Leaving the stability and resources of a big bank can be difficult, but for former Goldman Sachs wealth advisor Gary Hirschberg, the scales finally tipped in favor of independence this year when he realized how competitive RIAs had become.
The combination of "stellar" wealth management technology and diverse investment options available in the independent space wowed him, Hirschberg said.
This wasn’t the case five to 10 years ago, but “it has changed enough that RIAs can now compete with the Goldmans of the world and produce the same investments,” said Hirschberg, who oversaw $1.4 billion while at Goldman Sachs.
He also added that having the flexibility to run a brand free of institutional constraints was very attractive as well.
Through a partnership with Dynasty Financial Partners, Hirschberg formed Aaron Wealth Advisors in Chicago. He will focus on serving entrepreneurs, multigenerational families, and family offices. The inspiration for the firm's name came from Hirschberg’s grandfather and the biblical character of the same name who both, in his mind, stand for the ethics and integrity he hopes his brand will uphold.
“We will now be able to consult on all aspects of our client’s balance sheet, not just the liquid asset base. This will greatly enhance our ability to give them holistic investment advice,” Hirschberg said. “And, for those clients that wish to invest with an eye to social impact, we will be specializing in ESG asset allocations. We believe this is a critical emerging area of investments for certain clients and we want to be a part of it.”
Hirschberg opted for Dynasty after being impressed with its transition team.
“I spent hours in meetings with Dynasty and there wasn’t a single person I didn’t like. They have the experience and knowledge to help me do this,” he said.
For the past 12 years, Hirschberg served as a vice president and private wealth advisor at Goldman Sachs where he assisted high-net-worth multigenerational families, in particular with taxation and philanthropy needs.
Hirschberg has his eyes on quick growth not just in AUM, but in advisors to take on board. He intends to open a second office next year in Indianapolis.
To help him achieve this goal, he’s recruited David VanFossen as chief operating officer and chief compliance officer from BMO Bank, Bill Andrakakos as director of investments from Northern Trust, and Georgette Condos as director of client services and experience from Morgan Stanley.
Dynasty, Raymond James and Stifel are among the biggest beneficiaries of recent advisor moves.
In addition to relying on the back office support of Dynasty, Hirschberg opted to use Schwab for custody services and Addepar for consolidated asset and performance reporting.
“I wanted to hire a group of veteran folks that came from different institutions and backgrounds to help produce the best ideas around this space and build a truly independent firm,” Hirschberg said.
He stressed that he did not want to replicate his Goldman experience or simply create a private practice from former clients.
“We want to make it easy for other advisor teams to break away from captive models, or merge their RIAs with ours, and be able to integrate into a firm with the resources and ethical brand worthy of their clients,” he said.
