Financial Adviser Links: Anchoring Reality

A weekly summary of financial adviser-related links from Abnormal Returns, featuring podcasts, business updates, and news on Charles Schwab, RWM, investing, taxes, and advisers. Notable links include a look at RIA M&A, Schwab's Advisor Services custody business, and the challenges of estate planning.

This week, Abnormal Returns brings you a roundup of podcasts, business updates, and news on Charles Schwab, RWM, investing, taxes, and financial advisers. Notable links include a look at RIA M&A, Schwab's Advisor Services custody business, and the challenges of estate planning.

Charles Schwab's Strong Q2 Results

Charles Schwab reported impressive second-quarter results, with adjusted earnings per share (EPS) of $1.14, exceeding the $1.10 estimate and up 56% year over year. Revenue reached $5.85 billion, rising 25% year over year. The company's profit margin expanded by 10.7 percentage points to 47.9% [2].

Schwab's success is driven by a diverse set of income streams, including a 31% increase in net interest revenue, a 14% rise in asset management and administration fees, and a 23% increase in trading revenue. Despite higher expenses, the company maintained a steady expense-to-asset ratio, demonstrating operational efficiency. Schwab's strong balance sheet and robust liquidity position further support its financial health.

Atlas Acquires Central Wealth Management

Atlas Financial Services has acquired Central Wealth Management (CWM), a registered investment advisory (RIA) firm based in Madison, Wisconsin. The acquisition increases Atlas' total assets under management to more than $230 million. CWM will continue to operate under the Atlas brand while maintaining its Wisconsin office [1].

Eric Heiting, the founder of CWM, will take on the role of president and head of wealth management at Atlas. Heiting, with over 20 years of experience in the financial services sector, specializes in alternative investments. The acquisition aligns with Atlas' forward-thinking vision and commitment to innovation, aiming to modernize wealth management services.

RWM and the Challenges of Estate Planning

The challenges of estate planning remain a significant concern for financial advisers. RWM, a leading provider of wealth management solutions, offers a range of services to help clients navigate complex estate planning issues. These services include tax planning, asset allocation, and trust management.

Estate planning is a critical aspect of financial planning, as it ensures that clients' assets are distributed according to their wishes while minimizing tax liabilities. RWM's expertise in this area helps clients protect their legacy and ensure the smooth transfer of wealth to future generations.

Investing, Taxes, and Advisers

Abnormal Returns also covers a range of topics related to investing, taxes, and financial advisers. The site provides insights into the latest trends, strategies, and best practices in these areas. For instance, investors are advised to stay informed about tax laws and their impact on investment decisions. Financial advisers are encouraged to stay updated on regulatory changes and new technologies that can enhance their services.

Conclusion

This week's summary highlights the importance of staying informed about the latest developments in the financial services industry. Whether it's understanding the latest financial news, learning about investment strategies, or navigating the complexities of estate planning, Abnormal Returns offers valuable insights for investors and financial professionals alike.

References

[1] Atlas acquires RIA firm Central Wealth Management - Private Banker International
[2] Charles Schwab Q2 Revenue Rises 25% - Nasdaq