The Headhunter wonders why Sallie Krawcheck's departure registered as an earth shattering day in the history of the retail brokerage business.
Three years after Bank of America rescued Merrill Lynch, BofA has hit a serious rough patch. Concerns about the bank's mortgage portfolio have welled up again. This week, those concerns drove the bank's stock price below $11. In 2006, it was at $55. The question: what do Merrill brokers make of all this?
Are you familiar with the Wells Fargo Profit Formula program? It was designed and originally launched by Wheat First, the Richmond, VA based regional broker dealer bought out by First Union in 1997. Wachovia and First Union merged in 2001, and Wells saved Wachovia from collapse in 2009.
Once, big firms battled other big firms for the best advisory talent. Now, smaller firms are nipping at their heels as well.
On Wednesday and Thursday of this week, Complex Managers at Morgan Stanley Smith Barney were told to participate in a conference call (the Wednesday call was repeated on Thursday) which was entitled: Compensation Communication Day Training. The slides, delivered by Human Resources, detailed how 2010 bonuses were being structured.
Once, big firms battled other big firms for the best advisory talent. Now, smaller firms are nipping at their heels as well.
Then: Brokerage commissions for trades were high with a client routinely paying more than $1,000 for a large equity transaction.
A Wirehouse Adviser, Regional Firm Broker, and a Boutique Firm Adviser are sitting with me for dinner. None of them are particularly happy with their current firms.
