Jonathan Foster, former president of Carson Wealth Management Group, the Omaha-based RIA firm, has launched his own RIA firm, Angeles Wealth Management.
Foster, president and CEO of the new firm, is looking to build a team of advisors who will bring institutional-level wealth management services to HNW and ultra-HNW investors, particularly households with $5 million to $50 million in investable assets. He actually used Angeles Investment Advisors, the new firm’s parent company, while serving on the board of two non-profit groups that used Angeles Investments institutional advisory services. It sparked an idea, Foster said.
“If we could figure out a way to take a high-quality firm advising on $40 billion of assets and make it available to the private client market non-watered down way, we should do it,” Foster said.
During his two-year tenure at Carson Wealth Management, Foster oversaw the firm’s move to a mostly fee-only business model, he said. Foster and Carson remain close and in touch, but he wanted to follow through on the idea to bring institutional-level services to HNW clients. So he left the firm a year ago to develop the concept for the new firm.
The target net worth range is large enough to allow Angeles Wealth Management to allocate clients’ money in a wide range of asset classes. Yet such families are often too small to hire dedicated investment teams. Foster hopes to bridge that service gap with the new firm.
Angeles Wealth Management will not be a platform company for an advisor who wants to be a money manager. Neither is the firm in the business of recruiting using traditional wirehouse methods, Foster said. An ideal Angeles Wealth Management advisor will be one who can look after the unique lifestyle and investment needs of wealthy families. Potential advisors can expect a perpetual payout on business they generate and referrals.
“If they can grow 5% a year on their own, and grow 15% a year here [through referrals], the compounding effect is huge over time,” Foster said.
Foster hopes to recruit as many as six elite advisors in about a year, he said.
“It is not about volume, but about the right people,” Foster said. “It is not ‘who is the biggest producer.’ Is it ‘who is the best at this job?’”
Donna Mitchell writes for Financial Planning.