A Recap of ADISA's 2019 Annual Conference & Trade Show

Oct 28, 2019

Setting New Records
We thank everyone who attended our Annual Conference & Trade Show, an exciting event where industry experts provided the latest information on investment products and regulatory updates, as well as tips and tools to help attendees grow their business and navigate today’s markets. Industry members came out in droves and we set an attendance record with more than 1,000 educators, regulators and industry leaders. The optimistic energy of this conference was palpable. The exhibit hall was packed with more than 90 sponsors who told their story at every networking opportunity.

Who attended?
43% Wealth Advisors
38% Product Sponsors
19% Industry Affiliates

Top 10 Session Highlights

1. We kicked off the conference with the ADISA Women’s Initiative Reception and Lunch, featuring insights from moderator Deborah Froling, partner with Kutak Rock, and panelists Janice Olson, Kimsey Bailey, vice president with CNL Securities Corporation, and Sara Borazan, director of business development with North Capital Private Securities. 

AC Report32. At the Industry & Sector Update general session, Mike Kell, senior vice president, business development & program management with AI Insight, reported that his firm’s data in 2018 revealed a record number of programs were added to the alternative direct investment platform. In fact, 70 percent were private placement programs. He explained that AI Insight currently tracks 155 private placement programs that are actively raising capital, targeting an aggregate raise of $15.9 billion and an aggregate reported cumulative raise of $7.7 billion or 51.5 percent. Additionally, the firm reports that 12 opportunity zone funds are currently covered by the alternative direct investment platform, one which focuses on energy focused and 11 others focused on real estate. These opportunity zone funds collectively have a total equity raise of $2.1 billion and an aggregate capital raise of $407 million. These numbers certainly indicate there is widespread confidence in alternative investments.   

3. The strength of this momentum was further buoyed by Taylor Garrett, managing director of Mountain Dell Consulting, who explained that, with interest in Section 1031 exchanges remaining high in today’s economy, capital raise in Section 1031 exchanges is expected to grow 31.3 percent with current average yields of 5.73 percent in October 2019. He also reported that equity raise in 2019 is expected to be $3.25 billion ($8.92 million per day). With more broker-dealers entering the space, the involvement of registered investment advisors continues to grow.  

4. Though NAV REITs are dominated by a small number of players in the space, Mike Andrews, head of investment products research and consulting with SS&C Technologies, reported these investments are experiencing continued roll-out and inflow growth.

AC Report5

5. Additionally, REITs were a hot topic during the session. Kevin Gannon, chairman and chief executive officer with Robert A. Stanger, reported that fundraising for non-traded REITs has increased dramatically. A breakthrough $10 billion is expected to be raised in 2019. 

6. During the Legislative & Regulatory Update, participants from FINRA and NASAA discussed the latest news from national and state capitals on issues and trends affecting the alternative direct investment industry. Thomas Rosenfield, J.D., CAE, ADISA government relations and vice president with HillStaffer, served as moderator and Joe Price, senior vice president, corporate financing/advertising regulation with FINRA and Lisa Hopkins, NASAA president-elect, participated in the discussion.

7. Following the Legislative & Regulatory Update, attendees learned from Daniel Kowalski, Counselor to the Secretary, U.S. Department of the Treasury; and Darryl Steinhause, ADISA Legal Counsel, DLA Piper, about how changes from recent tax reform have impacted the alternative investment industry. ADISA President-Elect Larry Sullivan, with Passco Companies, moderated the discussion.

8. On the second day of the conference, keynote speaker Roger Staubach, an NFL and real estate legend, spoke on teams, strategy, success and his life as a former Dallas Cowboy as well as the founder of The Staubach Company, which was sold to Jones Lang LaSalle (JLL) for more than $600 million in 2008. 

9. This year’s conference had one of the strongest programs for breakout sessions that we’ve ever produced. It included roundtables for every audience, and covered emerging products, private offerings, specialty products, and more. At the Harnessing the Power of Marketing and Technology to Boost Sales panel, attendees learned tips and tools that can be used to generate leads, personalize marketing initiatives, deliver relevant content and optimize digital experience. Panelists discussed the importance of understanding your product and the regulations that are necessary to follow, involving sales and marketing teams in the early stages of drafting materials for a product and being aware of which distribution channel you are planning to go after. 

AC Report4-110. We wrapped up our general sessions with an enlightening CEO panel that featured ADISA’s president, Greg Mausz, executive vice president operations and due diligence with Preferred Capital Securities, as moderator. Panelists included Jason Kavanaugh, president and chief executive officer of Concorde Investment Services; Michael Schwartz, founder and chief executive officer with SmartStop Asset Management; Lisa Robinson, president with Carter Multifamily; Louis Rogers, founder and chief executive officer with Capital Square; Mike Bendix, co-founder and chief executive officer with DFPG Investments; and Corey Maple, chairman and chief executive officer of Legendary Capital. The group discussed Regulation Best Interest, debated 506c offerings, and dove into the effects that technology changes, such as straight-through processing, have had on both product offerings and the industry overall. 

Congratulations, Award Winners!

Congratulations to the winners of ADISA’s 2019 A Champion of Excellence (ACE), Distinguished Service and President’s awards. The awards were presented during the welcoming ceremony at the Annual Conference.

The ACE Award, the highest honor bestowed on a member by ADISA, is presented to an individual or organization that has reached a pinnacle in their career and has brought credit to themselves and ADISA through distinguished accomplishments. This year, the ACE Award was presented to John Grady, a partner with Practus. 

The Distinguished Service Award is presented to individuals and companies who have provided exceptional service to ADISA, the alternative investments industry and the overall community. This year’s award was presented to two individuals - Rajeev Kotyan, principal at Innovative Advisory Group, and Thomas Rosenfield, J.D., CAE, president of HillStaffer.

The President’s Award was presented to Vali Nasr, chief executive officer of Claraphi. This award is given to an individual or organization that has made outstanding contributions in their chosen field, by service in local, state or national affairs, or in support of the advancement and continued excellence of ADISA.

“ADISA is proud to honor John Grady, Rajeev Kotyan, Thomas Rosenfield and Vali Nasr for their exceptional dedication and commitment to furthering the growth and education of the alternative and direct investment space,” said ADISA Executive Director John Harrison. “Each of these recipients are consummate industry professionals and we appreciate everything they do for our association and industry alike.” 


AC Report6