David Miller, founder of Peach Capital, describes his roll-up strategy in financial services to Nathan Latka.
Insight
Miller: Financial advisory practices run like fiefdoms due to lacking tech
“The average, Nathan, the average financial advisory practice in the space is a two to ten-man woman shop, and it's run like a fiefdom because of lack of operating systems, like a technology that's changed the environment, and we help, and it's not because of i…”
Insight
Miller: Robo-advisors will need human advisors when the market turns down
“The strong robos, they embrace the human advisor. They embrace the human element. They realize whenever the market turns, you know, turn south, which we, you know, we haven't had a recession since June of 2009 turn south. It doesn't matter whether you have 10,…”
Assertion Not checkable as stated
Miller: Peach Capital's ARPU is $1,900 per retail client
“Our current average ARPU is, is 1900 for the end client, the end retail client, not the advisor.”
Prediction Not checkable as stated
Miller: Peach Capital ARPU will reach ~$5,100 per retail client
“When our service model is, is implemented more efficiently and we bring on more wealth management firms, our ARPU is going to be about 5100 per end retail client.”
Assertion Supported
Miller: Peach Capital will finish the year at $7.5M in revenue
“We were number one 22 on the 5000. How many thousands of percents that was we'll end the year this year in at 7.5 million.”
Assertion Partly supported
Miller: The average financial advisor is 61 years old
“The average age of a financial advisor is 61 years old, and 10, even more importantly, 10% of those advisors are under the age of 35.”