Ultra-high net worth clients have bigger portfolios but also more complex needs. And while no wealth advisor should be expected to be an expert on everything, Rich Berthy—founder of Foresi𝕴de and now Big Sky Trust Company—says advisors need to know where to go for help on topics like taxation strategies and trust capabilities. He joins host Jay Hummel to talk about this topic and more on The Deep Dive.

Rich Berthy: Rich Berthy founded the outsourced governance, risk, and compliance company Foreside Financial, which merged with ACA Group in 2022. He now runs Big Sky Trust Company, which serves family offices, endowments, individuals, foundations, and holding companies. Rich has been a financial advisor and investor in companies, started a bee-keeping and honey business, and sits on the boards of several firms today. He resides in Montana.

Video Transcript

[00:00:06.14] - Jay Hummel

Hi, this is Jay Hummel. Welcome to The Deep Dive in collaboration with Investopedia. As our listeners know, we’ve had two big themes this yeaꦆr: 🏅how advisors can go up-market and better serve ultra-high-net-worth investors. So today we are welcoming Rich Berthy, someone with a great amount of experience in that space, to discuss this topic. Rich, thanks so much for joining us.

[00:00:41.54] - Rich Berthy

My pleasure, Jay. Thanks for having me.

[00:00:44.01] - Jay Hummel

Can you start by telling our 💖listeners a little bit about yourself, and what you’re hoping to do with Big Sky?

[00:00:49.89] - Rich Berthy

Sure. Recently I was the founder and CEO of Foreside, a professional services firm that offers compliance and distribution services to the investment industry. Foreside has now joined the ACA Group. With Big Sky Trust Company, my new venture, our goal is to build a trust company into our structure, which allows us to deliver unique products, especially in the common investment trust (⛦CIT) space, that’s generally more cost-effective than the traditional mutual fund. So, it was great to have that exit from Foreside and begin this new chapter.

Intro to Rich's New Venture

[00:02:10.87] - Jay Hummel

When I used to run an RIA, one of the biggest challenges was attracting ultra-high-net-worth ♛families because we didn’t have tru🉐st capabilities. I mean, you’re working with a $40 or $60 million family, and they want to hire a corporate trustee. They don’t want a family member being trustee. It feels like Big Sky is positioned to solve that.

[00:03:08.39] - Rich Berthy

Yeah, exactly, Jay. It’s challenging managing generational wealth—G2, G3 and beyond—especially when tho𝔍se younger generations might not be interested in managing the family’s assets. Nowadays, family offices are much more professionalized; they’re hiring talent to manage the family wealth. There are about 60,000 families in the U.S. with net worths over $100 million, and trust services are really crucial for these families in maintaining a smooth transition between generations.

Corporate Trustees for $30M+ Families

[00:04:54.98] - Jay Hummel

So if you’re an advisor, and you’re working with a $30 million family, shouldn’t they have access to a corporate trustee? And that’s what Big Sky can provide, rig🌟ht?

[00:05:37.07] - Rich Berthy

Absolutely. We’re independent from a bank, so we have a lot of flexibility. And with the estate ta💫x exemption scheduled to drop after December 31, 2025, clients need to plan now to maxiꦚmize the wealth they pass on to future generations or potentially give to charity.

Financial Advisor Blind Spots

[00:06:33.11] - Jay Hummel

What do you think, at a high🍷er level, advisors are missing when they’re workin🌟g with ultra-high-net-worth clients?

[00:07:15.60] - Rich Berthy

Good question, Jay. A lot of times, advisors are focused on asset management, and of course, that’s important. But there are other crucial components—like tax planning, estate planning, and trust services—that often get overlooked. Advisors can’t be experts in everything, so there’s value in outsourcing some of𒁏 these areas. Recognizing where you need specialized support can be really beneficial for clients.

[00:08:55.67] - Jay Hummel

Right. Advisors don’t have to be experts in everything; they just need to solve the clients’ problems. That’s the beauty of what you’re doing at Big Sky—you’re an expert in trusts, so advisorsꦰ can rely on you.

[00:09:08.88] - Rich Berthy

Exactly. Outsourcing is really practical in these situations. I like to think of advisors as quarterbacks or air traffic con🐽trollers; they don’t need to do it all, but they’re responsible for directing where clients should go.

[00:10:00.19] - Jay Hummel

Rich's Passion Project: Bees

Well said. Now, let’s shift gears a bit and talk about your bee business. When I last visited you in Montana, you were showing me the orchard you’ve been developing and this bee business you’re starting. What’s going on th♚ere?

[00:12:15.43] - Rich Berthy

Yes, that’s my passion project! We fenced off an acre to start our orchard—apple, pear trees—and recently set 🤡up around 100 hives. About 60% of the hives are producing honey, but we’re l꧑osing some, likely due to the smoke from wildfires and the intense summer heat. We’re wintering the bees in a greenhouse now to keep them warm. Right now, we’re taking care of about 8.5 million bees!

[00:14:13.18] - Jay Hummel

I lov🐈e it. Only you would start a honey business on the sid🅠e!

[00:14:22.22] - Rich Berthy

Thanks, Jay. In Montana, bees are considered livestock, so technically I could even brand them! Somehow, one bee always finds me to sting me, bꦿut my wife never gets stung. Go figure!

Closing Thoughts

[00:15:08.04] - Jay Hummel

As we wrap up, what do you 💟think the wealth management industry is missing?

[00:15:29.47] - Rich Berthy

I think there’s still a gap in providing a seamless client experience, especially 🍰for services like trust. Some technology platforms are better than others, but there’s inconsistency. Advisors could benefit from outsourcing more compliance or trust services, allowing them to focus on managing clients’ portfolios while ensuring all other areas are covered.

[00:16:40.68] - Jay Hummel

If people want to get in t🔯ouch with Big Sky, what’s the best way?

[00:17:00.74] - Rich Berthy

Our information’s on our website, BigSkyTrustCo.com. We’re alway🤡s happy to connect, help out, or just meeꦍt new people.

[00:17:08.04] - Jay Hummel

Thanks so much for joi𒊎ning 😼us today, Rich. Really appreciate it.

[00:17:15.30] - Rich Berthy

Thank you, Jay. I look forward to seeing you again soon—just b﷽uzz me anytime!

End of Transcript.