Fidelity Enhances Breakaway Broker Tool With Customizable Analysis

With the rate of breakaway brokers continuing to rise, Fidelity Investments enhanced its Transition Solutions program so that brokers considering such a move can analyze how three independent business models would impact their business: becoming an independent RIA, partnering with a third-party roll-up or acquiring a firm, or joining an independent B/D.

The tool takes into consideration annual production, current payouts to deferred compensation, office location and 50 different expenses ranging from salary to insurance—to generate a customized financial 10-year income projection for each of the three models.

“Making the decision about whether to go independent can be tough,” said Michael Durbin, president of Fidelity Institutional Wealth Services. “Every situation is unique, so we work with each individual broker or team to understand their goals and concerns. Our resources can then help brokers evaluate their options, putting them in a better position to make the right decisions for their businesses and their clients.”

In addition, Fidelity has published a whitepaper called, “Options for Independence.” Year-to-date, Fidelity has helped nearly 170 brokers transition to independence.