The Mather Group Joins Robinhood Advisor Network with $17B AUM
The Mather Group, a Chicago-based Registered Investment Advisor (RIA) managing $17 billion in assets, has become an early participant in Robinhood’s new Advisor Network (RAN). Under the agreement, The Mather Group will pay Robinhood a referral fee equivalent to 25% of gross revenue generated from clients referred through the platform. This fee structure applies indefinitely as long as the referred client remains with the firm. Additionally, the RIA is required to custody these specific assets with TradePMR, a custodian acquired by Robinhood in late 2024. Transferring these assets to another custodian incurs a significant penalty fee of 300 basis points. The partnership aims to help The Mather Group access younger demographics, specifically Gen Z and millennials, who hold substantial investable assets on Robinhood but were previously outside traditional advisory pipelines. Robb Baldwin, a Robinhood executive, emphasized that this model allows advisors to acquire next-generation clients without upfront marketing costs. This move highlights Robinhood's strategic expansion into the wealth management sector and its effort to facilitate the upcoming generational wealth transfer by connecting digital-native investors with independent RIAs.
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The Mather Group Joins Robinhood Advisor Network with $17B AUM
The Mather Group, a Chicago-based Registered Investment Advisor (RIA) managing $17 billion in assets, has become an early participant in Robinhood’s new Advisor Network (RAN). Under the agreement, The Mather Group will pay Robinhood a referral fee equivalent to 25% of gross revenue generated from clients referred through the platform. This fee structure applies indefinitely as long as the referred client remains with the firm. Additionally, the RIA is required to custody these specific assets with TradePMR, a custodian acquired by Robinhood in late 2024. Transferring these assets to another custodian incurs a significant penalty fee of 300 basis points. The partnership aims to help The Mather Group access younger demographics, specifically Gen Z and millennials, who hold substantial investable assets on Robinhood but were previously outside traditional advisory pipelines. Robb Baldwin, a Robinhood executive, emphasized that this model allows advisors to acquire next-generation clients without upfront marketing costs. This move highlights Robinhood's strategic expansion into the wealth management sector and its effort to facilitate the upcoming generational wealth transfer by connecting digital-native investors with independent RIAs.
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