Kestra Financial’s Research Uncovers Key Factors Creating a Succession Planning Divide Between Firm Owners and Next-Gen Successors
In Kestra Financial’s first-ever industry study, we took a deep dive into financial advisor succession planning to analyze what’s working and what’s not as firm founders and owners (G1 Advisors) and next-generation advisors (G2 Advisors) navigate passing the torch and stepping into firm leadership.
Our study surveyed both G1 and G2 advisors affiliated with multiple independent broker-dealers and RIAs. All survey participants are at firms producing at least $750k in revenue (at least half of which is generated from individual retail investors).
Key Highlights from the Research
- 58% of G1s struggle to relinquish control despite wanting to retire
- 42% of G1s fear their clients will not be taken care of as well if they retire
- One out of three potential G2s claim they would consider leaving their current firm without a clear succession timeline
- Only 41% of G1s nearing retirement have transferred equity to their G2 successor(s)
Check out the full report to see how G1 and G2 advisors can collectively bridge the gap to overcome succession obstacles to ensure client care, secure their firm’s legacy, and maximize its enterprise value.
Download the Report
