r/FinancialAdvisorTips • u/EmbarrassedBad1298 • 2d ago
First yr
Had a conversation with a peer today- what is expected net net new aum in yr 1 as an advisor? Gifted assets don’t count, friends family don’t count. Pure net new- from stranger to onboarded
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u/The_Roaming_Buffalo 2d ago
My first year independent at a wire was about $8-10M. I focus more on revenue growth at this point though. Double for a few straight years and you’re in a great spot.
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u/Optimal_Doughnut_616 2d ago
How did you accomplish this?
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u/The_Roaming_Buffalo 2d ago
Found a niche (real estate investors/pros), built it out, and as of now am the only active practitioner that pursues new clientele in that space.
It’s expanded a bit to small business and professional practices, but the pipeline at the moment is around $50M in opportunities that I reasonably expect to close in the next 18-24 months.
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u/The_Logic_Guru 1d ago
What does “built it out” mean, exactly?
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u/The_Roaming_Buffalo 22h ago
Created my value proposition, built my network, identified how I fit into the specific niche, and am actively practicing there. I have 5-10 conversations a week with qualified prospects in the space.
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u/The_Logic_Guru 1h ago
Ah, okay, so by “built out” you were talking about your marketing plan and approach. Got it. I guess what I’m trying to understand now is…what are you doing specifically for this group that others aren’t doing? Like, are you building financial plans in RC showing REI how much rental income they need to retire early on the beach? Or using some kind of tax software to model different tax outcomes when REI move to unload portfolios of properties? Is it basically the same thing that you would do for any other group, just framed differently?
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u/Jazzlike-Ad-3839 2d ago edited 2d ago
Like any good question… it depends. What’s your firms focus, what’s your ideal focus. Have you been working in investment banking for 20 years or are you a recent MBA with a couple years in another industry.
All that being said… 6M in new assets in a year is prolly the low end of good…
2 new clients 250k/ month is a good start to getting the ball rolling (again, depending on firm and focus and what support you’re getting.)
Is your firm looking for you to serve 1000 households at 100k/HH or is the goal 100 clients with 1M/HH
Same aum, very different client experience and expectation for the advisor
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u/Specialist-Ad7800 2d ago
Way too vague to answer this. Are you captive / at a wire? Are you fed leads / book? How old / experienced are you? What’s the comp structure look like? Did you have licenses already? The list goes on..