Home Ice bergs Former UBS advisor with $30 billion says avoiding icebergs is key to happy clients

Former UBS advisor with $30 billion says avoiding icebergs is key to happy clients


Last name: Rob Sechan

Solidify: NewEdge Capital Group

Location: Pittsburgh

AT M : $30.6 billion

Forbes ranking: America’s Best RIA Companies, America’s Best Wealth Advisors, State’s Best Wealth Advisors

Background: Sechan did undergraduate and business school at Carnegie Mellon University before joining Morgan Stanley
in 1996 as a new financial adviser, where he became executive director. He then held managing director positions at Lehman Brothers and UBS, before NewEdge Wealth was launched to serve the needs of family offices and ultra-high net worth institutional clients in late 2020. The company is a subsidiary of NewEdge Capital Group, which also supports over 300 financial advisors through RIA’s sister company, NewEdge Advisors (formed through a merger with Goss Advisors).

mentors: Sechan cites his grandfather as his greatest mentor. “He quit school in seventh grade, started a trucking business, and ended up becoming hugely successful through hard, brutal work,” he describes. Sechan credits this philosophy with helping him as an advisor today, while trying to view success as the “net present value of everything I do for a client.”

Investment philosophy/strategy: “Quality always saves you: stay invested offensively, but do it smartly,” Sechan says, advising investors to look for companies with high free cash flow, sustainable margins and consistent earnings. So far this year, he has identified opportunities in the energy and healthcare sectors, as well as in short-term fixed income bonds. Sechan also identifies areas where he sees less traditional opportunities, such as venture credit or private investments. Additionally, battered international stocks could present future opportunity, while “quality growth companies – which are reasonably priced with strong earnings – could be a good place to invest in the next bull market”, predicts Sechan. .

Competitive advantage : Sechan uses a goals-based wealth management strategy: “We strongly believe that there has to be a target to aim for,” he says. His firm shares his approach, with a team of advisors who consider each client’s current asset, liquidity, lifespan and legacy needs. Additionally, in addition to providing resources for advisors as well as clients, NewEdge also hosts small conferences with notable guest speakers, including billionaire hedge fund manager Leon Cooperman, who spoke in April 2022.

Investment Prospects: “We’ve been cautious all year, using short bounces to improve the quality of our portfolios,” says Sechan. Despite the market turmoil, most of his clients were well protected from the sell-off thanks to asset allocation and equity positioning, he describes. “What’s unusual about this bear market is that you don’t have a chance for the Fed to pivot yet,” Sechan says, adding that there needs to be substantial disinflation to allow rates to come back down and the US dollar to weaken again. . “We are close to a place where things will be more attractive – history suggests we should see opportunities – but not yet.”

What keeps you up at night: “Honestly, I think about customers,” Sechan says. “It’s about making sure we’re on top of things and avoiding icebergs,” he says, adding: “Successful investing is as much about risk management as anything else – so we think constantly to what might break.”

Favorite Book/Movie: Sechan cites the first book by Michael Lewis, Liar’s Pokeras his favorite.