Skip to Main Content
SUBMIT A TIP RECEIVE DAILY NEWS
Menu AdvisorHub
  • News
      • Latest News
          • Lady JusticeRBC Team Seeks Tit-for-Tat Solicitation Halt Against Morgan Stanley
          • Morgan StanleyMorgan Stanley Q4 Wealth Revenue Up 24%, Profit Down 4%
          • Morgan StanleyMorgan Stanley Traders Drive Earnings Surge for Best Year
          • Merrill Lynch Exterior Sign and LogoMerrill Touts Success of Growth Strategy in Pandemic-Afflicted Year
        • Close
      • Advisor Moves
          • Boca Raton, FloridaRockefeller Lures Two Florida Teams with $9.8 Mln Revenue
          • Morgan Stanley, UBS Advisor movesMorgan Stanley Rehires $3.3-Mln UBS Team in North Carolina
          • Lars Olson of Sanctuary Wealth Partners in Marion, OHSanctuary Hires $435-Mln Merrill Team, Snowden Lures Another from Retirement
          • Stifel Investment CompanyStifel Hires 33-Year Brokerage Vet from Jefferies in Dallas
        • Close
      • Enforcement
          • Businessman in prison, fraudWells Fargo Claws Back $3 Million from Jailed Ex-Broker
          • Finra signFinra Fines, Supends Ex-Ameriprise Broker Who Flipped ‘A’ Shares
          • Barred from the securities industry.SEC Puts Nail in Ex-Morgan Stanley Broker’s Career Coffin
          • FINRAFinra Fines LPL $6.5 Million over Broad Supervisory Failures
        • Close
      • Markets
        • `Nothing Safer Than Cash’: Tech Rout Puts Silicon Valley on Edge
        • ‘Any News Is Bad News’ as Earnings Fail to Save Equity Bulls
        • ‘50 Cent’ Profited From Volatility Jump, Wells Fargo Says
        • ‘Beaten Down’ ETF Is a Way to Play Inverted Curve, BofA Says
        • Close
      • Opinion
          • Opinion-How-Will-The-Coronavirus-Affect-The-Stock-Market-Opinion: Coronavirus – What Advisors Need to Know
          • opinion-investors-conquered-fees-next-up-is-their-own-behaviorOpinion: Investors Conquered Fees but Not Their Own Behavior
          • Investor-Confidence-In-Stocks-Rightly-Declines-Opinion-772x485Investor Confidence in Stocks Rightly Declines: Opinion
          • Opinion-Schwabs-Zero-Commission-Decision-Challenges-Its-Ria-ClientsOpinion: Schwab’s Zero Commission Decision Challenges Its RIA Clients
        • Close
      • Fintech News
          • System outageMerrill Systems Hiccuped on Thursday as Stocks Slid
          • 7 dollar rolls‘The Rock’ Invests in Finance App Acorns, and New Users Get $7
          • TraderHigh-Frequency Traders Love Business With Robinhood
          • EtheriumJay Z, Charles Schwab-Backed Ethereum App Opens Doors to Public
        • Close
      • From the Publisher
          • 2021 PredictionsFrom the Publisher: Sirianni’s Predictions for 2021
          • Josh Rogers – 772×485Seven Questions with Tony Sirianni: Josh Rogers, Founder and CEO, Arete Wealth
          • Phil Hildebrandt — 772×485Seven Questions with Tony Sirianni: Phil Hildebrandt, Principal, CEO of Segall Bryant & Hamill
          • Christian Hyldahl, President of Varium Investment Partners-772×485An AdvisorHub Interview with Christian Hyldahl, President of Varium Investment Partners
          • John Peluso – 772×485Timely interview with John Peluso and AdvisorHub CEO Tony Sirianni
          • Louis Dworsky Coronacrash Interview-772×485Coronacrash Update: Hayden Royal’s Louis Dworsky & Tony Sirianni
          • Stratos_Jeff pic.jpg-772×485Coronacrash Update: Stratos Wealth Partners’ Jeff Concepcion & Tony Sirianni
          • coronacrash ben harrison – 772×485Coronacrash Update: BNY Mellon | Pershing’s Ben Harrison & Tony Sirianni
        • Close
    • Close
  • Deals & Comp
  • Recruiting Wire
  • Breakaway Center
  • Resources
    • resources-home-menuResources Home
    • PRACTICE MANAGEMENT RESOURCESPractice Management Resources
    • Transition ResourcesTransition Resources
    • Fintech ResourcesFintech Resources
    • menu fintechFintech Product Directory
    • Menu-Institute-772×485Institute
    • Boutique Wealth AdvisorsBoutique
    • EventsEvents
    • Asset Manager Hub
    • Close
  • AdvisorHub TV
  • Podcasts
  • RIA Center
  • Virtual Summit
close X
May 20, 2020

Coronacrash Update: Fieldpoint Private’s Christopher DeLaura & Robert McCabe with Tony Sirianni

by Tony Sirianni
|
Coronavirus Interview, From the Publisher
|
Fieldpoint Private
|
No Comments
Share This
SUBMIT A TIP
Christopher DeLaura, Director of Wealth Management, Fieldpoint Private, and President and CEO of Fieldpoint Private Securities, and Robert McCabe, Managing Director and Branch Office Manager

Advisor Hub CEO Tony Sirianni recently had a chance to sit down for a conversation with Christopher DeLaura, Director of Wealth Management, Fieldpoint Private, and President and CEO of Fieldpoint Private Securities, and Robert McCabe, Managing Director and Branch Office Manager.  They discussed what the last months have been like at Fieldpoint Private and their views of what the industry might look like coming out of this crisis.

The last few months have been unprecedented and unexpected, a perfect storm if you will, of management challenges both on the employee and client level. You have had to deal with employee safety issues that no executive has training for, and a directly correlated market crash. What have you implemented at your firm to address this dual threat? Take coronavirus first.   

Chris: Back in December, before any of this started, we implemented a fully virtual desktop for all of our colleagues. The idea was to free the desktop from its ties to our physical facilities, so we could function in the same environment, with the same tools and interface, whether we were at home on a Sunday, in the office on a Tuesday, or traveling to see clients.

We also implemented full e-signature capability, so we can open new accounts, process loans, etcetera, without the need for physical documents. And our bank has always been digital rather than bricks and mortar, with most of the traffic on mobile devices. 

Very early in this crisis we started testing groups of employees, and then full departments, working from home, and aside from a rotating skeleton crew for mail and teller services, we’ve been 100% remote since mid-March. These systems have worked flawlessly, and they’ve kept us safe and with our families, where we ought to be.

And the market crash?

Bob: Our clients have weathered the storm well, and we outperformed the S&P in Q1 as the crisis escalated. Their wealth is multi-generational, and we’ve always understood that managing tail risk over very long periods of time will prove to be the most important source of alpha. All of our methodologies, from asset allocation to manager research, are based on this. 

Broadly speaking, our clients tend to be roughly 50 percent equities, with the rest in fixed income, alternatives and cash. They also hold enough cash to get through downdrafts like this without having to sell with a weak hand. So they were really able to stick with their plans and it has served them well.

How about the continuing market volatility? What are you telling your advisors to do and what are you hearing from clients?

Bob: Well we’ve certainly gotten used to it, it’s part of investing.  It’s all about communication with our clients, regularly scheduled and ad hoc, and this has increased dramatically — often several times a week. This environment has us focusing on our active managers that can pick winners rather than hugging an index, and we’re updating our focus list to reflect this, and inviting our advisors to listen in on our quarterly calls with our managers.

Chris: But the market isn’t the only thing that’s been volatile, right?  No one alive has been through one of these events. So we’re talking with clients about their health and the emotional aspects of the fear and separation. As a trusted advisor you get involved in all of this.

One side effect of the crisis has been a perfect storm – in good way – for wealth planning. The AFR and 7520 “hurdle” rates are at their lowest levels ever, and the market sell-off and other asset price deterioration has made this the most hospitable time to implement certain GRATs and other techniques. We hosted an interactive conference call on this with our clients earlier this month.

What about the economy longer term? Where do you think we will be in 6 months, and how can advisors and their clients take advantage of that long-term direction?

Chris: Short-term, we’ve got our work cut out for us, but longer term we’re very optimistic.

We had 10 strong years, and then we got punched in the face.  No one knows the ramifications, but we believe in six months we’ll be in a better place. Until then, and after, there will be winners and losers. It will be important to have managers that understand this, and ours have been five times more likely to beat their benchmarks – after coming onto our platform – than managers industrywide.  So we’re confident that we are playing from strength.

Right now, we are seeing a divergence between the financial markets and the economy, and I believe that’s going to continue. The environment will continue to feel unsettled, and it will be more important than ever for clients to understand their tolerance for the next downdraft, but to stay invested. In the meantime, we’ve taken steps to help clients through the worst of this.

When this started we were not an SBA lender, however within 3 weeks we became an approved SBA lender, because our clients and advisors asked for it, when the big banks were turning clients away We’ve processed over 50 SBA PPP loans for our entrepreneur clients, to help them keep their people employed (over 1400 employees were positively impacted by this) and their own wealth plans on track. In fact, we processed one loan in 30 minutes and took a nearly 100-year old family relationship away from a Big Four bank, with the advisor in the center of the client experience, where they should be.  

What about our business? What do you think the long-term impact of this dual crisis will be on the advisor business model?

Chris:  Like any crisis, it will separate the weak from the strong, and the service cultures from the self-dealers. We had a record Q1 in wealth management revenue, and we are in the strongest capital position in the firm’s history. We have over $200 million in new wealth management wins coming during this quarter, because clients are consolidating with their trusted advisors at Fieldpoint, away from their other firms.

Bob:  I think this says something about the value of our model. The advisor and client come first. The firm serves their agendas, not the other way around.  These are times when that one-on-one relationship is essential, and that model simply doesn’t work at scale. When the you-know-what hits the fan, nobody wants to talk to a machine. 

I fear the crisis won’t be kind to a lot of the independent RIAs. There are RIAs that are taking PPP money, which means they’re getting a loan from the government to pay their people. Contrast that with Fieldpoint, which instead of taking PPP money made itself an SBA lender in three weeks, because our advisors said our clients need it.

Chris:  I think the other impact on our industry will be geographical. We’re watching geography disappear right before our eyes. Wherever we find the right talent and mindset, Fieldpoint has the technology to do business and support their success. I think we will see more of this, but it’s going to be a tough transition for the traditional firms and those that are resource-challenged.

So these things tend to bring out the good and the bad in people. What has most encouraged you, what have you seen that’s reaffirmed your faith in our community and how it’s handling these difficult times?

Chris:  It has been incredibly heartening to see what my Fieldpoint colleagues have accomplished these last few weeks. They are locked up at home, working from basements and kitchen tables, juggling toddlers and parents. No breaks, no vacations. And they’re responding to clients and one another in real time, over nights, on weekends, to do whatever it takes to help everyone get through this.  

At the same time, we’ve fed over 400 front-line nurses with a program that funds independent restaurants that are fighting to survive. Our people are pre-paying their barbers for haircuts when all of this is over, paying nannies that aren’t working, and doing dozens and hundreds of other things to make this easier for the people they touch. We were deemed an “essential” business, and that sounds pretty much spot-on.

Like this article? Let AdvisorHub come to you!  Sign up

Share This
No Comments

Leave a Reply Cancel reply

Tony Sirianni Podcast Banner

CORONACRASH NEWS

  • Merrill Touts Success of Growth Strategy in Pandemic-Afflicted Year

    Merrill Touts Success of Growth Strategy in Pandemic-Afflicted Year

    Jan 19, 2021
  • Raymond James Slashes CEO Pay 17% in Turbulent Year

    Raymond James Slashes CEO Pay 17% in Turbulent Year

    Jan 8, 2021
  • Solomon Sees Vaccine Bringing Goldman Staff Back by End of Year

    Solomon Sees Vaccine Bringing Goldman Staff Back by End of Year

    Jan 5, 2021
  • J.P. Morgan Bank Broker Cleared of Coronavirus Crash Claim

    J.P. Morgan Bank Broker Cleared of Coronavirus Crash Claim

    Dec 4, 2020
  • Edward Jones Broker Count Up 5%, Firm Pauses Branch Growth

    Edward Jones Broker Count Up 5%, Firm Pauses Branch Growth

    Nov 5, 2020

NEWS

  • RBC Team Seeks Tit-for-Tat Solicitation Halt Against Morgan Stanley

    RBC Team Seeks Tit-for-Tat Solicitation Halt Against Morgan Stanley

    Jan 20, 2021
  • Morgan Stanley Q4 Wealth Revenue Up 24%, Profit Down 4%

    Morgan Stanley Q4 Wealth Revenue Up 24%, Profit Down 4%

    Jan 20, 2021
  • Morgan Stanley Traders Drive Earnings Surge for Best Year

    Morgan Stanley Traders Drive Earnings Surge for Best Year

    Jan 20, 2021
  • Merrill Touts Success of Growth Strategy in Pandemic-Afflicted Year

    Merrill Touts Success of Growth Strategy in Pandemic-Afflicted Year

    Jan 19, 2021
  • UBS Wealth Warns Clients Crypto Prices Can Actually Go to Zero

    UBS Wealth Warns Clients Crypto Prices Can Actually Go to Zero

    Jan 19, 2021

FINANCIAL INDUSTRY PODCASTS

AllIndependenceSuccess
The must listen-to podcast for financial advisors by Tony Sirianni. Guests to include:
-Ron Kruszewski
-Shirl Penney
-Penny Pennington
-Eric Clarke
and many more
Michael Kitces and Carl Richards discuss financial advising topics.
Suzanne Siracuse asks the questions nobody else asks, as influencers and interviewer collide in her new and truly unique podcast series The Big Reveal.
The “new advice value stack,” and how firms can use it to help maximize their own value propositions for their clients.
The Brighthouse Financial Insights Panel is a group of leading, independent experts providing powerful insights into the big challenges facing you and your clients.
Equipping independent financial advisors with the tips, insights, and knowledge needed to evolve in every aspect of his or her life
Powering Independence Podcast, insights and ideas for RIAs, presented by Dynasty Financial Partners. A podcast dedicated to presenting fresh ideas and best practices for the wealth management industry.
As an industry expert, Frank LaRosa provides guidance and advice on a host of topics from recruiting and transitions, succession planning, practice management, M&A and more.
Our goal is to unlock the challenges to reveal the opportunities and what it means to provide advice in the 21st century.
Our webcast is dedicated to helping our viewers get real insights by avoiding the cognitive dissonance of today’s media outlets and biased editorial filters.
Go behind the scenes with registered investment advisors and other related independent business model experts
As a nationally recognized recruiter and consultant to financial advisors, Mindy Diamond has unmatched experience in introducing advisors to the independent space.
The must listen-to podcast for investors, venture capitalists and financial advisors, with Tony Sirianni and Paul Dietrich.
An Introduction to Independence: 5 Key Episodes to Jumpstart Your Knowledgebase
Jay is an investment strategist, CERTIFIED FINANCIAL PLANNER™ and business consultant to financial advisors.
In this podcast business owners, entrepreneurs and executives reveal their top tips for success.
We interview top financial advisors and visionary voices to bring you the strategies, tips, and tools you need to make a difference in people’s lives.
A financial literacy and commentary show that features a number of investors, financial experts, professional athletes, business owners and more.
Join Sound Financial Group CEO Paul Adams and President Cory Shepherd every week, as they help you Design and Build a Good Life™.
The Kuderna Podcast, focusing on wealth in it's original meaning- a state of well being.
Timeless wisdom, actionable information you can use right now to make smarter investment decisions.
Made for and dedicated to those folks serious about their financial plan.
Latest News 
Advisor Moves 
Enforcement 
Opinion 
  • About Us
  • Contact Us
  • Advertise
  • Events
  • Careers

 get our newsletter

Industry focused content and breaking news.

SIGN UP

Contact Us

EMAIL US

PO Box 253
Middleburg, VA 20118

311 W. 43rd St.,
12th Floor
New York, NY 10036

© 2021 AdvisorHub
  • |Terms of Use
  • |Privacy Policy
  • |Advertise
  • |Careers
  • Facebook
  • Linkedin
  • Twitter

Back to top