As advisor transitions and retirements accelerate, Cerulli Associates and 55ip report that roughly 10 percent of financial advisors are expected to move firms or consolidate their practices in 2025. According to InvestmentNews, the trend underscores the growing importance of clear client messaging around succession, continuity, and long-term service stability.

Advisors continue to prioritize autonomy and better technology. However, transitions come at a cost. Advisors switching firms lose an average of 22 percent of client assets. Moves to independence result in an 18 percent asset drop, while intra-independent firm transitions see an 11 percent loss.

Meanwhile, more than one-third of advisors are preparing for retirement over the next decade, representing 41 percent of total industry assets. Among those, 15 percent plan to sell their practices externally. That number rises to 33 percent among independent RIAs.

The RIA space has seen rapid growth fueled by outside investment and sustained M&A activity. By 2028, one-third of all advisors are projected to operate in the independent RIA channel. Larger RIA firms—those managing over $1 billion in assets—now control 74 percent of the channel's total assets, largely due to strong compliance infrastructure and robust tech platforms.

For many advisors, affiliation with RIA consolidators offers access to succession planning tools, transition assistance, and centralized operations. These features are increasingly attractive as advisors seek strategic partners to support long-term growth.

Still, the lack of defined succession plans remains a major risk, especially for independent RIAs. InvestmentNews reports that advisors aiming to maximize practice value must prioritize structured transitions that highlight continuity, deepen client trust, and demonstrate the value of enhanced services.

Financial Advisor Transitions consults advisors nationwide to explore employment transition options and to preserve and protect their practice in any transition that they make.