The Great Wealth Migration: Why Advisors Are Fleeing Big Banks
There’s a quiet revolution happening in the wealth management industry, and it’s not just about numbers—though the numbers are staggering. &Partners, a hybrid broker/dealer founded by former Wells Fargo Advisors CEO David Kowach, just snagged an $864 million team from his old employer. This isn’t an isolated incident. It’s part of a larger trend that’s reshaping the industry, and it’s worth pausing to ask: Why are so many advisors leaving established giants like Wells Fargo for smaller, independent firms?
The Allure of Independence
Let’s start with the obvious: independence is in. The Foothills Legacy Wealth Management team, led by Andrew Cook and Gerard Mehan, isn’t the first to make this leap. Earlier this year, &Partners recruited three other teams from Wells Fargo, collectively managing $1.6 billion in assets. What’s striking here isn’t just the scale of these moves but the consistency. These advisors aren’t jumping ship randomly—they’re flocking to a model that promises more autonomy and flexibility.
Personally, I think this trend reflects a broader shift in how advisors view their careers. In my opinion, the traditional big-bank model is starting to feel like a straitjacket. Advisors are realizing they can offer more personalized service, build stronger client relationships, and even grow their businesses faster outside the confines of a corporate structure. What many people don’t realize is that this isn’t just about money—it’s about control, creativity, and the freedom to prioritize clients over corporate mandates.
The Kowach Factor
Here’s where things get particularly fascinating: David Kowach’s role in all of this. As the former head of Wells Fargo Advisors, he knows the inner workings of the big-bank system better than most. Now, he’s leveraging that knowledge to build a compelling alternative. &Partners has already attracted 117 advisor practices, managing a whopping $58 billion in assets. That’s not just impressive—it’s a statement.
From my perspective, Kowach’s success isn’t just about his reputation or network (though those certainly help). It’s about his ability to tap into a growing dissatisfaction among advisors. He’s offering them a way out, and they’re taking it. What this really suggests is that the industry is at a crossroads. The old guard is losing its grip, and a new model is emerging—one that prioritizes independence, innovation, and client-centricity.
What’s Next for the Industry?
If you take a step back and think about it, this trend has massive implications. Big banks have dominated wealth management for decades, but their hold is slipping. Independent firms like &Partners are proving that there’s another way—one that’s more agile, more client-focused, and frankly, more appealing to top talent.
One thing that immediately stands out is the speed at which this shift is happening. Just a few years ago, leaving a big bank was seen as a risky move. Now, it’s becoming the norm. This raises a deeper question: What does this mean for the future of wealth management? Will big banks adapt, or will they become relics of a bygone era?
A Detail That I Find Especially Interesting
A detail that I find especially interesting is the role of culture in all of this. Advisors aren’t just leaving for better compensation or more autonomy—they’re leaving because they want to be part of something different. &Partners, for example, isn’t just another firm; it’s a movement. Kowach and his co-founders, Kristi Mitchem and John Alexander, are positioning it as a place where advisors can thrive on their own terms.
This cultural shift is often overlooked, but it’s crucial. In an industry built on relationships, culture matters. Advisors want to work in an environment that aligns with their values and aspirations. Big banks, with their bureaucratic structures and corporate priorities, are struggling to compete on this front.
Final Thoughts
As someone who’s watched this industry evolve for years, I can’t help but feel we’re witnessing a turning point. The migration of advisors from big banks to independent firms isn’t just a trend—it’s a transformation. It’s about more than money or market share; it’s about redefining what it means to be a wealth advisor in the 21st century.
Personally, I think this is just the beginning. As more advisors make the leap, we’ll see a ripple effect across the industry. Big banks will be forced to rethink their strategies, and clients will benefit from more personalized, innovative service. If there’s one takeaway here, it’s this: the future of wealth management belongs to those who embrace change. And right now, &Partners is leading the charge.
