Can one person’s revolutionary investment offerings genuinely change the game in the financial advisor industry? The answer may lie in the story of Ivan Illán, a visionary entrepreneur who has disrupted the traditional approach to wealth management and transformed it into an opportunity for financial advisors nationwide. With a focus on sharing knowledge and empowering others, Illán has created a unique investment advisory offering that sets him (and the firm he founded) apart from the competition. Let’s delve into his journey and explore how his innovative approach is leaving a lasting legacy in finance.
Recognizing the Problem: Passive Intermediaries
It all began over 15 years ago when Illán recognized a significant problem within the financial advisor industry. He noticed that many advisors had become passive intermediaries, simply plugging their clients’ portfolios into turnkey asset management platforms (TAMPs) and stagnant model portfolios. While this approach may have been operationally convenient, it left clients disconnected from the decision-making process and deprived them of the personalized investment portfolio attention they sought from their financial advisors.
Bridging the Gap: An Active Approach to Wealth Management
Illán believed that financial advisors should actively manage their clients’ money, making informed asset allocation decisions and guiding them through the intricacies of portfolio management. He understood clients expected their advisors to deliver value beyond just acting as intermediaries. This realization fueled his desire to create a solution to bridge the gap between client expectations and industry practices.
The ACGM Total Portfolio Solution Suite™: A Comprehensive Offering
His vision results in a comprehensive wealth management firm offering a range of services, including financial planning, estate planning, business exit strategies, and corporate executive risk planning. At the core of these offerings lies the ACGM Total Portfolio Solution Suite, a set of four portfolio strategies encompassing cash, stocks, and bonds with a global diversification approach, from Low Growth to Aggressive Growth risk spectrums. However, what sets this suite apart is its discerning nature. It actively evaluates economic and business cycles, making strategic asset allocations based on capital market forecasts and their proprietary economic perspectives.
Audited Performance History: Tangible Results
The success of Illán’s investment approach is not merely a claim but backed by audited performance history. Unlike many financial advisors who rely solely on external managers to handle different aspects of their clients’ portfolios, Illán’s firm takes full responsibility for all investment decision-making. This allows them to demonstrate their track record of recommendations on asset allocation throughout the economic cycle. While Illan believes no one can perfectly time the market, he doesn’t believe this should result in a total abdication of duty in making prudent asset class exposure decisions.
Empowering Financial Advisors: Collaboration and Differentiation
By sharing their expertise and providing tangible results, Illán’s firm empowers financial advisors to differentiate themselves in a crowded market. RIA firms can partner with the firm through sub-advisor agreements, and an Investment Adviser Representative (IAR) may join AWAIM directly, enabling them to operate independently while accessing a wealth of solutions and alternatives. Additionally, the firm collaborates with Centers of Influence like CPAs and attorneys, offering revenue-sharing opportunities that foster collaboration for the benefit of clients, through the AWAIM Alliance Program.
Direct Client Experience: Transparency and Personalized Strategies
Illán’s commitment to transparency and collaboration also extends to direct retail investors. While the firm has a minimum investment requirement, they understand the importance of providing a direct client experience. Their focus is not on being the biggest in the industry but on delivering value to clients through their expertise and disciplined investment approach.
Reshaping the Industry: Leaving a Lasting Legacy
In a world where many financial advisors are content with basic, catch-all portfolio solutions, Illán’s revolutionary investment offerings stand out. They emphasize active management, unique allocations, and a deep understanding of global economic factors. Rather than following a one-size-fits-all approach, Illán’s firm provides personalized strategies and educates clients on the reasoning behind their investment decisions.