Centers Of Influence – A Declining Model

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Advisors have relied on centers of influence (COIs) to build their businesses.

Through relationships with lawyers, accountants, and other financial professionals, it’s been relatively easy to get referrals.

Not anymore.

Consistent referrals from COIs are drying up.

It is more and more difficult to get new COIs to trust you and start sending you referrals.

If that is what you are seeing, you’re not alone.

Marketing organizations and other “mother ship” industry leaders have been preaching the COI model as the best way to build an advisory business.

That was appropriate. But that channel to high-net-worth clients has been commoditized.