Why does a $2.2 billion advisor team leave its brokerage after some three decades?
Tom Salvino says the reason came into focus after 10 prospective clients in the last two years said the same thing: They only wanted to work with a pure fiduciary.
It was this preference — expressed by the team’s existing clients as well — that became a driving factor in the group’s decision to leave William Blair and open their own RIA earlier this month.
Performance Wealth, based in the Greater Chicago area, is itself a family affair: Salvino serves as CEO; Salvino’s father, Al Salvino, is chairman and still works with clients; and John Salvino, Tom’s brother, serves as president.
The team’s decision to open an RIA underscores how, even during a pandemic, financial advisors are moving into the independent channel. Approximately 64% of 540 financial advisors who made a career move in 2020 chose the independent channel, according to Fidelity’s 2020 Advisor Movement
Salvino and his team also wanted to offer banking and trust services to clients as well as remove conflicts of interest by opening an independent firm.
Tom Salvino started with William Blair in 1993, according to FINRA BrokerCheck. His father, Al, joined the firm in 1988.
The advisor team notified clients of the new venture via email Jan. 15, Salvino says, and has been on the phone with clients since, explaining the new model and offerings at the firm.
“We're five days in and overwhelmed by the [positive] reception,” says CEO Salvino. One client called Salvino up, he says, stating he would quadruple his assets at the firm.
“That was pretty neat,” says Salvino, who also mentioned that they have picked up about six new clients since Jan. 15 from client referrals.
Performance Wealth chose Charles Schwab as its custodian, particularly due to their banking services, integration with wealth management platform Addepar and its designated service team.
Salvino says his team turned down several recruiting offers from Wall Street firms before opening their own RIA.
“We're going to build a business for the next 30 years, not the next three years and take a check,” Salvino says.
LPL Financial and indie rivals like Raymond James, Wells Fargo FiNet and Kestra Financial completed at least 17 recruiting grabs of $800 million or more this year.
Also on the team are Tom Salvino’s daughter, Grace Salvino, who joined the firm approximately eight months ago and manages its next generation outreach for current clients; and wealth managers Charles Lesser and Anes Kadiric, according to Performance Wealth’s website.
In addition to its Hinsdale, Illinois office, Performance Wealth has offices in San Diego and Naples, Florida.
John Salvino was named as a 2019 Financial Planning 40 Under 40
William Blair has more than 100 advisors, according to its
A spokesman at the company declined to comment.
