Financial advisor Hal Lambert left Credit Suisse in October to launch Point Bridge Capital, an RIA with offices in Dallas and Fort Worth, Texas. He and his business partner, Jeff Wildin, had been with Credit Suisse since 2005; before that, they spent more than six years at J.P. Morgan. Point Bridge Capital manages over $200 million. The firm uses Pershing as its main custodian and the Dynasty Financial Partners investment platform.

Q: What was the main reason you left Credit Suisse?

A: We were in the U.S. private bank covering ultra-high-net-worth and institutional clients like endowments and pensions. It wasn't about leaving Credit Suisse, it was about forming Point Bridge Capital. It was for our clients. I had thought about going independent when we left J.P. Morgan's private bank. I didn't think the technology was quite there yet. Now, we can work with our clients in a way that's like a multifamily-office approach. We can work with J.P. Morgan or Credit Suisse or other firms as needed. Clients can custody at J.P. Morgan if they want, or we could execute a transaction through other firms, or we could use research from them. All of the big Wall Street firms are working with RIAs these days.

Q: What was the hardest thing about the transition?

A: It was the paperwork involved. Clients have to go through that to open new accounts. It's a hassle for them. But we had dedicated teams with Pershing, Dynasty Financial Partners and MarketCounsel, who advised us on how to do the transition and not be in violation of agreements with the previous firm. They're also there to help get the right filings done, all the operational things the big firms take care of on behalf of advisors.

Q: What percentage of your clients and assets did you retain?

A: More than 75% of private-client money has transitioned so far, but we're still transitioning accounts. Every client has different situations. Some are more complicated. The transition timing is theirs. We left in October, and clients went through a period of holidays and taxes. We now have over 20 individual clients and one large institutional client who's active with us.

Hal Lambert
Hal Lambert

Q: How have clients benefited from your move?

A: We're not an agent of a particular entity. We're able to sit on the same side of the table as the client. I've been able to help clients get lower interest rates on loan products. We're open architecture, not tied to one specific platform.

Q: Why did you decide to go independent rather than join a big brokerage?

A: We can partner with best-of-class groups for what they specialize in, so we have a stronger chance of being able to customize [service] for clients. We can provide third-party investment managers across the spectrum. We've outsourced due diligence to Callan Associates, and use Wilshire Associates for alternative due diligence like hedge funds and private equity. With tech, we're partnered with Envestnet for investment reporting.

Q: How have your compensation and profitability changed?

A: What I'm doing now is advisory. The main difference is the fees are paid directly to Point Bridge Capital and there's not a cut taken in between. Since forming, I've not done any commission business, which I did in the private banks. On profitability, I'm not far enough along to be able to judge it. No matter where someone transfers to, even another wirehouse, they have a transition period and they wonder, do clients come or not?

Q: Any advice for "captive" FAs who are thinking about leaving?

A: A lot of it depends on their background and types of clients. I felt comfortable managing clients without the backup of a big institution. But if you have clients with very specific needs, like getting in on IPO deals, and you feel you need a large institution to support you, going independent may not be for you. Strategic partners like Dynasty and MarketCounsel can look at your book of business and see if it's right for you. They enabled us, on the day we left, to begin operating immediately. That's important. You don't want to leave one firm and spend five months waiting to get working again.