Scott MacKillop, the turnkey asset administration platform pioneer who left GeoWealth earlier this 12 months, has joined the board of WealthTech Technique Companions as a senior advisor targeted on constructing out the funding financial institution’s TAMP-related work.
Within the new function, MacKillop will be a part of 5 different senior advisors on the funding financial institution, which is solely targeted on wealthtech and led by co-founder and CEO Kendrick Wakeman. Based in 2023, the Boston-based agency focuses on capital elevating, strategic partnerships, startup acquisitions and enterprise capital offers.
MacKillop was CEO of First Ascent Asset Administration, which he based in 2016 to introduce flat-fee funding administration to the market. He offered that agency to GeoWealth in 2023, telling WealthManagement.com in January of this 12 months he was leaving the corporate as a result of the combination of the 2 corporations was full. He additionally mentioned he would search for alternatives to work with corporations doing “constructive” work within the area and was not excited about beginning his personal agency.
MacKillop mentioned he met Wakeman about 15 years in the past and had all the time thought of him “one of many smartest” folks within the area in addition to “considerate” concerning the trade.
“A whole lot of the issues occurring now within the wealth administration area are associated to know-how, and Wealthtech Technique Companions is true in the course of that,” he mentioned.
TAMPs have grown in use amongst monetary advisors lately as a approach to assist simplify portfolio administration. The market has ballooned to greater than $2 trillion in belongings, in response to the latest 2024 report by analysis and analytics agency Aranca. First Ascent had about 80 RIAs on the platform and $1.4 billion in belongings when GeoWealth acquired it.
On the subject of advising on TAMPs, MacKillop sees a number of attention-grabbing areas, together with the potential for continued progress as advisors search for methods to streamline.
“Advisors are being known as on to do increasingly and extra,” he mentioned. “Any type of outsourced options administration they’ll avail themselves of will probably be more and more essential.”
He additionally sees the TAMP area fragmenting in an “attention-grabbing” approach, with fund strategists overseeing what he known as “big, supermarket-type platforms.” Whereas they nonetheless work with advisors, in addition they compete with large asset managers like BlackRock and Goldman Sachs towards near-free mannequin portfolios (minus inside expense ratios).
“All of these folks have to determine how they play within the area,” he mentioned. “They want to determine what their function will probably be and the way they may differentiate and stand out.”
He additionally pointed to the rise of “know-how TAMPs,” or corporations constructing out their very own programs to help the larger platforms with a number of supervisor choices. His former agency, GeoWealth, and suppliers like Envestnet and Orion are pushing forward on this space.
Lastly, there may be the capital and M&A that can play a task in shaping the sector.
“There’s lots of capital sitting on the sidelines that desires to be on this area,” he mentioned. “This provides me a chance to be a part of that and possibly affect the way it all comes collectively.”
Previous to First Ascent, MacKillop had been president at a wide range of monetary providers and TAMP corporations, together with Frontier Asset Administration, US Fiduciary Companies, Trivium Consulting, Portfolio Administration Consultants and ADAM Funding Companies.
Along with the advisory function, he’ll proceed serving on the board of administrators for the Institute for the Fiduciary Commonplace.
