Memphis Broker Takes Over Planner Consolidator
Wealth Trust has found a majority backer in Morgan Keegan. All full-service brokers want to move into fees. Tiburon quoted saying that the independent fee advisor channel is clearly the customer preferred method today. Morgan Keegan appears to be buying its way in.

Planners Picking Stocks Kick Funds in Fundament
There is a growing number of fee-based advisors who have begun to shift some money out of mutual funds in recent years. Tiburon quoted saying that it sees a growing number of planners starting to pick some equities.

Exchange Traded Funds Set to Explode on Market
Exchange-traded index funds have grown dramatically during the last year and, along with the growth of separate accounts, have played a significant role in the slowing flow of money into mutual funds. The growth of ETFs is occurring in an environment of increased friction between mutual fund companies and active financial advisors. Tiburon quoted saying that most fund companies view active financial advisors as market timers, day traders, or gamblers who trade too frequently. However, the article also utilized Tiburon research to note that active financial advisors now account for 10-20% of all fee-based advisors.

Going on Roll to Roll Up Fee-Based Planners
After months of studying the fee-based financial planner market, Canadian financial services company Assante Corp. is finally preparing to unveil a business model that it hopes will encourage advisers to sell. Tiburon quoted suggesting that Assante may succeed as the firm is capitalized, knows the advisor business, and has a technology platform and operations unit in RWB that can create synergies.

The Changing Adviser Landscape
Consolidator firms are buying up independent financial advisers and promising to deliver efficiencies and networking support. Article utilizes Tiburon research as background for summarizing the state of the industry.

Schwab to Recommend Stocks
In June 1999, David Pottruck, Charles Schwab & Co. co-CEO, stated that the firm would be offering individual stock recommendations within a year. Tiburon quoted saying that it can envision Schwab distributing factual information and historical data on stocks.  For many years Schwab has been looking more like Merrill Lynch, giving more help, advice, and tools.

Schwab Aims to be Full of Beancounters
Charles Schwab & Co. is trying to build investment management interest, one group of accountants at a time. Starting in October, Schwab will sponsor "how to" seminars in Illinois where accountants are keen to handle assets. Tiburon research quoted suggesting that one-third of the nation's 60,000 CPA firms are contemplating the introduction of investment management services.

Who is Buying Financial Advisory Practices?
There has never been such a flurry of interest in ownership, succession, and valuation as has occurred in the past year. The flurry seems to show a fair amount of motion and increasingly movement. Article notes that there are two firms especially well-positioned to serve this market: The first is Tiburon.

World Revolves Around Retail, So TCW Puts Galileo on Shelves
TCW Group, a heavyweight asset manager for pension funds, is the latest to expand its business to retail investors throughout the increasingly crowded financial advisor market. Tiburon quoted saying that institutional players entering the field of high-net-worth investors are doing well and are joining one of the fastest growing channels.

The NASD’s Power Grab
The NASD is worried that brokers are playing a game of "regulatory arbitrage" - giving up their securities licenses to become investment advisors and thereby sidestepping strict SRO oversight for lax advisor supervision. Tiburon quoted saying that the fee-based advisor segment is growing by 36% per year and an estimated 1,800 new fee-based advisors went into business in 1996, and this high growth rate is expected to continue.

Fees Versus Commissions: A Bear Market Showdown
There’s a Definite Trend Out There Toward Fees, But Does it Make Any Difference to Your Bottom Line? Many brokers who have shifted away from commissions over the past decade have indeed built a substantial base of assets and are doing quite well. But, how does the profitability compare? Fee-based pricing hasn't been tested by a sustained correction or a bear market, until now. Tiburon quoted as saying that fees at times can be more profitable for brokers if they calculate the time they put into working with a client. A broker may only have to meet with a client once a year and still collect a 1% fee. Tiburon suggests that we'll see unhappy people moving between fee-based brokers and commission-based brokers as they look for new help.

Many Brokers Who Have Shifted Away From Commissions Over the Past Decade Have Indeed Built a Substantial Base of Assets and Are Doing Quite Well
[Summary Coming Soon]

H&R Block to Tackle Advice Field
H&R Block quietly has registered as an investment advisor and has set up prototype financial planning shops in three Ohio cities and one in Nashville, TN. Tiburon quoted saying that the middle-market is actually a good segment to go after for investment advice today mostly due to emergence of 401k plans. Focusing on consumer needs and offering consistent service will be key to success.

Give ‘Em What They Want: You Can Beat the Competition by Better Understanding Client Buying Behaviors
Article written by Tiburon's Managing Principal Chip Roame. Profiles the competitive landscape for the financial services industry and specifically how to segment the financial advisor & investment manager market. Concludes with the three keys for being a successful advisor which starts with studying the buying behaviors of one's clients.

Money in Motion: Roughly 76% of Private Client Assets are With Brokers or Retail Banks
[Summary Coming Soon]

Efficiency Versus Independence; Stalemate in Adviser Acquisitions
A fragmented legion of independent financial advisors controls a growing share of the retail investment business. Meanwhile, an increasing cadre of larger financial services companies is on the prowl to buy these firms. Tiburon quoted saying that bigger financial institutions are looking for recurring revenues such as those that financial planners bring in, and therefore consolidation will be inevitable. The article further quotes Tiburon as saying that not a lot of activity has occurred yet, but predicts that over the next five years it will increase.

The Next Target
[Summary Coming Soon]

Great Expectations: Looking for More Assets to Manage, Some Banks...
[Summary Coming Soon]