Building An RIA Model That Delivers Optimal Advice

Plancorp is moving the independent RIA model forward with a purpose. In this Q&A, Ranie Verby, the firm’s Director of Practice Management, shares how it’s integrating AI into real workflows, fostering collaboration between advisors, and investing in behavioral finance to boost every client interaction. If you care about the business and craft of providing financial advice, and want to see how one leading firm is designing for the future, this is the conversation for you.

Q: How is Plancorp leveraging AI to enhance advisor efficiency without sacrificing the human touch clients value most?

A: The human connection is what makes our client relationships valuable and resilient, so we’ve known for years we don’t want to use technology to take away from that, only enhance it. This was a critical goal for us when we originally looked to integrate AI solutions within our workflows.

There was no shortage of options for disjointed plug-ins with limited functionality, but we felt confident our approach needed to make the client’s life easier or make the advisor’s life easier so they could focus on connecting and developing new relationships. As we’ve rolled out Cognicor, a co-pilot style AI that sits within our CRM, we’ve gotten feedback that clients, advisors, and planners are all seeing benefits of using AI to capture and surface more information to inform meetings, plans, and connection.

Q: What role do AI-driven tools play in improving the advisor experience and reducing administrative burden?

A: It seems like you can’t go a day without hearing about some new AI-backed tool that will change your life. I think everyone understands the value of something like  an AI note taker, but to get a lot of value out of tools beyond that, you have to be able to feed in the right data. None of the tools you see will work well without it.

So, it all came down to embedding a tool like Cognicor in our source of truth system so tasks like generating agendas or recaps were valuable. We really want to use it as a way to surface the right information at the right time so the advisor can make informed decisions and spend their mental bandwidth connecting with the client instead of editing notes, tracking down old information etc. We’re seeing prep work go faster and get to a deeper level, freeing up the advisors to get creative and connect, which is exactly how I’d like to see our team’s time be spent. We don’t have the approach of driving to ultimate efficiency to load up advisors with more clients than you can reasonably handle. 

Q: Plancorp emphasizes being “one firm, one team.” How does this philosophy translate into a better quality of life for advisors compared to traditional RIA models?

A: The RIA field being so entrepreneurial is a big reason the industry has grown so much, but there are some natural ‘cons’ to that approach that can lead to silos in practices of all sizes. Silos limit capacity, and ultimately that will limit the depth of advice offered to clients.

We feel strongly that every client is a client of the firm, so they can benefit from our collective wisdom. It’s easy to say that, but we had to organize our workflows and incentive programs in such a way that territorialism doesn’t trump client care. That’s the part a lot of firms can miss. If the client is your north star and everyone is incentivized to work together, it takes the pressure off of every advisor to know everything. 

Q: Why does Plancorp believe collaboration — not siloed books of business — is the future of wealth management?

A: Again, it all comes down to providing the best advice and care to clients, even while investments and planning gets more commoditized. We want every client to have access to our Subject Matter Experts and the experience of the entire firm, not just of one advisor. We see the most ideal outcomes happen when you’re able to tap into the specific knowledge you need on a topic and marry that up with someone who’s been tied into the client relationship for years. It’s a resilient combination, even in the face of AI. We’re in the midst of an “AI scare”, but similar to how the robo-advisor scare didn’t end the power of a real human relationship with a firm, neither will AI.

Q: How do behavioral finance programs and partnerships (e.g., Shaping Wealth curriculum) elevate the advisor-client experience?

A: One key to any advisor’s success is empathy. We need to continue growing in our understanding of human behavior in order to best practice this skill. Behavioral Finance, and specifically our curriculum developed by Shaping Wealth, keeps this growth front of mind for every advisor at Plancorp. Empathy and continuing to build strong relationships with our clients are key priorities at Plancorp, and we believe these skills matter not only for our clients, but for anyone who is fortunate to be in the lives of our advisors. We’re hoping that advisors with this mentality will see Plancorp as a great place to practice their craft, not only as strong technicians, but as true advocates for their clients. 

Q: What qualities does Plancorp look for in advisors who want to help build the next generation of wealth management?

A: If I had to distill things down, we are the best place for thoughtful, passionate advisors to practice and hone their craft. If you put client care at the top of your list, a willingness to collaborate across the team, and an interest in finding the best way to do something instead of relying on how something has always been done, you’ll thrive at Plancorp. We’re still building the future of Wealth Management together, and we know there’s a high ceiling for others who want to join in that mission.

Q: How do you see the advisor role evolving over the next five years, and how is Plancorp preparing for that shift?

A: Going back to the power of behavioral advice and the reality that more components of traditional financial planning are being commoditized, it’s really coming down to that advisor relationship. How can we foster relationships where your advisor understands your vision for life, and then can bring financial planning in to support that instead of trying to squeeze clients into boxes of set services or insight. Things are going to need to get more bespoke to stay above the ‘AI line’ and connect with clients in a way where they feel there is value out of not only the advice, but in having someone who really understands them.

*For informational purposes only; should not be used as investment tax, legal or accounting advice. Plancorp LLC is an SEC-registered investment adviser. Registration does not imply a certain level of skill or training nor does it imply endorsement by the SEC. All investing involves risk, including the loss of principal. Past performance does not guarantee future results. Plancorp’s marketing material should not be construed by any existing or prospective client as a guarantee that they will experience a certain level of results if they engage our services, and may include lists or rankings published by magazines and other sources which are generally based exclusively on information prepared and submitted by the recognized advisor. Plancorp is a registered trademark of Plancorp LLC, registered in the U.S. Patent and Trademark Office.