As RIAs look for new ways to drive organic growth, paid referral services are becoming an increasingly important, and competitive, part of the wealth management landscape.
Gregory CEO and co-owner Joe Anthony recently spoke with Financial Planning about how advisors should evaluate these opportunities. His bottom line: referral programs can create new avenues for growth, but firms need to understand whether the cost of acquiring those clients ultimately supports profitable growth.
“It’s a lot easier when you have the scale and ability to overcome margin compression to get involved in two or three of these different lanes and see which works best,” Anthony told Financial Planning.
The article explores the changing advisor referral landscape, including new entrants and evolving custodial referral programs, and what those shifts could mean for RIAs seeking organic growth.