Return to Tactical Basics

Abundant Financial Services Investment Opportunities)


• FSI M&A
  • Amazing FDIC assisted deals for private equity funds
  • Insurance companies
  • Mutual fund companies
• FA M&A
  • RIAs & IBD reps aging
  • Employee economics do not work for large firms
  • Lift outs
• FSI Private Equity
  • Lack of debt
• FSI IPOs
  • Coming soon
• Retail banks will be the most aggressive acquirers because they are the largest institutions…
  
• Five financial services institutions collectively raised $22 billion, showing that the IPO market is opening up, especially in Asia!
  

Guest Speaker Presentation Highlights


Tiburon CEO Summit was held April 14-15, 2010 at the Ritz Carlton Hotel in New York, NY. There were over twenty planned sessions. Along with Tiburon's Managing Principal Chip Roame, guest speakers included Ed Bernard (Vice Chairman, T. Rowe Price Group), Abby Cohen (President, Global Markets Institute, Goldman Sachs Group), Steve Forbes (CEO, Forbes Media), Jim McCool (Executive Vice President, The Charles Schwab Corporation), Jonathan Steinberg (CEO, Wisdom Tree Investments), David Tittsworth (Executive Director, Investment Adviser Association), & Fred Tomczyk (CEO, TD Ameritrade).


	CEO Summit XVIII Guest Speaker Ed Bernard (Vice Chairman, T. Rowe Price Group)

Ed Bernard (Vice Chairman, T. Rowe Price Group)


Ed Bernard has served as vice chairman of the board of directors of T. Rowe Price Group since 2007, is a member of the firm's management committee, & chairman of the T. Rowe Price Mutual Funds. He oversees the firm's distribution, client service, technology, operations, & communications activities.


Mr. Bernard has over 20 years of experience in the investment management industry, all of which have been with T. Rowe Price Group. In addition to his responsibilities at T. Rowe Price Group, he serves as chairman of the board of governors of the Investment Company Institute, the national trade association for the mutual fund industry. Prior to joining T. Rowe Price, Mr. Bernard worked for a large direct marketing company.


Mr. Bernard utilized his experience in distribution, client service, technology, & communications to address how his firm plans to compete in the new economy, including highlighting the importance of maintaining client focus & concentrating on simplified product offerings. Mr. Bernard said, “if you’re going to be competitive and add value, you’re going to have to pick your spots”. Mr. Bernard went on to say “the target date fund is the closest thing I’ve seen to a silver bullet.”


	CEO Summit XVIII Guest Speaker Abby Cohen (President, Global Markets Group, Goldman Sachs Group)

Abby Cohen (President, Global Markets Institute, Goldman Sachs Group)


Abby Joseph Cohen is senior investment strategist and president of the Global Markets Institute at Goldman Sachs Group. Ms. Cohen joined Goldman Sachs in 1990, having specialized in quantitative strategy & economics at other major financial firms. She began her career as an economist at the Federal Reserve Board in Washington, DC.


Ms. Cohen’s extracurricular activities focus on education and public policy. She is the chair of the board of trustees of the Jewish Theological Seminary. She also serves as a presidential councillor at Cornell University and on the boards of the Weill Cornell Medical College & the Brookings Institution. She previously served as chair of the board of the Chartered Financial Analyst Institute, from which she received the Distinguished Service Award. Ms. Cohen is an advisor to the investment committees of Cornell University and Major League Baseball. She is on the national board of the Smithsonian Institution and is a member of the Council on Foreign Relations. She is a frequent guest lecturer at several universities & graduate schools of business. Ms. Cohen holds degrees in economics from Cornell University and The George Washington University. She has received three honorary doctorates, including one in engineering. She has been recognized as a leader in US portfolio strategy for more than 15 years, and was previously ranked No. 1 by Institutional Investor magazine and Greenwich Associates. Her career is the subject of a Harvard Business School case study and a Business Week cover story. She has been honored by many groups, including the Financial Women’s Association, New York Stock Exchange, the Wall Street Week Hall of Fame and leading financial publications.


Ms. Cohen utilized her 25 years of experience as a highly regarded economist and strategist to share her views on the future of investing, both how it has been affected by recent financial services industry events and how proposed new regulations might affect it moving forward. Ms. Cohen said “we do believe that not all of the problems that led to the credit crisis have been resolved.” Ms. Cohen, however, provided a positive outlook for the economy and markets citing “70%, the vast majority, of companies are increasing IT spending.”


	CEO Summit XVIII Guest Speaker Steve Forbes (CEO, Forbes Media)

Steve Forbes (CEO, Forbes Media)


Steve Forbes has served as CEO of Forbes Media and Forbes Magazine since 1990. Since he assumed his position, Forbes Media has launched several businesses, including Forbes FYI & Forbes Global, the firm's international publication.


Prior to assuming his current position at Forbes Media, Mr. Forbes served as chairman of the Board of International Broadcasting for Ronald Reagan, overseeing the operations of Radio Free Europe & Radio Liberty, broadcasting behind the Iron Curtain. He has twice campaigned for the Republican nomination for the presidency of the United States, in 1996 and again in 2000.


Mr. Forbes shared his perspectives on operating a multinational media corporation and some of the new challenges he faces. He addressed some of the foundations of his business that have brought him such success. He discussed the new regulatory regime from his own perspective as one inside the circle, and outlined key points that industry leaders are weary of moving forward. Mr. Forbes said, “you don’t succeed in the free market unless you meet the needs of the people.” Mr. Forbes went on to cite Austrian economist Joseph Schumpeter’s ideas on creative destruction by suggesting that “most people are much happier with the creative part than about the destruction”.


	CEO Summit XVIII Guest Speaker Jim McCool (Executive Vice President, The Charles Schwab Corporation)

Jim McCool (Executive Vice President, The Charles Schwab Corporation)


Jim McCool has served as executive vice president of The Charles Schwab Corporation since 2006. Mr. McCool currently oversees Schwab's Institutional Services business with combined assets under management of $850 billion, serving independent investment advisors, corporate clients, & their employees. Schwab Institutional Services provides custodial, operational, practice management, & trading support for more than 6,000 independent investment advisory firms that serve 1.9 million individual clients with $590 billion assets under management Schwab Institutional also provides corporate retirement and brokerage services, either directly to companies or through third party administrators. These services include employer-sponsored retirement plans, stock plans, & corporate brokerage services, in addition to recordkeeping, trustee, & custodial services. Mr. McCool also oversees Schwab’s investment-only sales and mutual fund clearing businesses.


A 25-year veteran of the financial services industry, Mr. McCool began his career in the retirement plan servicing industry in 1984 and helped establish The Hampton Company, which became a wholly owned subsidiary of The Charles Schwab Corporation in 1995.


Mr. McCool addressed developments in two of Schwab’s fastest growing businesses, independent financial advisors & retirement plans. He focused specifically on the changing landscape for financial advisors and new challenges in the 401K industry, discussing the shifts in products & client focus. Mr. McCool referred to many of what he called “head fakes in the 401K industry.” Mr. McCool went on to address a question about insurance products in retirement plans by saying that “annuities are a solution to a problem that participants don’t know they have.”


	CEO Summit XVIII Guest Speaker Jonathan Steinberg (CEO, Wisdom Tree Investments)

Jonathan Steinberg (CEO, Wisdom Tree Investments)


Jonathan Steinberg has served as CEO of WisdomTree Investments since 2004. He is responsible for the overall management of the firm, including overseeing the company’s strategic growth initiatives. WisdomTree is an innovative ETF sponsor and asset manager with equity and currency income ETFs covering the domestic, developed, & emerging markets.


Prior to establishing WisdomTree, Mr. Steinberg founded and served as CEO of Individual Investor Group. From 1998 to 2004, he held the role of editor-in-chief of Individual Investor and Ticker magazines. Prior to those endeavors, Mr. Steinberg was a mergers & acquisitions analyst at The Bear Stearns Companies.


Mr. Steinberg addressed his experience in the exchange-traded fund business and its significance as one of the fastest-growing segments of the asset management industry. As a leader in the industry, he offered insights into his firm's model and also offered insights into his firm's strategic initiatives going forward. Mr. Steinberg said, “I believe that structure matters”. Mr. Steinberg went on to say “I believe that investment advisors and their clients have never been less satisfied.”


	CEO Summit XVIII Guest Speaker David Tittsworth (Executive Director, Investment Adviser Association)

David Tittsworth (Executive Director, Investment Adviser Association)


David Tittsworth has served as executive director of the Investment Adviser Association since 1996. He is responsible for the management of the non-profit organization dedicated to serving & representing the interests of SEC-registered investment advisory firms. Based in Washington, DC, his firm engages in numerous advocacy, compliance, & educational services on behalf of its membership.


Prior to assuming his current position, Mr. Tittsworth served as counsel of the house committee on energy & commerce. Prior to that he was a partner at government relations firm Chambers, Conlon, & Hartwell. Mr. Tittsworth has served in Washington, DC, almost continuously, since 1987, including stints on the house budget committee and as senior counsel to the house subcomittee on transportation, trade, & hazardous materials.


Mr. Tittsworth addressed US regulatory reform and what it means for investment advisers. Specifically, his comments addressed the six pillars of regulatory reform, the meaning of the fiduciary term, the SEC as a body, the concept of self-regulating organizations, & next steps currently being considered by regulators. Mr. Tittsworth said, “FINRA is actively lobbying to expand its turf.” In relation to the fiduciary standard Mr. Tittsworth went on to say, “don’t weaken or water down the Advisors Act fiduciary duty."


	CEO Summit XVIII Guest Speaker Fred Tomczyk (CEO, TD Ameritrade)

Fred Tomczyk (CEO, TD Ameritrade)


Fred Tomczyk has served as president and CEO of TD Ameritrade since 2008 and previously served as the company’s chief operating officer. His involvement with the company goes back more than five years as he helped to shape the Ameritrade & TD Waterhouse merger and later served on the board of directors. Today, Mr. Tomczyk oversees the management of the firm and progress made toward its strategic objectives: to maintain a leadership position in the trading business and to continue growing as an asset gatherer.


Prior to assuming his current position, Mr. Tomczyk served as vice chairman of corporate operations for TD Bank Financial Group. Prior to that role, Mr. Tomczyk's positions at TD Bank Financial Group included executive vice president of core banking & wealth management, as well as executive vice president of retail distribution, where he led the branch networks of TD Bank and Canada Trust through the merger to become TD Canada Trust. Prior to joining Canada Trust, Mr. Tomczyk served as CEO of London Life.


Mr. Tomczyk discussed the challenges that he faces in pursuing his strategic objectives and managing TD Ameritrade for long-term growth, despite difficult economic & market environments. He also reviewed his learnings from mergers & acquisitions and discussed the future of such for his firm, given its relatively strong standing within the industry. Mr. Tomczyk said, “we are open minded about acquisitions, but they have to make strategic and financial sense.” When specifically asked about acquiring a major online competitor, Mr. Tomczyk went on to say “he wouldn’t rule it out,” but cited balance sheet issues as being of concern.


Prior Tiburon CEO Summits



As noted above, details on prior CEO Summits are also available here:

2008-2009, 2006-2007, 2004-2005, & 2001-2003