The Wealth Management Growth Formula with Brett Bernstein

Episode 031: The future of wealth management is about a strategic balance between people, technology, compliance, and marketing. Investing in skilled professionals, robust tech platforms, stringent compliance measures, and effective marketing strategies will be crucial to capture new opportunities and attract the attention and loyalty of the next generation of clients.

In this episode of The Connected Advisor, Kyle talks with Brett Bernstein, CEO & Co-Founder at XML Financial Group. Brett is an active financial advisor assisting clients with his holistic approach to goal-setting and problem-solving. He manages the operations of the firm, including its M&A strategy. His experiences working at Merrill Lynch, LPL, and as an RIA gave him a comprehensive understanding of the industry from different angles. Brett is also involved in various nonprofit organizations, including So What Else, a grassroots charity that supports at-risk youth.

Brett talks with Kyle about the importance of technology and innovation in wealth management and the need for firms to invest in people, compliance, and marketing. Brett shares his insights on the industry's future, including the consolidation trends and the shift toward growth. He also emphasizes the value that financial advisors bring to clients and the need for firms to adapt to the preferences of younger generations. 

Join us as we discuss: 

• [03:04] - The money moment that led Brett to financial services.
• [05:14] - The analogy between a doctor and a financial advisor.
• [06:40] - The greatest attribution to XML's growth.
• [09:15] - How Brett allocates capital to turbocharge XML's growth.
• [12:05] - Technology investment vs headcount investment in scaling businesses.
• [14:25] - The value of hiring a Chief Technology Officer (CTO).
• [18:30] - Brett's thoughts on the future of financial services.
• [23:49] - The need for specialization in M&A planning.
• [26:13] - What it takes to build an M&A specialization.
• [29:40] - Brett's involvement with So What Else.
• [32:32] - One place Brett would love to travel.
• [33:15] - The best pitch Brett has ever heard from a kid's Shark Tank competition.

Key Takeaways

• Wealth management firms need to invest in technology and innovation to meet the expectations of younger clients.
• Mergers and acquisitions will continue to be prevalent in the industry, driven by the aging advisor population and the need for succession planning.
• The future of the wealth management industry will require firms to invest in people, technology, compliance, and marketing to stay competitive and capture new opportunities.

Quotes

"Other people want to turbocharge their growth but don't have the entrepreneurial spirit, the backing, or the desire to do it on their own. So if they can plug into something already set up, having the technology stack, the marketing stack, and the operational team, they get to where they want to get faster." ~ Brett Bernstein

"It's okay to say, 'That's not something I focus on. Let me bring in someone else who does.' I think people have to have a little humility and get over their egos and say, 'What’s right for my firm so I don't put my firm at risk? What’s right for the client so the client has the best experience?" ~ Brett Bernstein

Links 

• Brett Bernstein on LinkedIn
• XML Financial Group
• So What Else
• Maryland Smith
• Merrill Lynch
• LPL Financial
• Focus Financial Partners
• eMoney Advisor
• John Bogle
• Vanguard
• Fidelity Investments

Connect with our hosts

• Milemarker.co
• Kyle on LinkedIn
• Jud on LinkedIn

Subscribe and stay in touch

• Apple Podcasts
• Spotify
• YouTube
• Google Podcasts

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