between that time, she changed her mind. Right. So you gotta keep this momentum up. And you don't. You can't just do that. It's like you have to have a process and you have to have the people in place and the understanding of what needs to be done. And that's what uptick does. We help you do all this so that the only thing that you're focused on is having those conversations with confidence that you tell the person what's happening. They are so excited, they want to come. And then you pass that off to what we call SeaL team six. Right. And we. And those people, their job is to get the person that you just talked to over the finish line. And if they google your name, it shows up. If they go to your website.
[00:32:35] Speaker C: It was a video.
[00:32:36] Speaker A: There's a video of you explaining your story. That stuff that doesn't just happen. Right. And it's not taken with your iPhone.
[00:32:43] Speaker C: Yeah.
[00:32:43] Speaker A: In your car. Right. This is a. These things need to look like you put some thought into them because that's gonna resonate when you tell the client, I've been thinking about doing this for a year.
[00:32:53] Speaker C: Yeah.
[00:32:53] Speaker A: If you have a professionally made video, guess what? You didn't get fired yesterday.
[00:32:57] Speaker C: Exactly. Yeah. And, hey, download my mobile app.
[00:33:00] Speaker A: Yeah, right. Exactly.
[00:33:02] Speaker C: My mobile app. And it needs to work. Right. In short order, it needs to work. And. And so I couldn't agree with you more about all of that. It's. It is in the early days, the.
[00:33:11] Speaker A: Collateral that's got your name already on it, the folders. It has to be. You have to do it right. You can't afford to be trying to make sure all that stuff's happening and also try to move your people and have these conversations.
[00:33:26] Speaker C: Exactly. And so then the challenge of doing it yourself and not having somebody, like an uptick to help you is how do you do all of that stuff without getting at a minimal risk of being exposed accidentally? Okay. And that's where we help prematurely, right?
[00:33:48] Speaker A: Yeah. Oh, I'm doing all this to prevent it from feeling like I got fired. Fired? Whoops. Yeah, you've got me fired. Like a catch 22.
[00:33:56] Speaker C: Yeah.
[00:33:57] Speaker A: You're trying to prevent the catch 22 from happening where. Oh, man, I was doing all this cool stuff to try to prevent myself from getting fire or from looking like I got fired and then I got fired. So now I should have just. Yeah, I should just not tried it at all.
[00:34:10] Speaker C: Exactly. And the reality is that, like, we've talked about, I think maybe on a previous episode, but with regards to the whole what if you did get fired? How bad that is in the sense of this, I guess maybe, I don't know what you would call it, purgatory situation that you end up in where.
[00:34:27] Speaker A: You really is blank for a while.
[00:34:31] Speaker C: Yeah. Like, you can't. Nobody's going to take you on. Right. I mean, if you were thinking about joining uptick partners and you got fired a week before. I actually don't know that I know the answer to this, but I'm not totally confident that you could join our firm until there was some, like, you.
[00:34:51] Speaker A: Definitely are not going to join a large IBD or. Yeah, they're going to. They're going to push pause until that. Make sure. They make sure that you weren't fired because you were embezzling clients money.
[00:35:03] Speaker C: Exactly.
[00:35:04] Speaker A: They have to protect themselves from that. So. And then the one other thing I can tell you that needs to. That you got to prevent from happening is the clients decide that they sign the paperwork. All that's good. The acats are happening. And, oh, you decided to go with the custodian that the. Not all of the clients money, their holdings will acat over.
[00:35:29] Speaker C: Mm hmm.
[00:35:29] Speaker A: So guess what? You're gonna have to go back to the client and tell them.
I. You're gonna have to call the babysitting advisor and have them sell something, because the custodian that I picked for you can't hold it. Yeah, you don't talk about embarrassing.
[00:35:44] Speaker C: Yeah.
[00:35:44] Speaker A: You're giving the other babysitting advisor another at bat, and they're just casting doubt of, you're going, you can't even hold this. This is. Are you kidding me? Where you go in. Yeah, you go into the.
[00:35:54] Speaker C: Yeah.
[00:35:55] Speaker A: And you're just going, why are you doing that to yourself?
[00:35:58] Speaker C: Mm hmm.
[00:35:59] Speaker A: It doesn't need to be that way. And you see it all the time where people don't think about these things until it, like, until they get an alert, like, oh, I guess that didn't transfer over. What happens now is I hope only one of my clients held that. Oh, it was in my specific portfolio that I had a bunch of clients in. This is now a thing.
[00:36:20] Speaker C: Yeah. Like money market funds. That's a big thing. That somehow, some way. Some money market funds.
[00:36:27] Speaker A: Yeah.
[00:36:27] Speaker C: You've got client money and a money market fund. Or say it's in a part of your portfolio. The part of the portfolio that's cash, where the fees come out of is in a money market mutual fund.
[00:36:36] Speaker A: There's some custodians that don't even accept cds.
[00:36:39] Speaker C: Really? Yeah, that's true.
[00:36:40] Speaker A: So it's. So anyways, I say all that not to scare you straight or anything. It's more about going eyes wide open, and if we can help in any way, answer some of your questions that you've got about any of these things or talk to you about specific money marketing funds that we know don't transfer to certain custodians.
Hit us up. Go to the website. You can send us a. You can says, let's talk, and there'll be an opportunity for you to send us your email and your name, and we'll reach out and we'll have a. We'll talk for as long as you want, or you can find us on LinkedIn, of course, or anything like that. But definitely ping us, because we're here to help as much as we can help other breakaway or potential breakaway advisors looking over the fence at these other options, do some due diligence, help them figure out if it makes sense for them. We use this as a resource.
[00:37:36] Speaker C: Yeah. We see ourselves as we're servants to these folks. Right.
We are growing in a very slow, strategic manner in that we want to try to find folks that want to partner with uptick partners. It has to be the right person, the right fit. We see ourselves. I think our vision is to grow by, call it, three to five firms a year. Right. And so we're not. We're not. If you reach out to us, it's possible that we're not a good fit and we'll tell you. But guess what? If we're not a good fit, we're still going to help you. We're still going to help you. We're still going to say, look, these are the pitfalls you need to avoid, et cetera, because that's just the way that we would want to be treated.
[00:38:17] Speaker A: Right.
[00:38:17] Speaker C: Right. And so use this as a resource and reach out and put that to the test.
[00:38:22] Speaker A: So anyways, I think with that we'll end it. That's a wrap.
[00:38:28] Speaker C: Cool. Good podcast.
[00:38:29] Speaker A: Thank you for listening. We hope you enjoyed the podcast. Please subscribe to our channel. You can find more of our episodes on YouTube, Spotify and Apple podcasts. And check us
[email protected] where you can learn more about how we help breakaway advisors just like yourself find independence.
