The Melbourne, Florida-based RIA platform said the website tool uses inputs including AUM, gross production, tech fees and payout rates to calculate breakeven per account.
It also shows what advisors would pay under Rossby’s flat-fee subscription model, which charges by office, licensed staff and accounts rather than basis points or payouts.
CEO Andrew Evans said many advisors do not know their true profitability. Industry consultant Tim Welsh said the calculator is effectively a lead-generation tool and questioned the scalability of flat-fee pricing.
Is Rossby's calculator a genuine advisor tool or a clever gateway to its unproven subscription model?
Is a flat-fee model the key to surviving the RIA industry's margin compression crisis?