Year-End Planning

The close of the year isn’t just about tax-loss harvesting or RMD reminders. For elite advisors, it’s also the perfect time to pause, zoom out, and take stock of your business itself. Year-end planning for your practice is where reflection meets strategy — and where next year’s growth truly begins.


The financial advice industry is booming: U.S. advisor-managed assets have grown at a 7.3% annual rate over the past decade (Cerulli Associates, 2023). Client demand is also rising, with the number of clients served increasing by 6.8% in 2024, while total assets under management jumped 12.6% (Investment Adviser Association [IAA], 2024). Growth is there for the taking — but only for firms that are intentional about how they scale.

 

Review the Numbers Behind the Numbers


Too many advisors stop at celebrating AUM growth. Year-end is the time to go deeper. Ask:


  • Which clients bring the most value — financially and relationally?
  • Where did new business come from?
  • How many hours did you spend on clients who aren’t aligned with your growth goals?


The industry may be expanding, but if your time and revenue are concentrated in the wrong places, you’ll miss the opportunity to translate growth into profitability.

 

Evaluate Capacity and Team Bandwidth


Burnout is real, especially if you’re over-serving too many clients. Industry headcount growth is anemic — only 0.3% annually over the past decade, with projections for a decline of 0.2% per year (McKinsey & Company, 2023). Talent is scarce. That makes it essential to evaluate:


  • Do you have the right number of clients for your service model?
  • Is your team stretched too thin?
  • Where can you delegate more effectively to lead at the highest level?


Optimizing capacity ensures your practice is built to serve well without burning out your team.

 

Future-Proof Your Practice


Advisory firms are legacies in motion. Year-end is the perfect moment to ask the “what ifs”:


  • Succession readiness — what happens if you step away tomorrow?
  • Bench strength — who on your team is ready for more responsibility?
  • Systems — which workflows need streamlining to free up time for client service?


With 92.7% of advisory firms employing fewer than 100 people and nearly 69% managing less than $1 billion in AUM (IAA, 2024), small practices can’t afford to ignore succession or efficiency.

 

Build the Playbook for 2026


Reflection without action is wasted potential. Build clarity into your 2026 plan:


  • What is your growth goal for the year ahead?
  • Which habits, processes, or hires will get you there?
  • What does success look like by this time next year?


Remember: firms that invest at least 2% of revenue into marketing grow 45% faster than those that don’t (Schwab, 2024, as cited in WealthManagement.com, 2024). Year-end is the perfect time to commit resources — not just ideas — to the strategies that will drive growth.


Conclusion


When advisors invest in their own year-end planning, they create the foundation for sustainable growth, stronger teams, and deeper client loyalty. Don’t just plan portfolios — plan your practice. With industry growth projected at 5.5% annually through 2032 (BizPlanR, 2024), the opportunity is massive — but only if you’re prepared.


Curious to learn how Supernova can help you do just that? Let’s connect.

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References


  • BizPlanR. (2024). Financial advisor statistics. https://bizplanr.ai/blog/financial-advisor-statistics
  • Cerulli Associates. (2023). A changing financial advice industry. https://www.cerulli.com/resource/a-changing-financial-advice-industry
  • Investment Adviser Association (IAA). (2024). Industry snapshots. https://www.investmentadviser.org/industry-snapshots/
  • McKinsey & Company. (2023). The looming advisor shortage in U.S. wealth management. https://www.mckinsey.com/industries/financial-services/our-insights/the-looming-advisor-shortage-in-us-wealth-management
  • WealthManagement.com. (2024). Why half of advisory firms can’t break 5% growth. https://www.wealthmanagement.com/marketing/why-half-of-advisory-firms-can-t-break-5-growth