READING: CHAPTER 01 · THE DATA

NEXT: DISCOVERY

THE DATA

The economics of specialization

6 min read

The financial case for choosing a niche has been building for a decade. It is now the most consistent finding in independent advisor research. At the median, the gap looks modest. The interesting numbers show up at the 90th percentile.

Top-performing niche advisors clear $1.2 million in revenue and take home $660,000 at a 55% profit margin. Top generalists at the same percentile generate $860,000 in revenue and $395,000 in income at a 45% margin.

Take-home income is 40% higher for top-performing niche advisors