FOX's comprehensive criteria measure whether a firm is providing an integrated wealth management solution. The LWA screening criteria is based on over 20 years studying the industry, and what wealth owners want and need at a level of liquid assets greater than $20 million.

Each firm in the LWA Directory was evaluated based on each of the following 10 criteria. Firms also were evaluated in totality, with consideration given in situations where specific metrics may not be applicable.

1. Financial Strength – Financial strength means the firm will have an increased chance of surviving through economic cycles and evolutions in the industry, and will be able to serve a family for the long term. Strength can be demonstrated by achieving a certain scale and sustaining profitability as the firm continues to grow. Criteria include at least two years in business with an experienced team, either at the current firm or a prior firm, consistent growth in assets and relationships, a sustainable ownership and governance structure, and proven firm profitability. 

2. Commitment to the multi-generational needs of families – Having a mission that reflects the commitment to the multi-generational needs of families demonstrates a firm’s ability and desire to serve clients who will not deplete their wealth in one lifetime.

3. Competency and tenure of senior management and staff – Appropriate industry credentials (such as CPA, CFP, CFA, JD), combined with an average of 10 or more years of experience for senior professionals in the private wealth advisory field are critical for serving the complex, integrated wealth advisory needs of ultra-wealthy clients. Such clients need an advisor who understands how decisions regarding investments, tax strategy, and estate planning impact each other.  

4. Client-driven relationship management – The average number of clients per team impacts the quality and depth of services provided, and attention offered to each family client. Firms in our directory operate most effectively with 10 to 20 relationships per client service team. 

5. Integrated service delivery process – A holistic approach to wealth management considers each planning decision based on the client’s situation (investment, tax, estate, etc.). Firms are evaluated based on their scope of services and service delivery model, looking not only at what services are offered but also how they are delivered and coordinated by the firm.

6. Disciplined investment process – A well-documented investment process and strategy is a key component of a wealth advisory firm. Firm capabilities should include development and maintenance of investment policy statements and investment committee review of recommendations.  

7. Diversified menu of investment products – Access to a broad range of investment solutions, including investment products (funds, managed accounts, ETFs, etc.) and asset classes is key to a comprehensive investment approach. While clients may want to access proprietary products of a firm, Leading Wealth Advisors provide an open architecture option, where clients are not required to buy a firm’s products.  

8. Comprehensive financial reporting – The wealth advisor has to be able to track a multitude of owners, including clients, accounts, transactions, investment vehicles, etc. Firms should offer a library of reports as well as customized reports that provide clients with consolidated financial and investment information.  

9. Integrated technology systems – Having an integrated software platform that supports the complex needs of multi-generational wealth owners allows the firm to be nimble and flexible, and reduce the probability of reporting errors. The willingness and ability of a firm to invest in required technology enhances the sustainability of the firm.  

10. Regulatory and financial compliance – Compliance with regulatory agencies and reliance on routine financial, security and technology audits is an essential best practice of a Leading Wealth Advisor. These practices give clients confidence in the firm’s compliance with laws and industry requirements, demonstrate that the firm is willing to subject its operations to outside scrutiny, and contribute to elevating the standards of the industry.