How the RIA Industry has Evolved

EXCELSIOR CAPITAL PRESENTS

How the RIA Industry has Evolved

Andy Sathe is a Shareholder at MCF Advisors (a boutique Registered Investment Advisor with offices in Greater Cincinnati, Lexington and Louisville) where he serves as an advisor to business owners and clients who tend to prefer long-term relationships and thoughtful decision-making.

Back to all Podcasts

Go Beyond Marketing and Create a Better Customer Experience

Podcast: How the RIA Industry has Evolved

In this episode, Andy shares about the differences between a broker dealer, registered investment advisor (RIA), and trust company, and how each model evolved. Andy stresses that the fundamental question for clients should be what problem do they want to solve, not who they want to work with. The fee structure, business model, and incentives of a particular The RIA industry has seen a tremendous amount of consolidation in the last ten years, with private equity firms buying up firms in the space. This has been good for some, as economies of scale are gained, but it can also create issues, such as the loss of personal touch and succession planning. While the proliferation of RIA’s is great for clients, it can be confusing for advisors who may not be used to working with so many different firms.

Key Highlights

[00:01 – 06:16] How Registered Investment Advisors Offer Clients More Choices

Registered investment advisors (RIAs) offer clients holistic, integrated investment management services
The RIA model evolved in the 1980s and 1990s to address the growing demand for personalized service
The incentives of a RIA should be the driver of decision making

[06:17 – 18:00] RIAs Advise Clients on the Pros and Cons of Private Equity

Why there are people who approach us who are really interested in running their own transaction
Why private equity is entering the retirement account space, but clients may not be happy with the experience
Private equity owners are looking for ways to save costs and increase profits, which could disrupt funds within the industry
Clients should ask their wealth manager about their ownership structure and capitalization, as any question could be on the table during a transaction

[15:44 – 22:21] Real Estate Sponsors Remain Stable Amidst Uncertainty

There has been an increase in 1031 investors, a reduction in retirement account investment, and a decrease in purchase price from early in the year
The market is challenging and the value proposition for sponsors is harder to prove
The Fed wants rates to increase slower but terminal value will be higher than anticipated earlier

[22:22 – 31:51] Alternative Investments: A Guide to Keeping Clients Safe in a Volatile Market

There is a lot of volatility in the stock and bond markets, which is keeping many people up at night
There is a general feeling of angst among investors in the current market conditions, with many questioning why this downturn is happening and how long it will last
All we can do is reinforce the plan that has contemplate situations like this

[31:52 – 34:38] How to Profit from Market Volatility

There is a lot of change happening in the wealth management industry, with millennials becoming more involved in holistic planning
There is a shift from baby boomer to millennial planning, with robo advisors becoming more prevalent
There are opportunities for businesses to come in and automate parts of their planning process, bringing peace of mind to clients

[34:39 – 36:55] Closing Segment

Additional Links:

Brian’s Linkedin: https://www.linkedin.com/in/brian-c-adams/

The Ultimate Guide to Commercial Real Estate Investing

Learn everything you need to know to assess the benefits of a commercial real estate investment and make the best decisions to get started.

The Rate Cut Story Is Falling Apart. Here’s Why That’s Not the Risk.

The risk to commercial real estate right now isn’t that rates fail to fall. The risk is that a lot of strategies were built around assuming they would — and the strategies built to perform without that assumption are now facing a very different set of questions than the ones being asked in most outlooks.

What It Means for Commercial Real Estate and Why We are Positioned for What is Coming

The AI Reckoning: What It Means for Commercial Real Estate — and Why We’re Positioned for What’s Coming

AI and robotics represent the most significant structural shift in the commercial real estate landscape since the rise of e-commerce. Unlike prior cycles, this one simultaneously threatens the largest CRE sector (office) while creating sustained tailwinds for the physical-world assets that cannot be digitized away.

Our Morning Rotation: A Behind-the-Scenes Look at Our Favorite Podcasts

While we spend our days analyzing market cycles and asset performance, our commutes and workouts are often spent listening to pundits, interesting personalities, and storytellers who remind us that finance is ultimately about human behavior.

Real Estate in 2026: Why We’re Moving Toward a New Value Cycle

There has been a lot of discussion lately about the “maturity wall” and the general stress facing the commercial real estate market. It’s a reality we are all navigating. For the first time in a decade, the industry is dealing with the fact that the cost of capital has fundamentally shifted, and the assumptions made just a few years ago are being tested by today’s environment.

From Outlook to Action: Capturing the 2026 Retail Reset

In our 2026 Commercial Real Estate Outlook, we characterized the current market as a period of “measured hopefulness.” As we move into January, the strategy is shifting from high-level observation to the active pursuit of yield.

2026 Commercial Real Estate Outlook: Optimistic Pressure is Building

As we close out 2025 and look toward the opportunities that 2026 presents, the U.S. commercial real estate (CRE) market finds itself in a state of Recovery, albeit within a persistently challenging macro-environment. We characterize the current condition not as a setback, but as a measured move in industry hopefulness.

Rethinking Resilience: Why the 60/40 Portfolio is Ceding Ground to Alternatives

The investment community is facing a pivotal moment, recognizing that portfolio resilience requires moving beyond outdated models. This observation was reinforced by recent insights from an Axios newsletter detailing the concerns of major institutions like JPMorgan.

Navigating the Debasement Trade: Is Commercial Real Estate included?

Investors are exploring the debasement trade more closely which emphasizes owning assets such as gold and bitcoin that benefit from eroding fiat currencies and inflation.

Excelsior Capital Blogs, Webinars & News

Excelsior Capital

A real estate private equity firm that owns and operates high quality multi-tenant office assets in emerging secondary markets.

Excelsior Capital

104 Woodmont Blvd, Suite 120
Nashville, TN 37205



investors@excelsiorgp.com

Disclaimer: Under no circumstances should any information presented on this website be construed as an offer to sell, or solicitation of an offer to purchase any securities or other investments. This website does not contain the information that an investor should consider or evaluate to make a potential investment. Other materials related to investments in entities managed by Excelsior Capital are not available to the general public.