RIAs Manage More and Larger Plans than B-D Plan Advisers

August 11, 2011 (PLANSPONSOR.com) – Pulse Logic has announced the completion of its Annual Syndicated Study of Retirement Plan Registered Investment Advisers (RIAs).  

The study reported that RIAs sell and service larger plans than do broker-dealer registered plan advisers. RIAs' average qualified plan assets from new sales exceeded $10 million in 2010, the average for registered plan advisers fell below $5 million.  

RIAs were also seen to hold more retirement plans under management – respondents reported an average of more than 25 plans – than registered plan advisers, who averaged between 10 and 15 plans.  

According to the announcement, the majority of RIAs remain optimistic, and reported few concerns; less than 15% cited new regulations, compliance, and the uncertainty of the market as potential threats to their business.  

The study revealed key differences between broker dealer affiliated advisers and independent retail RIAs as well, and reported that the behaviors, attitudes, preferences and production of these two groups are very distinct.  

"This report demonstrates that the RIA market has significant differences to the broker dealer registered adviser channel,” said Kendall Kay, Director of Pulse Logic, in a press release. “Any firm venturing into the RIA channel should have a heightened awareness of this market and come prepared in order to avoid costly pitfalls.” 


-Sara Kelly