If you’ve ever suffered through the retirement of a trusted doctor, instructor or insurance agent, you know how disorienting it can be to feel like you have to start all over with a new one. That disruption is exactly what Moneta Group’s Sustainable Business Plan is designed to avoid, explains Moneta Group principal Jim Blair.
“People with a lot of tenure who have helped build the business are establishing the next generation of advisers in relationships with clients so that we meet those client needs seamlessly for the next 20 to 30 years,” he says. “This new generation is working at my hip. They have sat in hundreds of client meetings over the years, and they’ve seen us answer every question, gaining an incredible amount of insight.”
That notion of seamless transfer is especially important in the financial services sector, where people have entrusted their resources and investments to someone over the course of decades, in many cases, says Blair. Few other relationships are as firmly rooted in trust. Blair says the firm is focused on cultivating a business model that provides continuity of top-notch care by mentoring young advisers to ascend to principal status.
This is not the case everywhere, points out principal Linda Pietroburgo. “Two-thirds of firms do not have adequate succession planning,” she says, citing a 2011 article from FA Insight. “This is a real issue in our industry, because many advisers are in their 50s and older, and there is more demand than there is supply. Especially with baby boomers progressing to retirement, a lot of people will be looking for services, and there are simply not as many advisers there to provide it.”
Both principals point out how important, and forward-thinking, Moneta Group has been in its attention to this issue. At Moneta, the client never has to worry about placing their financial security in a stranger’s hands, Pietroburgo says. Affording young advisers a high level of access also is good for the firm, she adds. “These young advisers are a lot more comfortable with technology and pushing the envelope of how we communicate with clients; they want to see us get in front of what the next generation of clients is going to expect,” she notes. And there is another practical benefit. A principal doesn’t always have the time or opportunity for a face-to-face. For example, when an established client passes down money to a child or grandchild, a member of the team, rather than the principal, might be a better fit for establishing that new Moneta relationship. “We still have oversight, so the young client benefits from our expertise,” explains Pietroburgo, “but the communication resides with the up-and-coming advisers.”
“In the past week alone, I sent team members to three different places in the country,” Blair adds. “I simply wouldn’t have had the time to do that myself. It’s working with smaller pieces of the next generation, but those are critical building blocks for the future success of Moneta.”
By Stephanie Zeilenga
Photo by Bill Barrett
Pictured: Linda Pietroburgo and Jim Blair
Moneta Group is a personal financial advisory firm located at 100 S. Brentwood Blvd., Ste. 500. For more information, call 314.726.2300 or visit monetagroup.com.
