According to a much-touted survey from Russell Investments, 75% of all the advisors out there expect to bump up their revenue this year by 10% or more, but there are questions about how everyone can do that at once.
In theory, all those advisors plan to ramp up their revenue to that extent by signing new clients.
That's a relatively noble ambition, but you have to ask whether the entire advisory channel can capture an extra 7 clients for every 100 it currently serves over the current 12-month period.
Where are these clients coming from? Maybe from the wirehouses, sure. Those clients may well be more mature and have more assets, thus boosting advisors' fees by a greater than average extent.
But there may not be many completely unadvised clients out there with appreciable assets. In that event, these "de novo" clients may boost the channel's client rosters, but not have a transformational impact on its top line.
Either way, if advisors compete with each other to capture these clients -- effectively cannibalizing each other's books -- then the dream of broad-based double-digit growth may not happen.
They've got to be thinking of raiding the wirehouses. It's that simple.