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Advisor tool
What’s your earning potential as an RIA?
Want to understand how much you might earn by going independent—and some of the potential associated costs? Use our calculator to explore the economics of making a move.
What’s your earning potential as an RIA?
Thank you for your submission! Take a look at your results, including an in-depth view of your estimated business value over 10 years.
The benefits of going independent
As you discover more about what becoming an independent advisor might do for your earnings potential, it’s important to keep in mind some of the main advantages of making a move.
Greater control
As an independent advisor, you can offer clients a higher level of service and more access to products and solutions—allowing you to be the primary growth driver of your business.
More revenue flexibility
You can choose a business model that complements your goals, where you can decide how much revenue you keep and the level of control and support you want.
Growth with expert support
Going independent doesn’t mean doing it alone. Fidelity can help you streamline your transition and guide you as you grow your business over time.
IMPORTANT INFORMATION: This tool should not be construed as advice of any kind. Fidelity Investments® does not provide financial or investment advice. The information contained in and the data generated by this tool are hypothetical in nature and is provided for informational purposes only and may not reflect your particular situation. Fidelity does not confirm the accuracy of the data input into this tool. You should conduct your own analysis, review and due diligence based on your specific situation. As you conduct your review of your needs and specific situation, you should understand that each option you consider may carry a certain amount of potential financial risk to you. This risk may increase as the option you consider moves further to the fully independent model. You are responsible for evaluating your own practice and making appropriate decisions for your firm. This tool is not meant to be exhaustive of all possible options you may consider. The data provided are estimates only. There may be additional factors to consider. Fidelity does not confirm the accuracy of data input in this tool.
The RIA Valuation Tool uses data from Fidelity’s annual RIA Benchmarking Study to estimate potential net income based on data you provide. The data used to generate tool results are intended to provide you with a general idea of what you may expect in each future scenario. The RIA Valuation Tool is for illustrative purposes only. The projections or any other information generated by our methodology regarding the likelihood of the various outcomes are hypothetical in nature, do not reflect actual results, and are not guarantees of future results. The projections may have certain inherent limitations since they do not reflect the actual impact that material economic and market factors might have on the RIA’s business. Numerous factors make the tool’s calculations uncertain, such as the use of assumptions about historical revenues and expenses and the data you have provided. Results may vary with each use and over time. Earnings comparison is based on data sourced from Fidelity Investments and third-party service providers. Fidelity Investments cannot guarantee the accuracy or completeness of the data provided by any third-party company.
Take a look at your potential earnings
| Your Input Summary | |||
|---|---|---|---|
| Business model: | 00 | # Principals/owners: | 00 |
| Assets under management: | 00 | Additional/misc. expenses: | 00 |
| Total revenue production: | 00 | Non-owner advisor compensation: | 00 |
| Payout percentage: | 00 | Non-owner staff compensation: | 00 |
| % of assets retained: | 00 | Operational expenses: | 00 |
| # Employees: | 00 | ||
Reach out to us to receive your analyzed results via email, or to learn more about going independent.
| Year 1 Revenue & Expenses | ||||||
|---|---|---|---|---|---|---|
| Revenue | Your Current Model | Fully Independent Model (RIA) | ||||
| Gross Revenue | $ Value | % of Revenue | ||||
| Revenue Lost to Payout | $ Value | % of Revenue | ||||
| Net Revenue | $ Value | % of Revenue | ||||
| Total Overhead Expenses | Your Current Model | Fully Independent Model (RIA) | ||||
| Non-Owner Advisor Compensation | $ Value | % of Revenue | ||||
| Non-Owner Staff Compensation | $ Value | % of Revenue | ||||
| Operational Expenses (Risk, Reg, Tech, Office) | $ Value | % of Revenue | ||||
| Additional/Misc. Expenses | $ Value | % of Revenue | ||||
| Total Overhead Expenses | $ Value | % of Revenue | ||||
| $ Value | % of Revenue | |||||
| Firm EBITA | $ Value | |||||
| EBITA per Owner | $ Value | |||||
| Potential Valuation | $ Value | |||||
| Equity per Owner | $ Value |
IMPORTANT INFORMATION: This tool should not be construed as advice of any kind. Fidelity Investments® does not provide financial or investment advice. The information contained in and the data generated by this tool are hypothetical in nature and is provided for informational purposes only and may not reflect your particular situation. Fidelity does not confirm the accuracy of the data input into this tool. You should conduct your own analysis, review and due diligence based on your specific situation. As you conduct your review of your needs and specific situation, you should understand that each option you consider may carry a certain amount of potential financial risk to you. This risk may increase as the option you consider moves further to the fully independent model. You are responsible for evaluating your own practice and making appropriate decisions for your firm. This tool is not meant to be exhaustive of all possible options you may consider. The data provided are estimates only. There may be additional factors to consider. Fidelity does not confirm the accuracy of data input in this tool.
The RIA Valuation Tool uses data from Fidelity’s annual RIA Benchmarking Study to estimate potential net income based on data you provide. The data used to generate tool results are intended to provide you with a general idea of what you may expect in each future scenario. The RIA Valuation Tool is for illustrative purposes only. The projections or any other information generated by our methodology regarding the likelihood of the various outcomes are hypothetical in nature, do not reflect actual results, and are not guarantees of future results. The projections may have certain inherent limitations since they do not reflect the actual impact that material economic and market factors might have on the RIA’s business. Numerous factors make the tool’s calculations uncertain, such as the use of assumptions about historical revenues and expenses and the data you have provided. Results may vary with each use and over time. Earnings comparison is based on data sourced from Fidelity Investments and third-party service providers. Fidelity Investments cannot guarantee the accuracy or completeness of the data provided by any third-party company.
Your estimated first year earnings potential
We used your inputs from the RIA Valuation Tool to create this chart to help highlight what you could expect to take home during your first year as an RIA. Keep in mind that this is an estimate, not a definitive future outcome.
Your estimated business value over 10 years
Based on your inputs, we crunched the numbers to come up with your estimated business value over the next decade. This estimate assumes stable business growth and economic conditions.
Your business's estimated total value over 10 years
Your business's estimated total value was calculated using your inputs from our RIA Valuation Tool. Total value combines cumulative income and valuation; it also assumes stable business growth and economic conditions.
- Valuation range estimates provided by Advisor Growth Strategies. Additional M&A research available through The Deal Room Report.
- You should consult with you legal, compliance and tax advisors when considering whether to become an independent RIA.