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Why Are Brokerage Houses Losing Their Investment Advisors?

Por que as Corretoras Estão Perdendo os Seus Assessores de Investimentos?

Why Are Brokerage Houses Losing Their Investment Advisors?

Many brokerage houses are losing more and more investment advisors by always investing in the obvious and not making room for the innovations offered by today’s financial market. As a result, many of these organizations are trapped in a very limiting style, which prevents them from taking advantage of what the market has to offer, as well as making it impossible for advisors to act as they wish.

Since it’s not news that many of the outdated models don’t deliver many results and only benefit the brokerage itself, advisors tend to look for opportunities in better environments, such as the token. It is therefore essential to understand the decline of the traditional brokerage model in depth, and to look at the possibilities that the transformation of the financial market makes possible!

The Decline of the Traditional Brokerage Model

The days of the traditional brokerage model are numbered, since the developments that the financial market has seen with tokenization are no longer paying off. With business becoming increasingly decentralized, secure and practical, many professionals, such as investment advisors, are no longer willing to deal with the exorbitant demands made in the traditional style.

In addition, there are cases in which investment advisors deal with extremely disproportionate and abusive clauses, such as very high fines for the advisor to leave the brokerage firm. More traditional models also limit the autonomy of the advisor. All of this means that fewer current professionals are willing to link up with these places, which means that the traditional model is on a considerable downward trend.

Therefore, in order to work as an investment advisor, you need to check this scenario carefully, in order to make professional choices that contribute to your development and allow you to take advantage of what the token market offers.

The New Approach: Transforming Investment Advisors into Structuring Agents

The big trend today is for investment advisors to become asset structurers and sit at the table with borrowers. As a result, these professionals are able to align their working hours and even play the role of the brokerage house itself and use the knowledge they have absorbed along with the developments that have taken place with the tokenization of assets.

It’s also worth noting how structuring allows both sides to win. In other words, both the structurer is able to generate more value and those who deal with him, be they brokers or clients interested in applications. In this way, the market tends to become much more dynamic and efficient.

To illustrate, just think of an advisor who has done a lot of work helping clients with crypto and wants to become a structurer. With the knowledge he has accumulated over time, he will have a clearer and more comprehensive idea of how to do the job and obtain more promising results.

The Importance of BLOCKBR Infrastructure
Image: Canva

The Importance of BLOCKBR Infrastructure

Through the infrastructure that BLOCKBR offers, you can get extremely essential solutions for operating in the digital asset market, as an investment advisor or as a company interested in taking advantage of the rise of financial innovations. We’ve put together several interesting solutions, such as Station, which allows any traditional operational flow to migrate to a tokenized operational flow. BLOCKBR Management, an asset management and digital asset offering tool, and the Whitelabel platform, which allows anyone to be the asset offering environment.

We should give a special mention to the BLOCKBR Whitelabel platform, as it is the ideal structure we have built for you to be able to trade your digital assets. Thus, with all the quality that the innovations of today’s financial market allow and the security, due to the construction based on CVM 88, you can take advantage of the platform in a promising way.

Benefits of Transformation for Advisors and Clients

Better market performance and improved autonomy are some of the most interesting benefits of transforming investment advisors and clients into structurers. With both, professionals can act more efficiently and autonomously, and clients will feel more secure and comfortable

As each of them is extremely important for understanding the progress of the market, it’s worth taking a look at the details of each benefit. This way, you can get a much more complete picture of the growth trend that is being shown through the transformation in the distribution of digital assets

Greater autonomy and a new role in the market

Having greater autonomy is one of the most widely observed benefits of transforming investment advisors into structurers, and this is due to the role of infrastructure architecture and blockchain. With this, in addition to security and not needing intermediaries to carry out activities, you can count on optimum transparency, which allows for careful visualization of processes.

Just think of the amount of money spent on intermediaries to guide operations when working with digital assets. Therefore, blockchain can be used to considerably improve these figures and even form more reliable agreements, due to the transparency provided by the technology, which are ideal factors for investment advisors to be able to carry out their work perfectly.

It is worth commenting that all this quality provided, especially in the security present in the blockchain system, meant that other possibilities could emerge, such as tokenized funds. In this way, we can see the contribution that innovation done well can make.

Scope of action in the market

The improvement in the range of market activities is due to the fact that the transformation to investment structurers allows professionals to work with various options, such as LCA, LCI, CRA and CRI. In addition, if you count on us at BLOCKBR, you’ll be able to deal with more complex structures, such as FIDCs and FIIs, further expanding your possibilities of operating in the market.

It’s clear from all these points why brokerage houses are dealing with a considerable loss of investment advisors and why this trend is taking hold. However, there is no point in embarking on the digital asset market without an excellent infrastructure to deal with the demands that will be faced in this scenario.

BLOCKBR is the ideal place for you to start or continue your journey in asset tokenization. With our solutions and the care we take to keep everything we offer within the regulations and expectations of the market, you can certainly find a very promising place to take advantage of the transformation of the financial market!

Migrate to tokenization with BLOCKBR infrastructure, Access Funding with BLOCKBR Plugged-in Investment Advisors.

The unlocking of the capital market, giving access to new types and structures of investments through tokens, is bringing a universe of opportunities every day. Blockchain technology is an environment of high security and transparency, as well as being a backdrop for the creation of new operating models.

To understand which tokenization model and infrastructure you can use in your operations, you just need to understand the opportunities you can take on, whether as a structurer, originator or distributor/investor.

Become an investment advisor for digital assets (structured tokens) through BLOCKBR. You can also be an asset structurer and use our entire risk analysis, legal, technological and commercial infrastructure for distribution with Station or, if you prefer, just raise tokens by investing in your operations or RWA assets. Count on us.

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