Financial Advisors Are Cooked – Public Co-CEO on the Great Wealth Transfer

**Leif Abraham** (0:00)
Before we live in this oasis, where no one has to work anymore, I think it's gonna get really dark. Elon is gonna own all the robots, and the power disparity that's gonna happen there is gonna be so massive. The wealth disparity that's already extreme in the US is gonna become even more extreme.

**Molly O'Shea** (0:15)
You said millions of users, billions of assets, billions of trading volume, and revenue doubling every year. So is that...

**Leif Abraham** (0:21)
That is accurate.

**Molly O'Shea** (0:22)
So you're trying to take on Charles Schwab.

**Leif Abraham** (0:23)
Yeah, if you look at where people consolidate brokerage accounts from, it's Schwab, Fidelity, E-Trade, Vanguard, Merrill, and Brotherhood. 85% of that money will be inherited by the top quarter or the top 25%.
And so that's literally where the money is at in our space. Best performing generated asset on the platform right now is defense and weapons manufacturers, one that is up 350% in the last month. So we just lost agents for investing. If we look at what a financial advisor does for you, one is grant work, second is advice, the third is emotional support. So we've launched. That does number one now. I think it's ridiculous how quickly this is moving. Financial advisors will have a really, really, really hard time going forward.

**Molly O'Shea** (1:11)
Welcome to Sourcery.

**Leif Abraham** (1:12)
Thank you.

**Molly O'Shea** (1:15)
Well, we're here at the New York Stock Exchange in the library, and we have your beautiful logo up.

**Leif Abraham** (1:21)
Yes, in the wrong blue still, but okay.

**Molly O'Shea** (1:22)
It's the wrong blue. It's not serious enough.

**Leif Abraham** (1:25)
It's not serious enough, exactly.

**Molly O'Shea** (1:26)
We need a serious blue.

**Leif Abraham** (1:28)
And it needs to be dark, and, you know, it needs to feel serious and classic, and ah, so yeah.

**Molly O'Shea** (1:34)
So why is that your tagline?

**Leif Abraham** (1:37)
But serious and classic? No.
Public, serious and classic. That's a good tagline. Do you mean investing for those who take it seriously? If you look at especially our space and call it like new brokers and so on, you've seen that I think that first generation of those companies has been very heavily focused on speculation. And that was like very deep into options trading, you know, about very deep prediction markets, or, you know, they're all like, for example, things that started only in crypto, you know, and so on. And I think it's created a generation where essentially all the new modern platforms all were, you know, not that serious in the end. It's not nothing like these are not the places where you would build your wealth for your long term, where you put your life savings into, or the money you inherit from your parents or whatever it might be.
And the incumbents were still that. And I think even if you see it like when the first mobile broker just came up and you look at like Schwab, you know, Schwab hasn't actually been disrupted really because that company actually still doubled in the last five years. And so when we kind of look at the market, we were like, hey, let's build something that is actually for people to put the life savings in where they can trust with that money. And therefore make sure that we're also being positioned as seen as a serious financial service. Because also if you look at things like the Great Wealth Transfer, it's like 85% of that money will be inherited by the top quarter, the top 25%. And so that's literally where the money is at in our space. And so I think also to be successful here, you have to build something that people can look at and think of it as like this is a serious financial service that I can trust with my life savings. And so therefore from a pure positioning perspective, that's what we put out.

**Molly O'Shea** (3:18)
So you're trying to take on Charles Schwab?

**Leif Abraham** (3:20)
Yeah, actually if you look at where people get their ACAD accounts from, where they consolidate brokerage accounts from for us, it's Schwab, Fidelity, E-Trade, Vanguard, and then Merrill and Robinhood.

**Molly O'Shea** (3:34)
Oh, wow.

**Leif Abraham** (3:35)
So we are much more competing with the incumbents than we are competing with the other new brokers.

**Molly O'Shea** (3:41)
That's crazy.

**Leif Abraham** (3:41)
You kind of compete everywhere, of course, in some regard, but...

**Molly O'Shea** (3:46)
So most recently, you have been going viral on and off with these new product launches. Can you talk about the recent product launch?

**Leif Abraham** (3:55)