RIA firms continued their strong momentum in 2025, with median AUM rising 16.6% and revenue up 17.6% according to Charles Schwab’s 2025 Study. 

With advisor shortages persisting and hiring costs rising, many firms are shifting focus from headcount expansion to operational leverage. Automation, smarter client segmentation, and technology integration now offer practical paths to scale AUM and revenue while protecting margins.

How Can Workflow Automation Help RIAs Scale?

AI adoption among RIAs has more than doubled since 2023, reaching 63% of firms by late 2025. Most use it for administrative tasks such as note-taking, reporting, and client communications. Firms applying these tools report measurable time savings, allowing advisors to redirect effort toward business development and complex planning work.

Top performers invest 4.2–5% of revenue in technology and achieve 16.6% AUM growth, compared with 12.1% for firms relying primarily on manual processes. 

Broader industry data shows AI-exposed sectors delivering nearly 3x higher revenue-per-employee growth since 2022.

How Should RIAs Use Client Segmentation to Grow?

Formal client segmentation has become one of the markers of stronger RIA firms. According to the study, top-performing firms are significantly more likely to use a structured approach, adjusting service levels based on assets, client complexity, or life stage. This helps avoid over-servicing smaller accounts and directs advisor time toward relationships with the greatest growth potential.

Firms with effective segmentation often generate 30–60% of their total growth from the top 10% of clients. In an environment with capacity constraints, this kind of focus supports organic growth within existing households while preserving service quality.

How Can Technology Increase RIA Service Capacity?

Integrated platforms continue to reduce administrative burden across reporting, onboarding, and daily operations. RIAs with streamlined stacks serve more clients per advisor and deliver better digital experiences. Billion-dollar RIAs lead in this area, with 70% already using AI for notetaking and 25% applying it to client engagement and scheduling.

Outsourcing non-core functions such as certain back-office tasks further extends capacity. Predictions for 2026 point to continued consolidation of technology stacks, with top-quartile firms expected to allocate up to 12.5% of revenue to technology, supporting stronger net new asset capture and lower attrition.

That same shift is pushing RIA technology into areas that were previously too manual to manage at scale, including securities class action recovery. In 2025, settlements reached $8 billion, yet many eligible funds remained unclaimed. With advances in technology and AI, platforms such as 11th.com can now automate the entire recovery workflow and return proceeds directly to client accounts, making settlement recovery a more practical and scalable technology opportunity for RIAs.

What Will Help RIAs Grow Sustainably in 2026 and Beyond?

Heading into 2026, RIAs that combine workflow automation, disciplined client segmentation, and integrated technology should achieve sustainable growth without heavy hiring. As AI adoption matures and productivity gains compound, firms making these investments early will gain clear advantages in margins, capacity, and competitiveness in a consolidating industry.

FAQ

How can RIAs grow without hiring more advisors?

RIAs can grow by automating repetitive work, improving client segmentation, and using integrated technology to serve more clients with the same team.

Why are RIAs focusing on operational leverage in 2026?

Advisor shortages and rising hiring costs make it harder to scale through headcount alone, so firms are looking for productivity gains.

How does AI help RIAs scale?

AI can reduce time spent on administrative work such as note-taking, reporting, and client communications, giving advisors more time for planning and growth.

Why does client segmentation matter for RIA growth?

Segmentation helps firms focus advisor time on relationships with the highest growth potential while maintaining service quality across the client base.

What overlooked technology opportunity can support RIA growth?

Securities class action recovery is one example. Automation can help RIAs return eligible proceeds to client accounts and support AUM growth.