Two advisors from J.P. Morgan Chase have left to join their former colleagues at the LPL Financial-affiliated startup Faubourg Private Wealth Advisors, founded just four and a half months ago.
Six former J.P. Morgan Chase advisors now comprise Faubourg, along with one of the new additions, Bob Brown, who came from Chase Investments and J.P. Morgan Securities, according to the firm's website. Tim Aubin, who has seven years experience in the industry, left J.P. Morgan along with Brown.
"We looked at a lot of firms and came to the conclusion that it would be a better decision for us to take an independent path," Aubin says, and "not have to be worrying about the day-in and day-out of running a business."
At the bank, Aubin and Brown say they managed $207 million in client assets. Both provide holistic financial planning for clients, including oil and gas professionals and small business owners in the New Orleans area.
Faubourg Private Wealth, of Metairie, La., is on LPL's broker-dealer platform. It also provides fee-based services through Level Four Wealth Management, an independent advisor group serving more than 120 independent advisors across the United States on LPL's RIA platform.
Collectively, Faubourg's first five advisors say they managed $175 million before they broke away.
LARGE BRANCH LEVERAGE
Tapping into partners like Level Four is making it easier for advisors accustomed to large company services to go independent, Steve Pirigyi, LPL's executive vice president of business development, said.
"The trend over the last three to four years is the valuation proposition of these large branches has been getting better and better," Pirigyi says. "They have all the tools necessary to ensure the success of the advisor who join their practices."
For its part, Faubourg lured Aubin and Brown in part with an attractive, well-decorated office on the West Bank of New Orleans, Aubin says.
With so much back office support, he and Brown will be able to get out in front of clients much more than they could at the bank, he added.
David Soliman, who cofounded Faubourg along with Tyson Vandlandingham, said they are building a firm where advisors like Aubin and Brown can become partners in the company, while enjoying far greater autonomy.
'TRUE FIDUCIARY STANDARD'
"We wanted an environment where not only we could serve our clients to a true fiduciary standard," Soliman says, "but also provide that environment for other advisors as well."
"The partnership that we've been able to form with LPL with Level Four," he adds, "and the wide open architecture, I think it really gives us the ability to be the best advisors we can be for our clients."
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