In 2025, registered investment advisors saw multi-billion-dollar acquisitions, wirehouse breakaways, and a rise in court disputes. Leaders of top RIAs reflect on the year and predict continued market uncertainty as a growth driver in 2026. M&A activity is expected to surge, but prolonged market pullback could separate winners from losers.
Larry Restieri of Hightower Advisors highlights the maturation of the RIA space, with technology improvements and market uncertainty as key growth drivers. He emphasizes focusing on their game plan regardless of market conditions to ensure success in 2026.
Peter Mallouk of Creative Planning notes competitive consolidation as a major trend in 2025. He predicts a fiery M&A market in 2026, with larger firms joining forces. Mallouk warns that a prolonged market pullback could lead to winners and losers among RIAs.
Marty Bicknell of Mariner Wealth Advisors celebrates hitting $14 billion in organic assets in 2025, driven by a dedicated business development team. He foresees a rise in wirehouse reps going independent in 2026, urging firms to focus on retention strategies amidst increasing advisor switching. Bicknell stresses the importance of maintaining a unique culture amidst rapid growth. In 2025, the RIA sector shifted focus to meeting client expectations, offering different engagement options, and professionalizing services. Growth in 2026 will come from diverse channels, meeting clients where they are, and building trust over time. Concerns for 2026 include a prolonged bull market causing complacency and the need for long-term client relationships.
McKinsey predicts more AUM in RIAs than traditional wirehouses, revealing a seismic shift in the industry. Growth drivers in 2026 include breakaway advisors, independent RIA formation, and ongoing wealth creation. High transformation and uncertainty pose potential challenges for growth in 2026 due to geopolitical evolutions and rapid technological advancements.
In 2025, RIAs expanded services to include tax, estate planning, insurance, and family office services. AI engagement with clients and utilization of AI investment analytics will be key in 2026. Market headwinds give the most concern for growth in 2026, as they may erode revenue and hinder reinvestment when needed most.
In 2025, trends in the RIA sector shifted towards integrators over aggregators, emphasizing the importance of the W-2 model. Minority capital partnerships were also prominent. The shift towards minority capital partners was beneficial for Merit Advisors in 2020, highlighting the importance of strategic capital raises. In a recent interview, RFG Advisory CEO Shannon Spotswood highlighted the importance of the independent model for advisors and clients. She emphasized the need for firms to own the client, data, and advisor, predicting this trend to continue in 2026. Spotswood also identified the value of time for advisors and the importance of leveraging technology, team alignment, and intentional culture for growth.
Meridian Wealth Management’s Rick Kent discussed the key growth drivers and potential challenges facing the firm in 2026. Kent emphasized the need for advisors to find a cultural fit with larger firms and the importance of developing leaders to keep up with rapid growth. He expressed concerns about the pace of growth and the potential impact on the firm if enough leaders are not developed.
Looking ahead to 2025, Merit Financial Group’s Alex Goss shared insights on the firm’s recent capital raise and the influx of smart money seeking minority capital investments. Goss highlighted the increasing number of advisors considering joining larger firms to better serve their clients and navigate the complexities of growth. He stressed the importance of cultural fit and predicted it would play a significant role in the future of the industry.
Read more at Yahoo Finance: Wirehouse Breakaways, Service Expansion, More M&A to Dominate 2026