Salary model exploited by rivals
May 4, 2019 | Bruce Kelly | Investment News
The Big Four wirehouses control trillions of dollars of client assets and are not about to disappear anytime soon. But they have been losing individual and groups of advisers to competitors.
According to InvestmentNews data, 235 individual advisers or teams with $61.5 billion in assets left a wirehouse in 2018 to work at another type of firm: a stand-alone registered investment adviser, a hybrid firm, an independent broker-dealer or a regional brokerage.
The potential threat of wirehouses evolving their pay system to a salary-plus-bonus model is one more talking point those competitors use to convince advisers to jump ship…
