Waterhouse says it competes with Schwab from increased investment choices and a more integrated service platform. It offers a Web-based system called VEO through which advisors can access the MAP program Web site (which is really EnvestnetPMC's site customized for Waterhouse). "Advisors can create proposals there, print off the paperwork, deliver it to the client, have it sent back to us and we put it in the standard platform so the client or the advisor can download all the updated information on a daily basis," Murtha says.
Fidelity concentrates on the RIA market almost exclusively, working to offer it a broader wealth management strategy to complement the use of separate accounts. Its program offers functionality, support and products around a number of disciplines, including financial planning, trust services, separate accounts, alternative investments, corporate executive services and other securities. Holistic needs of wealth managers within the RIA community are a fundamental component.
Schwab concentrates, however, on providing advisors the complete ability to be an "overlay portfolio manager" and on offering a completely open product and service architecture, yet with outsourced professional services available and easily accessible.
Size can mean the difference in offering every capability that is realistically possible as opposed to only being able to cater to a few specialized groups. Schwab's structure can offer a great deal of flexibility to accommodate almost any type of advisory practice focus. They continue proving their viability through innovation and strength in the marketplace. Growth of assets under management, and the magnitude of their advisor alliance, is evidence enough.
Lisa Gray assisted with the research for this article.