While most advisors report that their revenue payouts hover in the traditional 40 to 45 percent range, Wells Fargo advisors report receiving the lowest range and Morgan Stanley the highest.
Yet while these firms are often criticized for their lower revenue payouts compared to the RIA space, the structure of an employee model covers a majority of the overhead costs associated with the practice.
The percentage of advisors’ revenues derived from fee-based business ticked up again this year, for the sixth year running. Advisors report fee-based assets make up almost 55 percent of their income, compared to 52 percent reported in 2014.
Next: Stagnating Assets?