From oil and gas, to wealth management, to the next gen
Rathwell Financial, in Alberta, founded by John Rathwell: ‘I found people who were successful and interviewed them to learn their secrets’
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Rising generations don’t always choose to work in the family business, and when they do, there can be differences of opinion. But when generations come together, leveraging each other’s strengths, the result can be a robust family enterprise.
Though John Rathwell, the founder of Rathwell Financial, started out in a completely different industry, he ended up with a business that now reaches into the second generation.
The wealth management firm, based in Red Deer County, Alta. (north of Calgary), and part of Raymond James Ltd., says it has about 660 clients and $230 million in assets under management.
Rathwell’s son Jonathan Rathwell works with him in the business. His daughter, Brianna Rathwell, also worked as an advisor at the firm, but then moved overseas. And his son Jordan works in business development for the firm.
Here, John and Jonathan talk about how both generations came to work together in the industry.
How did you come to start your own business, John?
John Rathwell: “Since we live in Alberta, I was planning on working in the oil and gas industry. Then I went to work and realized that I didn’t like working outside in minus-40 and plus-30 degree weather. This helped me make the decision about working in an office, and my interest was in the financial markets.
I worked for a big bank for over 10 years, and I realized that if I wanted ownership and the lifestyle of being self-employed, I would have to walk a different path. My family understood that my hard work provided benefits to them in the long term. Nothing in life comes easy.
I worked 7 days a week to get the job done. Weekends and holidays are just another day to get things accomplished.”
How did your father’s experience shape your own work ethic, Jonathan?
Jonathan Rathwell: “My Dad has been featured in Wealth Professional’s Top 50 five years in a row and is a perennial sales leader at Raymond James. He’s an incredible role model. He eats, sleeps, and breathes this way of life.
As such he is almost impossible to copy because of his work ethic. But I do strive to mirror him as best as possible.”
Jonathan, when did you decide on your career path, and what supports did you receive?
Jonathan: “I cannot recall a specific moment as to when, but with John’s guidance and stewardship, he was able to lay out a path for me … but it was up to me to take the first step towards that vision.
As far as support goes, I kind of abused that a little early on. I took quite a bit of time off one year and did 16 exams in 12 months (if I recall correctly). The flexibility and freedom of being self-employed is truly rewarding.”
How did your choices about your education affect your careers?
John: “I changed careers from the oilfield to financial services. To accomplish that I needed to get the educational credentials. After graduating college, I continued my education and got my CFP [Chartered Financial Planner] and CIM [Chartered Investment Manager] designations.”
Jonathan: “We both got our CIM designations a while ago. This was to transition our business over to the Portfolio Manager/Discretionary Manager model. By doing so, we can offer our clients the most effective and efficient way of doing business within the financial arena.
But this also causes an interesting drive and domino effect in terms of further education, self-improvement, and designations, as well. This year alone I am going after two, maybe three more.”
What supports and training other than your formal education did you find valuable in leading you to your business milestones?
John: “I found people who were successful and interviewed them to learn their secrets. Rather than try to recreate the wheel, I find someone who is super successful and ask them for their success model. Most people don’t mind sharing, knowing you are genuine.”
Jonathan: “Doing a lot of correspondence courses through different third-party educators, such as CSI [Canadian Securities Institute], which offers a well laid-out roadmap for [achieving designations]. Doing [courses] may unlock another pathway to a different designation, as well. This has caused me to have even more designations in my sights over the next few years. I’m going to need a two-sided business card right away.”
What is it like working together with family?
John: “I enjoy working in a loving and caring environment where we don’t have to worry about differing personalities. The family understands the rule, and I don’t have to explain working on weekends and holidays. This business is client focused.”
Jonathan: “Every day I get to see some of my family. Even my mom stops in from time to time. My sister used to work with us, as well. But she met a lad from the U.K. and now lives there. So at one point, John had his whole bloodline with him.”
Are there pressures to achieve success coming from a thriving family business background?
John: “We all define our own levels of success – family, income, freedom, etc.”
Jonathan: “Where to start? Since John has been recognized numerous times by different media publishers, the light he casts continues to grow vaster. Therefore, being second in command makes it an even bigger challenge to get everything right and achieve things on “his” scale. Our office motto is ‘Family helping Families.’ Therefore, the more people that we can help, the better that we do.”
Do you have any advice for next gens, whether they want to be part of the family business or go in a different direction?
John: “It’s not really work if you enjoy what you are doing.”
Jonathan: “If I could turn back time, I would have tried something different. Probably the same industry, but different avenue. I originally had my eyes on being a wholesaler for a fund company. When I was younger, they had the ultimate job in my eyes. So, if I could do it all over again, I would have given that a crack. Then eventually come back to the ‘dark side’ with my dad. Most wholesalers want to become an independent advisor, so it appears that the grass is greener on the other side of the fence.”
Responses have been lightly edited for clarity and length.
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