Hello, my name is Tom Wilson and thank you for joining our webinar today. Today's subject is on how wealth advisory utilizes Orion cash and credit to solve problems that are common amongst high net worth investors and this has become especially true. In light of some of the recent concerns regarding regional banks, now today's call is gonna last about 30 minutes. It is being recorded and we're gonna be taking questions as we go along. You don't have to wait until the very end of the presentation to ask your questions. You can simply just click on the little widget. Type in your questions, they'll queue up at the end and then Steven and I will do the best of our ability to to answer those questions. If we're unable to get to those during our time today, we'll follow up with you directly after the call. Now before we get to the real meat of our agenda, I'm going to spend about four minutes or so discussing why wealth advisory has grown so much over the years. And I'll provide a few comments about what wealth advisory does for financial advisors. So I'm going to go ahead and advance the advance the slide. So wealth advisory actually traces its roots back to 2005 at Brinker Capital. And back then what we noticed was advisors were having some success in attracting larger portfolios, but we're having some difficulty in retaining those portfolios. And in fact, research shows that many financial advisors have concerns about keeping those high net worth clients once they attract them, whether it's from concerns about whether they have the right resources or simply having enough time to service and meet the demands of those high net worth clients. But there's a variety of reasons why financial advisors like to utilize wealth advisory. In some cases, advisors like the concept of utilizing brinkers due diligence and helping them select managers investment strategies create asset allocations. They like to be able to utilize some of the auxiliary services that wealth advisory can provide to their clients or it simply allows financial advisors to sit on the same side of the table. So from a positioning point of view, financial advisors also like to utilize wealth advisory. Well, the the really good news here is that from a client's perspective, high net worth clients today are not necessarily expecting their financial advisors to be an expert in everything. However, the vast majority of high net worth investors do expect their advisors to have access to various levels of expertise or outside resources to help solve their problems. So from the investors perspective, financial advisors who work with wealth advisory, it's a really good fit for them as well. So wealth advisory, we partner with financial advisors to provide extra services. Extra level of expertise that they in turn can use to help them attract and retain high net worth clients. Over the last five years, our average annual retention rate has been about 95%. So some evidence that suggests that we're doing a good job and keeping those clients once we get them, but we also help financial advisors attract those prospects as well. By providing presale support. And that involves a lot of different activities, including working with you, learning about how you like to work with your clients, learning about those prospects that you have, creating a tailored portfolio to meet those prospects needs. If you'd like, we're even willing to join you at the hip and present a proposal to your prospects, assuming those prospects said yes. We will have a team of individuals that will help move those assets from point A to point B and during that onboarding process, financial advisors then get introduced to their portfolio management team. Every single investment advisor that has a wealth advisory account is assigned an individual portfolio manager. All of these CFA designated investment professionals will work with you on all. Investment related aspects of your clients accounts. So you can sort of look at it as one stop shopping for any and all investment related questions concerns plus the portfolio management team will be proactively reaching out to you to discuss what's happening with it within your clients portfolios and what's happening in the market in general. So that's a little bit about wealth advisory and and how we work with financial advisors. For today's agenda, we're going to dive into what really is Orion Cash and credit, talk a little bit about some of the features of the of the product. And as we do that, we're going to talk about cash products that can be used particularly during this time of crisis of confidence in many local and regional banks. And then we're going to run through some examples of how wealth advisory over the course of time has utilized. Orion Cash and credit to help solve some of the concerns and the problems that investors have have had and as I noted earlier in my remarks will wrap up with a question and answer period. So at at this point in our presentation, what I'd like to do is introduce Stephen Kunup. Stephen is the president of Orion Cash and credit and we'll talk a little bit about the basics of Orion cash and credit. Stephen, how you making out today? Great Tom, I'm pleased to be here and thank you for having me today. Super, super. So Steve, I'm going to advance the the slide here and these are some of the the basic offerings that Orion cash and credit has. But maybe before we get too much into the details, could you just provide the audience a little bit of a background on what exactly is Orion Cash and credit? Certainly when we launched Orion Cash and credit, our goal was to give advisors an access to in essence a synthetic private and commercial bank. A way to become the central point of your high net worth. Clients lives on all aspects of their balance sheet, from cash and treasury management to a full range of lending that can cover personal, business and commercial, even nonprofit. But to be able to let advisors compete with private banks, wire houses and global banks with a unique client centric. Set of expertise who can come in and advise on almost any need you could thank. Your clients would require excellent, great, great. So how long is Ryan Cash and credit been around so far? It has been around since early 2021 in a test phase with a limited number of firms. In the last several months. We've opened it up to all the firms using variety of Orion platforms and have seen some strong interest from Advisors and firms on bringing this out to their client base and so Steven and looking at the slide on the screen right now, a lot of times. I think when people hear Orion cash and credit. They think about security lines of credit right securities back lines of credit. Excuse me, but really Orion Cash or credit goes beyond that correct. Correct. We wanted to bring to the advisor base everything that custodians offer frankly and we think do it faster and better, but also expand out to give them access to what they may find competitors within wire houses and large banks can bring. So we want to give a full range of commercial, private and personal lending as well as the expansive use of the cash and treasury programs. All right, excellent, excellent. So I'm going to advance the the the slide here and really this is our our last slide, but we were planning on talking about some of the examples of how wealth advisory has worked with Orion Cash and credit to land prospects or quite frankly retain the clients that we we currently have today. And I I think it's appropriate given the recent concerns. Over the, you know, U.S. banking industry, let's say that we talked maybe a little bit more about the Orion cash side of things. So through Orion Cash and credit, you talk to us a little bit about how we can maximize FDIC insurance and what that is all about. You're right, Tom, previously Cash was sort of a forgotten item in the lineup. Clients weren't that interested, advisors weren't that interested. But given today's environment and the fact that we can offer up to $100 million per tax ID of FDIC insurance, it's become center stage today. We have a number of programs for both cash held within the wealth management accounts at firms as well as clients held away cash that provide a range of FDIC insurance for cash held within the advisory accounts. We have a client. Portfolio cash program that provides up to $100 million per tax ID. We have a very competitive rate of 425 for the first $5 million of fully insured balances for tax ID. The next 15 comes at a 395 rate. So we think we are amongst the highest if not the highest rate on multi bank insured programs. That cash is distributed out by our program manager and record keeper and amounts under $250,000 per tax ID to ensure full coverage at all the banks that received the cash. That's e + 1 trading day that comes in and out of the clients account at their primary custodian. All right. And so Steve, a little bit more about how this works. So right, FDIC insurance today, I believe it's $250,000. Per per individual, but you're talking about the potential to have insurance way in excess of that. So this sounds like kind of what we used to call a stackable product. Is that the way to kind of think about this for advisors? Yes, it's a centralized .1 account, one way to manage all client balances through access on the Orion portal into our program. But it distributes out across a number of banks to maintain that insurance level and gives you the ability to move cash in a single transaction whether it's $250,000 or 25 million per client account. Yeah. And and so the client is really just getting for lack of better description 110991 statement. They're not getting multiple 1090 nines are they from all these different stackable banks. Correct. They'll be receiving one account 1099 showing just FDIC insured cash balances under their account name with the advisor and that we aggregated up. So our program managers provide all the back office work to do the distributions and aggregation for the client and advisors, a single single product and single sign on. Yeah, now this is this yield fixed indefinitely or is this yield going to fluctuate around a little bit? Yield moves with the Fed funds over the last four Fed fund increases, we've received 100% of the increase and we expect in this deposit market to be able to achieve the same with the network banks in the next Fed change. Yeah, excellent. All right, sounds good. Steven, anything else we should highlight about the cash product before we move on to security back line of credit? Right. For our clients who are concerned about coverage on cash that's held away, we have another program that we can offer. It's easy to sign up advisors can get view rights and reporting rights and allows you to be able to take care of their worry about the current deposit environment for both cash they keep with you as an advisor as well as their cash they may have for the general liquidity needs. So feel free to reach out to us so we can discuss both programs and the best way to use them. Moving down the the list security back line of credit, I know that the Wealth advisory team uses this very frequently where we have situations where maybe the client calls up saying they're looking for withdrawal for a future cash need. But then as we look at the portfolio, we have a whole bunch of unrealized gains. So the only way we can raise cash is create gains. And sometimes, just quite frankly, a line of credit is such a more elegant and better solution for the client. You're right, it's an easy process these days and where it's a bread and butter offering we have, we work on a number every day. It's a way to have cash for quick access when you need it for liquidity. Does not require you to change custodians and as you said, there's no sale of any assets to to create tax basis situations. And we've seen it used for you know purchases opportunistically of real estate funding daytoday expenses where you have shortterm needs for the cash and we can address a variety of needs in terms of size from $100,000 line of credit. Up to a $50 million or higher line of credit. The the details of each line will be based on the portfolio, the expected duration. We can even look at concentrated or or selectively single stock secured lines as well. So it's there for a variety of needs and purposes on on the client situation, yeah, what also is great about it Steven is to set up the line of credit it it doesn't cost. The client anything, the only time there's there's a charge when you actually you know grab some of that money that they might need for that purchase or home repairs or whatever it is that they're they're working on. How do you find our the Orion Cash and credit rates that clients get compared to what else is out there in the in the marketplace. We find that we are always competitive typically we'll have lower rates and offered by the custodians. And because of the power of aggregation across all the firms using the program, we're able to negotiate special rates with the providers in the industry. We have three primary providers, 2 backup providers for Special Situations, but we are often the lowest rate in the area and we can actually attain further discounts when an advisor's looking to save a client. We've had a number of those cases using it on the Orion platform. Or if you're looking to bring a client over and they may be at a another firm, a wire house or broker dealer or another RIA where they have a favorable rate. Our banks will assist in obtaining clients by offering extremely competitive rates for the selected situations. Yeah. And Steven, actually you and I were working on a situation where the asset. That was being used to back up the line was a limited partnership. I mean typically a lot of folks think that I can only get a line of credit on securities or bonds, but Orion cash and credit also allows for in some cases partnerships as well. Partnerships, Master Limited partnerships, there's a variety of assets. If there anything that's outside of the range of expected assets, it's always safe to call the relationship manager you have with the Orion Cash and credits program. And we can walk through the details and come back with a very quick answer on what's advanceable and what is not and other options you may have as well. Yeah. And Speaking of quick, what I have experienced in opening up lines of credit is you know, once the, you know, you go into the portal as you describe, advisor fills out some data points. Advisor pushes a button, it goes to the client for the client to verify DocuSign and then once it makes it, you know, approved, once it gets send that on to Orion Cash and credit. It's typically, you know, 3-4 business days and the client gets approved, and then once they're approved, if they want to access that cash, they pretty much do it the same day. Same day drawdown once it's approved and we've seen it as short as two to three days, as long as sometimes 7 to 8 business days really depending upon the approval process and the documentation at the custodian. But once a line is in place, it's a very quick drawdown typically that day, as long as it's made before the Fed wire cut off. And the clients can draw down, pay down whenever they want. As you said, no cost, there's no fee on the line. There's no cost until you draw down and you pay for only the cash you have outstanding at the time you use it. If you use a small amount of your commitment, you pay no commitment fee or other costs. It's based solely on the actual usage. And you know, Steven, I would just share with the financial advisors out there that before wealth advisory was utilizing Orion cash and credit. We were using a different third party to assist us in getting lines of credit and loans for for our clients. It was pretty typically four to five weeks that it would take for that credit application to be approved. So the fact that it's being done 234 business days now is. Really very helpful, particularly in those situations where you know you don't have a lot of time, you know we all like to try to plan things out, but reality life happens and sometimes you know we need to move very quickly. And Ryan Cash and credit does a great job and not only providing a very competitive rate and a great product, but turning around in such a short amount of time. We work with great partners in this situation and we found that if there is an emergency, a critical time need, we can shorten that timeline in most cases and work to get the loan approved within two days and sometimes closed within a few days after that. Let's let's move on to the next subject increase in liquidity for a client's business. Within wealth advisory, we work with a lot of business owners, business owners that potentially recently have a had a liquidity of that. Through a Ryan cash and credit, how would that work? How can we increase liquidity for a client's business we've seen in this current market and increasing interest in? Business, commercial, commercial real estate and asset investing and and utilizing borrowings to improve borrowing rates, improve liquidity at clients. Business to acquire businesses even to get a prestructure deal where a client may want to sell their business and we can bring in our lenders that will structure a loan for a buyer to use subject to credit approval. The reason we've gone broader than securities back lines of credit mortgages as we know that high net worth clients want their advisor to be central to their total balance sheet on both the cash but also all their liabilities personal as well as business and commercial. We've helped clients expand their business with new revolving capital call lines. We've helped them acquire property to use in their business or to for held away hard asset investments in commercial real estate. And we do that with a broad network of banks again that suit the right need, location, size and structure for the clients. And obviously anything you can do to maximize the business liquidity and capital for your client, the less they may look to their portfolio to help fund some of that growth or liquidity needs. What about working capital with businesses, can we help out there? Certainly we have an active lender base for just day-to-day working capital needs for clients for short term cash needs for expansion and that that expands out to some other areas as well. We've seen for business owners or high net worth clients lines that help pay insurance premiums both the state planning as well as business insurance. So we have a range from term loans. Working capital lines, shortterm liquidity lines as well as just general availability of lines of credits to support a clients general needs liquidity based on their total asset base as well as their incomes. Yeah, that's great. You know I'm always encouraging financial advisors to have. Deeper more significant conversation with business owner clients I think there's that can lead to a lot of great things and it just seems like a Ryan cash and credit is yet another Ave. for advisors to have those more meaningful conversations. So you know this 4th pull point here, you know I know that I see this fairly frequently where you have a prospect. They want to work with their new financial advisor, they want to work with wealth advisory. But they say, you know, I can't leave because I have a line of credit where I'm currently at and I don't have the means to pay down that line of credit. However, through Orion Cash and credit, we no longer have to really worry about that, correct. Correct. We have our lenders have experienced in refinancing. Lines of credit that clients may have against their portfolios at other managers of their RI A's. So there's a fairly simple process that if a client wants to come over, our lenders will simply pay off the old lender on the securities back account, have it retitled and then it they're able to transfer the portfolio over to the new manager. So that no longer becomes a burden having clients make the change. Often times we frankly they get a better structure or a lower rate for the client as well. Yeah, so we we have the ability to pay off the client's line of credit but also it supplies to a margin account as well. Same, same process there, right, margin accounts a little more complicated because of some of the rules, but we have we have avenues to address that. Again on those cases please call us, we can walk through the options on closing down those lines and opening up new lines that are almost simultaneously. That's excellent. That's excellent. So let's move to the last bullet point, obtaining a home mortgage. This is actually a little bit newer for Orion Cash and credit. So could you describe a little bit about how we can help out with home mortgages? Yeah, this is a new program. We are literally just rolling this out now. Orion Cash and credit has a mortgage brokerage subsidiary that opens up the ability to provide access to mortgage loans at the moment 12 States and we'll be moving at the 20 states shortly whether it's a refinance, which had been more popular lately. But we still see good interest in purchase a first home, second homes, even helping clients, family members acquire homes. We have a network of banks. That will provide mortgages from the standard, say it may be a $200,000 conforming loan, high balance conforming the seven or 800,000 all the way up to very large jumbos that may use a asset depletion underwriting or a portfolio liquidation underwriting. So we again have a variety of lenders that meet each client's needs from simple to complex. Yeah. Yeah. Steven, you and I were actually working on a situation where we have a a client that actually doesn't have, I'll call it traditional income not employed by anybody, but rather is the recipient of income from a trust and a little bit of a complicated situation. And so this person was having a very difficult time accessing a mortgage, a mortgage from more traditional banking rounds. But through Orion Cash and credit, they were able to piece it all together and and get this individual a really competitive mortgage. One of the reasons we use on the mortgage side a unique range of providers from commercial banks, mortgage banks, mortgage funds is that every client situation may have its own flavor to it and its own needs. So we can go from someone who is a using trust as a source of income or maybe using distributions from their portfolio. And so when it's complicated, that's when clients see the value add of coming to their. Advisor who can take that central role in helping them find the right solution instead of having clients shop around. Yeah, that's great. That's great. So Steven, we're about 30 minutes or so into our our conversation. So we're going to start moving to the to the Q&A section and just a friendly reminder for those that are watching live, you know feel free to ask your question by. Clicking on the little widget on your screen and and Steven and I will be able to I guess technically actually I'll be able to see them and I'll Steven be relaying some some questions to you while we're letting those additional questions kind of you know queue up. Again thank you for for joining us today for this, for this webinar. One way to quickly learn more is simply by going to this web address orion.com/cash dash credit. It's very nice web page. You can find out all sorts of information about the Ryan Cash and credit program and really how to get started. All right. So, Steven, I'm gonna click here into the question bin one moment. First one up is, hey, can you do lines of credits for trusts? So I'm assuming Steven, in that question, you know, you and I have been talking about individuals and businesses, but what about a trust account? Is that something that we can facilitate? Yes, we can do lines of credit by secured by portfolios held in the trust. There's a documentation requirement, but it is substantially the same as doing for individuals or even a business account. And Steven, how many banks did would you say that Orion Cash and credit works with? When you think about the, you know the broad range of services that that is provided to advisors, clients across all the business lines, it's easily over 65 or 70 banks, some specialize in assets such as securities back lines. Mortgages, some will only do commercial and business. We have a few that will only look at aircraft and yacht financing, but we have a very large lineup. Again post on size and geography because the goal is to always find the right fit for the client and not ask the client to fit into what we have in a limit limited number of banks. Steven, there's a question out there actually I really like this, this question. It's a little bit of a reverse. Is there situations that we cannot accommodate that that come to mind that maybe in the past there is somebody asked about and we just weren't able to to do it for whatever reason. There's always situations that we did to run out of solutions. We have gotten asked in the past for construction facilities in Latin America. Something that's really hard to arrange. We have been asked to arrange horse financing. A client needed to buy two horses and we frankly don't have a good provider for that. There are situations. What we do do in that case though is try to find a solution doesn't involve the asset that's hard to finance, but other ways to finance it. So we're always willing to take a look and see what we can suggest, but we are we are stumped on occasion. All right, all right. And actually see, I'm wondering if you wouldn't mind. Just expanding for for a second, you know again I I think a lot of times people think of Ryan Cash and credit, okay, that's where I go to get my you know secured lines of credit on My Portfolio. But as as we've been talking about today, it really goes much you know much beyond that and and you sort of hit on this for a moment. If somebody has a a more out-of-the-box nontraditional situation, it it sounds like we have almost like consultants on standby that will help people. Determine what might be or what are the options and what might be the best fit for them. Could you expand on that for for a little bit? We like to say that Ryan Cash and credit provides advice and access the advice on what is available, how our team would approach any given borrowing need. The entire, entire team have been bankers and almost any type of banking you can think of. Put a word in front of it and whether it's private investment mortgage. Commercial. And so this is not a simple referral program. We're here to listen to the need, give our advice of how we would approach it on the borrowing. And then on the advocacy side, we go out to our network of banks. Again, it doesn't get blanketed on a distribution list. It's a targeted group of banks we know that has the solution for each client need. And we advocate, here's what we would like to see for the client. Here's a suggested structure. We gather up the letters of intent, term sheets, responses, share it with the advisors and clients, let them select the option they want and then we work with the banks and clients all the way through closing. And as as you pointed out, it's really a a consulting, it's a advisory role. We take a fiduciary client centric role and especially on more unique situations, clients see that as a value add. You never want as an advisor your client to find that value. Add advice at a bank that may use it to open up the discussions about asset management, wealth management. You know every client has needs somewhere on borrowings outside of securities back, whether it's business, real estate, personal and every opportunity that you can to keep that client within your relationship as a way to strengthen the relationship and prevent others from becoming involved. Yeah Stephen that was that was great and you know that's that's where we're sort of at our our time that's a great place to kind of wrap up. So yeah I once again just want to thank everybody for for listening in today to our to our call. We've been listening to Stephen Kunop, president of Orion Cash and credit. My name is Tom Wilson, head of Wealth advisory and we've been talking about how wealth advisory helps financial advisors not just solve. Their investors investment issues and concerns but also other concerns and that's where we can bring in resources like Steven and Orion cash and credit to really help out your your clients. So we very much thank you for your time today. We look forward to hearing from you and we hope everybody has a a great afternoon. Thank you. _1686420352514

Attract and Retain High Net Worth Clients with a Secure Banking Solution

Recent market conditions - specifically developments in the banking sector - have put some high-net-worth clients on edge. If you have high-net-worth clients or are looking for ways to attract and retain those investors, Orion can help. Brinker Capital Wealth Advisory is a comprehensive high-net-worth offering that includes tailored investment experiences and a range of personalized services, including Orion Cash & Credit, giving you two powerful ways to help high-net-worth clients protect and grow their wealth.

Through capabilities such as lending, financing, mortgage banking, and cash management, Orion Cash & Credit is a secure way you can deepen the value you offer to high-net-worth clients and grow your business through:

Join Thomas K.R. Wilson, CFA, EVP, Head of Wealth Advisory, and Steven Canup, Managing Director at Focus Client Solutions to learn more about using banking solutions as part of comprehensive wealth management for your high-net-worth clients and prospects.

Orion Portfolio Solutions, LLC d/b/a Brinker Capital Investments a registered investment advisor. For financial professional use only. Not intended for public distribution. The CFA® is a globally respected, graduate-level investment credential established in 1962 and awarded by CFA Institute - the largest global association of investment professionals. To learn more about the CFA charter, visit  www.cfainstitute.org.