Going Independent in 2026
Short answer: Going independent as a financial advisor means leaving a W-2 firm to own your practice, usually through an independent broker-dealer, a hybrid RIA or your own RIA. In the first half of 2026, 46% of advisors who left the four largest wirehouses went independent, according to trade-press counts. The right model depends on your book, your team and how much of the business you want to run.
Key takeaways
- Independence trades a recruiting check for higher payout and equity in your own business.
- Supported independence (independent broker-dealer or hybrid platform) is the most common first step.
- An independent RIA offers the most control and the most responsibility.
- Plan for 6 to 12 months of transition work and a temporary dip in revenue.
Why are so many advisors going independent?
Advisors leave for control: over pricing, technology, staff, client experience and eventually the sale of the practice. Grid changes and deferred-comp rules at the big firms add pressure each year.
In the first half of 2026, about 1,449 advisors left Merrill, Morgan Stanley, UBS and Wells Fargo while 932 joined, a net loss of roughly 517. About 46% of those leaving went independent and about 24% went to another wirehouse.
Sources: first-half 2026 wirehouse advisor movement as reported by WealthManagement.com and InvestmentNews; Broker Protocol status as reported in the trade press. Figures are third-party estimates and can be revised.
Independent broker-dealer vs. hybrid RIA vs. independent RIA
| Model | You own | Firm provides | Trade-off |
|---|---|---|---|
| Independent broker-dealer | Your clients and practice | Compliance, technology, product shelf, back office | Platform fee and some product rules |
| Hybrid RIA | Your practice plus your own advisory business | Brokerage license for commission business, plus support | Two compliance regimes to manage |
| Independent RIA | Everything, including the firm | Custodian and vendors you choose | You run compliance, HR and operations |
Many advisors start in supported independence and later form their own RIA once the business is stable.
What does going independent cost?
Expect real costs: office or remote setup, technology, staff, insurance and legal work. Platforms often cover part of them with transition assistance, and independent payouts usually run well above wirehouse grids. Model it before you decide, because the first year carries the most risk.
Firm-by-firm guides for breakaway advisors
- Leaving Merrill Lynch
- Leaving Morgan Stanley
- Leaving UBS
- Leaving Wells Fargo Advisors
- Leaving Edward Jones
Free download: the Financial Advisor Transition Report 2026 compares every wirehouse. Already independent? See what Fidelity’s $100M RIA custody minimum means for your firm.
Going independent as a financial advisor: the steps
- Decide what you want to own. Pricing, brand, staff, technology, equity value. Rank them.
- Pick the model that matches. Supported independence, hybrid RIA or your own RIA.
- Review your agreements. Non-solicits and Broker Protocol status shape what you can do on day one.
- Build the budget and the move plan. Staff, tech, custodian and a client communication calendar.
- Resign and repaper fast. Industry research from Cerulli suggests most assets that move do so within the first 12 months.
Sources: first-half 2026 wirehouse advisor movement as reported by WealthManagement.com and InvestmentNews; Cerulli Associates research on asset retention. Figures are third-party estimates and can be revised.
Find out if going independent fits your practice
We will model independence against staying put and against other firms, at no cost to advisors.
FAQ: going independent as a financial advisor
How much do I need to go independent as a financial advisor?
There is no fixed minimum, but most supported-independence platforms look for about $25 million or more in assets, and running your own RIA usually makes sense at a larger scale.
Do independent advisors make more money?
Payouts are typically much higher than wirehouse grids, but you also pay expenses. Net income depends on your costs, growth and how quickly clients follow you.
Will my clients follow me if I go independent?
Most advisors keep the majority of their book when the move is planned well, but results vary. Client relationships, agreements and speed of repapering matter most.
Should I join an independent broker-dealer or start an RIA?
If you want ownership without running operations, start with a broker-dealer or hybrid platform. If you have the scale and staff to run compliance and operations, an RIA offers the most control.
About the author: Marc Elia is the founder of UpTick Consulting Partners, a financial advisor recruiting firm and transition consultancy in Red Bank, New Jersey. He works with experienced advisors and teams weighing a move between wirehouses, regional firms, independent broker-dealers, hybrid RIAs and independent RIAs.
About UpTick Consulting Partners: UpTick is paid by receiving firms, so its consulting is at no cost to advisors. UpTick is not an investment advisor and does not provide investment, tax or legal advice. 646.734.0334 · marc@uptickrecruiting.com · uptickrecruiting.com