How to value a client bank in a trail-less world

TRAIL-FREE

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In the first of a new series of adviser guides, Rebecca Jones examines the best (and worst) ways to acquire a client bank.

The Retail Distribution Review (RDR) has created a buying opportunity for some advisory firms as other, more wearied advisers decide to retire or sell their businesses in favour of a quieter, less regulated life. Yet, while the big fish can easily gobble up the minnows, navigating the rough seas of the acquisition process can be trickier for smaller firms. This is especially the case now, when traditional valuations based on trail commission no longer stand up to scrutiny. Nonetheless, expanding your client base is a crucial step towards creating future growth and, where an opportunit...

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