RIAs grew 18% last year. These are the steps they took.
According to a recent benchmarking survey, assets under management at RIAs in the U.S. grew 17.9%, a remarkable turnaround from a 7.1% decline the year prior.1
While some of these gains are attributable to buyouts and investment growth, much of them are the result of concerted organic growth efforts from leading teams. And there are a number of notable commonalities among those efforts.
The survey and accompanying report highlight five steps taken by the firms that saw the highest organic growth in 2023:
- Using referral plans
- Collecting feedback from clients
- Defining their ideal client, client value propositions and marketing plans
- Using digital marketing strategies
- Tracking results
Firms who followed these steps generated as much as 67% more new clients and assets than firms who didn’t.
It’s clear from this list that the fastest-growing firms today have a deep understanding of what their clients want, beyond returns and product suites. These RIAs have done the work to understand what it is that really matters to their clients, what they value about the advisory relationship, and what makes them decide to refer friends and family.
The other obvious throughline is the methodical nature of their growth strategies. Every initiative is planned out in detail, recorded and tracked. Having written documentation of everything from client feedback to marketing plans often keeps growth strategies in the workflow when they can easily get postponed or sidelined. It can also keep the whole team on the same page and ensure resources are allocated effectively as time goes on.
Reach out to us if you’re looking to use this as a blueprint for growth this year, and we can help you define and execute an action plan.
1“2024 RIA Benchmarking Study.” Charles Schwab, 2024.
