In the financial advisor industry, the concept of actively managing client portfolios has been overshadowed by the rise of turnkey asset management platforms (TAMPs) and model portfolios. However, Ivan Illán, a seasoned expert in the field, recognized the need for a more personalized approach. With a deep understanding of the importance of intellectual capital and the value it can bring, Illán has made it his mission to share his wisdom and mentor others. Through his investment advisor offerings, he aims to empower financial advisors nationwide to leverage intellectual capital to benefit their clients.
Addressing the Problems in the Industry:
One of the key problems in the financial advisor industry is the disconnect between clients’ expectations and the reality of portfolio management. Many clients hire financial advisors with the belief that they are entrusting them to actively manage their money. However, the industry has shifted towards outsourcing this responsibility to third-party programs and model portfolios, leaving clients disconnected from the decision-making process. Illán believes that clients deserve transparency and a true understanding of how their money is being managed.
The Power of Intellectual Capital:
Illán’s approach challenges the industry’s belief that nobody can beat the markets or add value through active investment management. He emphasizes the importance of sharing intellectual capital and believes that if something is good, it should be shared. By formalizing his wisdom into investment advisor offerings, Illán provides financial advisors with the tools to deliver a comprehensive and discerning approach to portfolio management.
The Core Offering:
Illán’s firm, AWAIM® (Aligne Wealth Advisors Investment Management), offers a comprehensive wealth management solution that includes financial planning, estate planning, business exit strategies, and more. At the core of their services lies the ACGM Total Portfolio Solution Suite™, consisting of four portfolio strategies that encompass cash, stocks, and bonds with global diversification. What sets these portfolios apart is the meticulous allocation process that considers economic and business cycles. The firm’s verified performance history, audited annually, demonstrates its ability to make informed decisions across asset classes. The belief is that not all asset classes are worth holding at all times like so many TAMPs do.
Differentiation and Secret Sauce:
AWAIM’s unique approach lies in its ability to consider multiple factors and global economic themes to determine portfolio weightings and correlation coefficients. Unlike algorithm-driven models, the Investment Committee relies on the expertise of its human team, who have been trained to think critically and make informed decisions. The firm’s performance track record relative to trillion-dollar managers in core portfolio offerings highlights the effectiveness of its approach.
Providing Value to Clients and Advisors:
AWAIM serves three primary clients: financial advisors, Centers of Influence (e.g., CPAs, attorneys), and direct retail investors. Financial advisors can partner directly or indirectly, benefitting from the firm’s Hybrid RIA structure and gaining access to a wide range of wealth solutions. Centers of Influence can collaborate through the AWAIM Alliance Program, which enables revenue sharing on referred clients’ investment advisory fees, fostering successful outcomes. Direct retail investors (with a minimum of $500,000 of investable assets) can experience AWAIM’s comprehensive private wealth management services, including M&A investment banking, specialty financing, and other HNW financial needs.
Conclusion:
Ivan Illán’s dedication to sharing intellectual capital and providing personalized, active portfolio management sets AWAIM apart in the financial advisor industry. By formalizing his wisdom into investment advisor offerings, Illán empowers financial advisors to deliver value-driven solutions to their clients. AWAIM delivers strong performance relative to benchmarks and their commitment to transparency and client education make them a trusted partner for financial advisors and investors alike. Through its differentiated approach and track record of success, AWAIM leaves a lasting legacy and builds a foundation for future growth and innovation in the industry.