Corporate Valuation, Investment Management

February 12, 2018

What RIA Owners Need to Know About the New Tax Law

For this week’s post, we’re offering the slides and recording from our recent webinar on the tax bill’s impact on the investment management community.  On balance, we believe most RIAs are better off as a consequence of the legislation, but there are nuances to the “win.”  Specifically, the webinar covers the following observations on the recent bill:

  • U.S. equities have, overall, benefited from the tax bill

  • Higher valuations have driven ongoing revenues higher at investment management firms

  • Many RIA margins will expand as a consequence of improved economics

  • Investment management firm valuations will grow in many cases because of stronger cash flow

  • RIAs structured as tax pass-through entities (S corps, LLCs, Partnerships) may want to consider reorganizing as C corporations

So feel free to tune in or scroll through if any of these topics are pertinent to you or your firm. Download Slides

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