Financial Advisor Opportunities

Transcription

1 Financial Advisor Opportunities 2018

2 B. Riley Wealth Management B. Riley Wealth Management (BRWM) is a boutique wealth management firm with a national presence Premier offices in major markets and regional locations Approximately 175 advisors both as traditional employees and independent contractors A platform that distinguishes BRWM from regional firms, wirehouses and Independent Registered Investment Advisors BRWM advisors benefit from access to capital markets services, sophisticated investment banking resources and award-winning proprietary equity research 1 BRWM provides an environment which encourages an entrepreneurial spirit and a culture of independent thinking 1) Services provided through B. Riley FBR, Inc., a full service investment bank and wholly-owned subsidiary of B. Riley Financial, Inc. 2

3 What Separates B. Riley Wealth Management Our advisors are our priority. From senior leaders to regional and local managers, the core philosophy of BRWM is our commitment to growth and value for advisors and their clients. We strive to attract financial advisors who embody the entrepreneurial spirit that exists across B. Riley Financial companies. We define our culture around access to talented professionals at all levels across B. Riley Financial. We have the capabilities to support a variety of comprehensive wealth management practices. BRWM advisors have access to unique networking opportunities through B. Riley Financial events, including national conferences widely attended by thousands of institutional investors and corporate management teams. 3

4 B. Riley Financial, Inc. (NASDAQ: RILY) A publicly traded, diversified provider of financial and business advisory services. B. Riley Financial is comprised of collaborative financial services and solutions which can be leveraged to benefit the wealth management needs of individuals and families. BRWM Advisors Have Access to Unique Proprietary Capabilities The B. Riley Financial platform is uniquely positioned to offer its cross-platform expertise, resources and assets to better serve and maximize value for clients. Public company with market cap of over $550 million Professionals Combined 2017 company revenues of over $322 million 2 Headquartered in Los Angeles, with offices in major U.S. markets including New York, San Francisco and Washington D.C. 1) Calculated using stock price as of 12/4/17 and shares outstanding as of 9/30/17 2) Consolidated revenue for B. Riley Financial, Inc. for period ending 12/31/17, includes FBR & CO. and Wunderlich Securities, Inc. revenues for third and fourth quarters. 4

5 Geographic Footprint With locations from coast to coast, B. Riley Financial companies serve clients throughout the U.S. 5

6 Expansive Resources Our platform combines the technology of one of the world s largest financial services companies with the resources of B. Riley Financial. In-House Enjoy a full range of customizable investment products and solutions. Draw insight and knowledge from the expansive equity research expertise of B. Riley FBR, Inc. Institutional equity and fixed income trading desks located in New York, Los Angeles, Washington D.C. and San Francisco. Commentary and analysis by top ranked analysts. First Clearing 1 Engage wirehouse-level practice management and client access technology. Leverage the full range of lending and trust services of Wells Fargo. Access a vast library of third-party research from Wells Fargo Investment Institute, Credit Suisse, Dorsey Wright, Moody s and more. 1) First Clearing is a trade name used by Wells Fargo Clearing Services, LLC, Member SIPC, a registered broker-dealer and non-bank affiliate of Wells Fargo & Company. 6

7 Award Winning Insights: B. Riley FBR Research 60+ Research Professionals 27 Publishing Analysts 500+ Names Under Coverage BRWM advisors have unique access to extensive research coverage produced by B. Riley FBR analysts. B. Riley FBR s research coverage identifies the key issues across various sectors that can impact the market. The research is differentiated through originality of perspective, depth of insight and an ability to uncover industry trends. Sector Coverage*: Consumer B. Riley FBR Alpha Generator Industrials Energy and Natural Resources Composed from analysts top picks among each industry vertical, selections are based upon a unique perspective on a catalyst or other factors, which could present substantial upside potential over a 6- to 9-month period. B. Riley FBR Alpha Generators are published weekly with intra-week changes Financial Services announced via research briefs. Healthcare Real Estate Technology, Media, Telecom Washington Policy Analysis Providing a unique perspective and timely analysis of the ways in which regulatory and legislative trends and events affect market sectors and individual companies. Not for client distribution * Full list is available at ww.brileyfbr.com/research. 7

8 Capital Market Services Through B. Riley FBR Leading Initial Equity Offering Franchise, Small Cap Focused Investment Bank Full Service Platform Common and Preferred Equity, Convertible Securities, High Yield Debt, Restructuring, and Advisory Quality Research Platform 1 Extensive sector coverage and well regarded, highly experienced analysts #2 Lead Bookrunner of Initial Equity Offerings for Issuers with market Caps < $1.5 billion 2 World Class Distribution Broad distribution beyond the top 100 institutional accounts Investment Banking 80+ investment banking professionals Capital Markets Mergers & Acquisitions Corporate Restructuring Financial Advisory Public Title and Private Text Structured Equity Sell-Side Representation Buy-Side Representation Strategic Advisory Capital Advisory Fairness Opinion Business Valuations ATM Issuances Management Buyouts Liability Management Strategic Planning Baby Bonds and Debentures Institutional Brokerage and Research Sales and Trading Research Sales and Trading Professional 60+ Research Professionals Market-maker in 500+ Equity Securities 500+ Companies Under Research Coverage Cover 1,200 Institutional Investors $1.2B Median Market Cap 1) Research is provided by B. Riley FBR, Inc s Research Department, which is independent from the Investment Banking Department of B. Riley FBR, Inc. and has the sole authority to determine which companies receive research coverage and the recommendation contained in the coverage. 2) Source: Dealogic. Apportioned credit to all bookrunning managers: Rank Eligible transactions only, US and Bermuda Issuers Market Caps < $1.5 Billion -All Industries 1/1/ /31/ 2017 Initial Common Stock Offerings. Include deals transacted at predecessor firms and may not be indicative of future capabilities 8

9 Services for Individuals and Corporate Clients Investment Products: Equities Comprehensive Wealth Management for Individuals and Families Investment management Financial planning Options IPOs Bonds, UITs Retirement income Risk management and insurance Estate planning coordination Trust management REITs Alternatives Investment Services for Corporations Mutual Funds Annuities Insurance Managed Accounts Qualified plan and 401(k) advisory services Investment management and consulting for non-profits and foundations Corporate executive services Investment banking and directed share programs Business lending resources through third-party banking institutions 9

10 Envision Investment Planning Process Combining goal-based advice with sophisticated statistical modeling, the unique Envision process creates an effective, easy-to understand method for your client to prioritize and achieve important life goals. The process incorporates: Defining major life goals Ideal and Acceptable goals Prioritizing goals Stress testing goals Making a recommendation Implementation Monitoring progress with the Dot Updating goals and priorities The Target Zone and the Dot Envision technology uses a powerful statistical modeling technique to help confirm your clients are in the right Target Zone to achieve their life goals, without unduly sacrificing current lifestyle needs or being exposed to unnecessary risk. When the personal benchmark moves out of the Target Zone or their personal situation changes, BRWM financial advisors can make adjustments to get the investment plan back on target. This information can be displayed on their statements and online, where it is updated monthly. 1) Envision is a registered service mark of Wells Fargo & Company and used under license. 10

11 WISDM Model Portfolios The WISDM model portfolios give your clients more options, and you more time and productivity. Created and actively managed by the in-house Investment Solutions team exclusively for BRWM financial advisors, WISDM model portfolios give you and your clients a discretionary option based on BRWM Asset Management models, with some distinct benefits: Flexible Reliable Less time spent monitoring and choosing investments gives Fully documented, due diligence process and regular you more time to uncover new assets and develop new performance reporting to help you meet the new fiduciary relationships. responsibilities. Straightforward Accessible Simplicity in selecting appropriate investments for your clients Low minimum investment offers clients the professional, active with six investment strategies to match long-term goals and risk portfolio management usually available only at much higher tolerance. Choose from 24 mutual fund or ETF asset allocation- investment levels - $15,000 mutual funds; $25,000 for ETF based model portfolios, with or without alternatives. models. 11

12 WISDM Model Portfolios The Investment Solutions team constructs WISDM mutual fund and ETF models from a universe of more than 8,500 mutual funds and 1,800 ETFs, incorporating third-party analysis from fi360, Morningstar, Thomson and more. Manager performance is regularly monitored and all models are reviewed quarterly with responsive action taken as needed. Choose from a variety of investment strategies to match your client s long-term financial goals and risk profiles. Return Lower Higher Expectation Income Income with Growth Balanced Growth & Income Growth Aggressive Growth Lower Risk Expectation Higher 12

13 Alternative Investments Provide your high net worth clients with unique opportunities through offerings sourced through B. Riley FBR and B. Riley Capital Management, LLC: Alpha Research Portfolio Turnkey separately-managed account arrangement invested in an equally-weighted portfolio of the best stock ideas from the B. Riley FBR research universe B. Riley Proprietary Long-Only Strategies 40 act funds and separately managed accounts that allocate capital to the best ideas from the B. Riley FBR research group. Great American Capital Partners 1 (Qualified Institutional Buyers only) A specialty lending vehicle to provide non-traditional, opportunistic, asset based loans to underserved $1 trillion lower middle market. BRC Partners Opportunity Fund, L.P. 1 (Accredited Investors only) A special situations fund that focuses on long/short equity opportunities. The objective of the Fund is to deliver superior absolute returns, while minimizing risk through reduced net equity market exposure. Additional Offerings: CAIS Group: Alternatives-based funds and products including Millennium and Third Point Private Placements and 144A Offerings Additional strategies are selected through the firm s unique relationships after a stringent due diligence process Not for client distribution 1) Retail distribution approval pending. 13

14 Lending Solutions Lending solutions to fulfill many funding needs: Full scope of lending options Real Estate Education Funded through trusted third-party banking sources Debt Consolidation Securities-based lending available from $100,000 up to Senior Living $5,000,000 Tax Payments Unplanned Expenses Business Financing Non-purpose loans Custom loans and lines of credit for individuals and businesses Relationship-based pricing and high-touch service Referral compensation to advisors variable based on loan amount 14

15 Online Account Services B. Riley Wealth Management offers 24/7 online access to all client account information: Clients have access to up-to-date, detailed account information, the latest news and research reports, commentaries on current market and economic events, calculators and much more whenever convenient to them. View real-time account information for individual accounts or for your entire household. Title Download account information Text to Quicken or Microsoft Excel. Create a consolidated Portfolio Report for any combination of accounts to review real-time balances, an asset allocation pie chart and details of all holdings. Market information at your fingertips: Obtain real-time quotes, news, charts, company profiles, ratings, research reports and industry comparisons. Set up Market Alerts to receive alerts about individual securities, entire portfolios or specific industries. Launch Portfolio Tracker to get 15-minute delayed streaming quotes, news and charts on your desktop. Clients may receive updates throughout the day on market indexes, securities and breaking news on their portfolio, even after logging off Access Online. 15

16 Compensation Grid BRWM Payout Scale For Fiscal Year 2019 (effective July 1, 2018) Payout percentage Monthly Production Payout* Based on a rolling 3-month average of production; payout breakpoints are retroactive to the first dollar of production. Over $28,750 50% $25,000 to $28,749 45% $20,000 to $24,999 40% $15,000 to $19,999 35% $10,000 to $14,999 25% $0 to $9,999 20% * Highest Payout among regional and wirehouse firms for $600k to $400k producers according to OnWallStreet* Investment Banking Referral Fees Advisors will receive a finders fee of 10% on investment banking revenue. If a transaction occurs within 24 months of the initial engagement, then an additional fee of 5% will be paid on that subsequent transaction. Minimum Ticket Size: All equity tickets are subject to a minimum commission of $75 for payout. All bond tickets are subject to a minimum commission of $125 for payout. All option tickets will be paid on full grid payout if the commissions meet the minimum of the higher of $80 or $5/contract. If the commission charged for an option ticket is less than $20 plus $1.50 per contract, the difference will be charged to the advisor. All employee and related accounts are subject to minimum ticket charge of $25 plus $.01 per share on listed transactions. * Source: OnWallStreet magazine, April 24, 2018, Where s the Best Pay for Advisors 16

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