BAC Buying MER!

source?

What a discrace this industry is…Maybe Hot dog on a stick will buy Morgan

CONFIRMED By the WSJ.   BAC to buy Merryl for a premium of 29/ share

what do you all think this will do to BAC stock?

[quote=captclose]what do you all think this will do to BAC stock?
[/quote]

It will fluctuate.

[quote=HymanRoth]

[quote=captclose]what do you all think this will do to BAC stock?
[/quote]

It will fluctuate.
[/quote]

Clever LOL.

I wonder if they’ll change the name to BankofAmerrill??

What a discrace this industry is…Maybe Hot dog on a stick will buy Morgan

BAC could've bought UBS' retail unit for less than that. Their model of High Networth Clients is right up BAC's ally. Yes MER has the same clients but it's kind of tough seeing BAC take on an entire investment bank when it seems they'd be better suited to take on only a retail investment force.

This isn't good news...the powers that be forced this situation..BOA is the protected entity in this crisis....buyout???? come on....just like they did for countrywide earlier this year..its more like a "buy in" since both companies hold negative assets.

[quote=Broker7]

This isn't good news...the powers that be forced this situation..BOA is the protected entity in this crisis....buyout???? come on....just like they did for countrywide earlier this year..its more like a "buy in" since both companies hold negative assets.

Much like I said a while back…cash , cds, treasuries, commodities…

[quote=Primo]

[quote=iceco1d][quote=snaggletooth]

Annuity companies are the next to blow.  Does anyone actually think ifthis goes on farther they will be able to be to pay the guarantee on the VA’s.  Guy I know at ING has already said, DOW below 10,000 or so and they will probably renig on the VA’s.

Its not as bad as it seems…what 10-15 banks have gone under and expecting another 100 or so to go under???  Thats a 1000 less than in the 80’s.  The markets will be fine the economy will be fine.  Not the first time this crap has happened and wont be the last.  Looks like it is going to be a exciting Monday, time to call on all my Merrill prospects!!

Annuity companies are the next to blow.  Does anyone actually think ifthis goes on farther they will be able to be to pay the guarantee on the VA’s.  Guy I know at ING has already said, DOW below 10,000 or so and they will probably renig on the VA’s.

Its not as bad as it seems…what 10-15 banks have gone under and expecting another 100 or so to go under???  Thats a 1000 less than in the 80’s.  The markets will be fine the economy will be fine.  Not the first time this crap has happened and wont be the last.  Looks like it is going to be a exciting Monday, time to call on all my Merrill prospects!!

Both are such completely different cultures. I am interested to see how this works.

What are people's thoughts on money markets? In the past brokerage firms have bailed these out to keep NAV at $1.00 share, but technically they can go below this.  Next thing to go?

Anybody know what was the FED’s role in the MER BofA deal?

[quote=Rugby]Anybody know what was the FED’s role in the MER BofA deal?

Its not as bad as it seems…what 10-15 banks have gone under and expecting another 100 or so to go under???  Thats a 1000 less than in the 80’s.  The markets will be fine the economy will be fine.  Not the first time this crap has happened and wont be the last.  Looks like it is going to be a exciting Monday, time to call on all my Merrill prospects!!

[quote=iceco1d]Definitely good points Rugby…I’m just going on “publicly available information.”[/quote]

Listening to Ken Lewis press conference…He says no FED push or help…

[quote=iceco1d]Definitely good points Rugby…I’m just going on “publicly available information.”[/quote]

Listening to Ken Lewis press conference…He says no FED push or help…

Mer and BAC have been in discussions previously so it wasnt a blind deal. MER president pushed Thain to call Ken Lewis Saturday about the deal. Morgan was contacted by Mer but they didnt have enough time to do the due diligence to close the deal before today. Thain isnt exactly making out like a bandit in this deal, something like 9 mill he will get. The question is where does Thain go from here when the deal is done? Back to Goldman or over to MS or JPM ?

[quote=Rugby] [quote=iceco1d]Definitely good points Rugby…I’m just going on “publicly available information.”[/quote]

Listening to Ken Lewis press conference…He says no FED push or help…

[quote=snaggletooth][quote=Rugby] [quote=iceco1d]Definitely good points Rugby…I’m just going on “publicly available information.”[/quote]

Listening to Ken Lewis press conference…He says no FED push or help…

I just got off the phone with a client I share with a Merrill Broker and he’s looking at consolidating here.  He asked me when the best time to consolidate the account would be and of course, I told him now.  Certainly, there’s bias on my side, but he understood the logic which is this: The current market gives us lots of opportunity to make changes in a client’s portfolio with considerably reduced tax liabilities.  This client, in fact, will actually have a tax benefit, due to some poor investments, oddly enough, in his bond portfolio.  He’s too young to wait for death puts and in light of what’s happened with LEH, I’m not inclined to recommend that he hold long GM paper when there are plenty of bargains in the market right now.

I’m curious how it will all shake out.  The most important question is whether Merrill advisors will be allowed to wear BAC polo shirts on Fridays?

We had a Bank of America management call earlier today.  Of course, they showed the false and over-the-top excitement.  However, what I got out of it was: 1. We will be moving to the Merrill platform (not a bad thing), 2. They will be tricking the Merrill brokers into staying with our CM model.

I must say, you MER guys are making out very well compared to what your fate would’ve been most likely this week.

Looks like Bob Bagby sold us (AGE)at the top in retrospect lol! Maybe he was smarter than we gave him credit for! Good luck w BOA Merrill Guys and Gals.

BAC should discount the retail brokerage assets they think they will acquire by 50%. All top Merrill advisors will go independent before they go to Banc of Amigo.

Merrill brokers will love the layered bank management cutting comp, annualizing payout, basically scuttling their business.  It is going to be a delicious stew of arbitration battles for the next 5 years!!!!

Ha Ha Haaaaaaaahahaahahahaahaaha!!!!!

[quote=Eyetattoo]Its not as bad as it seems…what 10-15 banks have gone under and expecting another 100 or so to go under???  Thats a 1000 less than in the 80’s.  The markets will be fine the economy will be fine.  Not the first time this crap has happened and wont be the last.  Looks like it is going to be a exciting Monday, time to call on all my Merrill prospects!!

I wonder if the Merrill guys will have to go through “Spirit Training”?  

I agree the rate of “regretted attrition” at MER will be higher than BAC hopes/expects, but it is certainly nothing to celebrate or laugh at.  Good luck to the MER and LEH folks…tough decisions await them.

BAC with the exception of retail banks has never been able to integrate another organization. US Trust has not worked out well, Fleet was a disaster, they went from #1 in Credit Cards when they bought BankAmerica of SanFran to # 7 2 years later. They bought MBNA at the top and have just raised rates which basically has caused adverse selection (insurance term) which will eventually show in the increasing charge offs for the CC business. BofA is all about positive control. They run the business on a spreadsheet and that is all they can understand.



However, this day has come to them on a silver platter. MER had no choice.   Once LEH’s toxic paper is priced it will establish a price for all the CDS market, at least for a time. Then, MER would have had to re-price and possibly unwind deals they did previously placing them in the same spot LEH was this week end, just a few weeks from now. Thain acted as any good general would when his forces face insurmountable odds. He thought of the troops first, himself second. He will not find the same ideal nor quarter with BAC. Lewis in all of his smug Napoleoness today spells trouble for my friends at MER. The first to go will be the multiple layers of 3rd tier management at BAI. Eventually though, maybe within a couple of years, the MER Rep will feel the hand of lord Vader squeezing their neck and will find the independent channel waiting.

BACFA, can you tell me more about the B of A “CM Model”?  I am a veteran ML FA.  Today’s announcement was sad but necessary and we made it through a brutal market day with an up day in our stock (albeit a mere penny up) and a firm that will now clearly survive the mess.   I am curious to hear what our new platform will be like (if any changes), and our management has told us absolutely nothing.  And no, I have no intention of doing anything remotely related to bank branch work. 

I am curious to hear what our new platform will be like (if any changes), and our management has told us absolutely nothing.  And no, I have no intention of doing anything remotely related to bank branch work. 

the poor merrill brokers. they just don’t know the bs that is ahead of them.

[quote=Rugby] [quote=iceco1d]Definitely good points Rugby…I’m just going on “publicly available information.”[/quote]

Listening to Ken Lewis press conference…He says no FED push or help…

if the bs gets too thick, there isn’t another firm on the street that wouldn’t love to have us (Goldman the possible exception).

I am a former ML’er (8 years), was at BofA for 3 plus and left when they shut down the bank in my little town. The “CM Model” you refer to will not come into play, at least at first. BofA has at most 2,500 CM’s or client managers whose banking clients meet standards that are basically similar to a premier client at ML.   Under the current BAI system, and FA can keep clients under $3 Million but are expected to refer those above to the Private bank/US Trust. The CM is heavily incented to do this. The CM is incented to grow deposits and new money with BofA. That can be through the BAI channel or BAI Discount. The most successful CM’s go through BAI Discount, though not all. The whole point is that a CM should be prospecing for you and the FA should be prospecting for his/her banker. The bankers are not really good sales people, though, so you end up working “walk-in” type business rather than the networking type business we were taught.



Overall, the platform will likely stay the same. I think, though (my opinion) that BofA will eventually cut comp since at the lowest on the street already, they always had a latent disdain for FA’s making what they are making.

You can find more detailed information on Client Managers if you search these forums.  It’s basically a glorified customer service representative in the bank that is supposed to feed the financial advisors with great referrals.  FA’s and CM’s are supposed to work together in uncovering assets.  Ken Lewis talked about it on today’s call with Thain:

That’s not going to work.  We don’t really “prospect” at Merrill…we have a very large, sustainable book of business, off of which we take an annual fee in exchange for the full suite of private banking services (and no, I’m not part of Merrill’s private wealth/bank group, just a regular FA).  When we do a good job for our clients, they refer us new business.  I cannot remember the last time I made an outgoing prospecting call.  We focus very hard on keeping the back-door shut, so that when the front door to new business does open through a referral or a walk-in, it’s immediately accretive to our business.  Going to that model that you speak of would be a complete 180 degree turn, and counterproductive in my humble opinion.  My clients are my clients…if they get referred to someone else once they hit $3 Million, they will no longer be a client of my firm, they’ll move their business.  And exactly one-half of my book is over $3 Million and one-half is under $3 Million, so would I classify as a CM or a private banker?  Hopefully they’ll just leave the Merrill model intact.  Thanks for the feedback, much appreciated.

I wasn’t laughing at them-I was laughing at the concept of Spirit Training.

cubfan:

You have no idea the bureacratic nightmare you are entering into. You are going from driving a Lexus to a "TAY-OTER" Camry. You better get your ducks in a row and go indy before you have to sign the non compete with BAISI.

Once you sign it you are FOOKED. They will aggressively enforce their agreement and take you into Arbitration in order to retain your assets.....Dont say I did nt warn you.....

What are the thoughts of the BAC guys for those Merrill offices in states with no BAC presence?  Will they be left alone?

Everyone realizes BAI is going to have ot make some changes.  Just watch to see who they put in charge of the FA’s.  If it is a BofA person then it will not be pretty.  Most of the BofA Investment management if they have any experience in this side of the business are flunkies from Dean Witter.  The vast majority came from the bank and have no idea how an FA does what he does.  They honestly think the the banker is the relationship manager and the FA provides an additional service.

I have only seen BAI go after one departing FA and that was because he pre-filled ACATs and New Accounts with Social Security numbers.  I think, in general, they are pretty lax about it. 

The integration can't be any worse than AG Edwards v Wachovia right. When all was said & done about 33% of the brokers departed edwards. I don't think BAC will loose anymore than that especially in this environment.

I think BAC is realizing that their in-house managers are horrible.  They’ve pretty much admitted that they couldn’t expand beyond 2,000 reps and they tried to keep most of US Trust intact.  I agree that the lower level managers are basically finished, especially if they want ML brokers to stay.

BACFA, there is no way that 15,000 + 2,000 FA’s are going to be paired up with 1-2 CM’s since there are less than 2,500.  BAI is going to have to come up with a WB like model.  ML FA’s are at a much higher grid as well.  You think they are just going to up the BAI grid overnight with the MER purchase?  There is a 25% difference in comp plus they actually have a long term incentive plan.  The bankers will birth bricks if it remaines intact!

I wonder how the enviroment for those huge transition checks will change.  The last I heard, Morgan Stanley was still writing 100%+ deals.  Those may dry up with the influx of crabby brokers.

Yes, boamigo, I agree on the WB model.  That’s what I wrote earlier.  I was just commenting on the “model” for cubfan.

Well seeing as this deal closes 1Q 09 I’ll bet they will have the retention deals out by Thanksgiving…makes for a real turkey holiday.

BACFA, I heard the exact same thing.  So that is why I wonder about the “model”.  I was doing well when I had Business banking and was the designated FA for the PB.  But, they pulled back to the big city and left river city a collection of banking centers with nothing.  Two weeks after I pulled the cord, they eliminated Premier in the market.

I feel for you guys…the only thing I could have imagined worse than being bought by WB was being bought by BOA…I can’t imagine trying to integrate MER and BAC…talk about polar opposites wow…at least WS had alot of similarities to AGE for our merger.

[quote=Broker Fee]

The integration can't be any worse than AG Edwards v Wachovia right. When all was said & done about 33% of the brokers departed edwards. I don't think BAC will loose anymore than that especially in this environment.

Amigo, I would much prefer the ML name to BAI.  It took years for Morgan Stanley to finally dissolve the Dean Witter name (along with their reputation to roam the Sears department stores).   I would happily learn new systems and migrate into ML’s platform to rid ourselves of NFS and the BAI Compliance. 

Unfortunately, I just signed my offer letter to join Merrill on Friday 9/12 as a trainee being new to the FA business (been working at a trading operation for 5 years before this)…then over the weekend I hear the news.  Now I’m wondering what the heck I’m getting myself into.  I’m gonna stay put for now as long as the training program and compensation are still going forward.  This is quite a mess…I may end up back at the trading desk.  Sheeesh! 

Guys, get out and get out now. I began my finance career in general at BAC before becoming licensed. You have no idea what a cluster fuck this is going to be unless you’ve seen BAC on the bank side, not BAI. The beaurocracy is absolutely staggering. It is nearly impossible to perform a single financial transaction of ANY kind without using a different system. You will have upwards of 12 passwords just for bank side programs. You will have no discretion to perform many transactions, leading you to need to call other departments, each of which will have 20-30 minute hold times, if you’re able to even reach the 9-5 piker who will be waiting at the other end of the line. Most of the bank employees will do absolutely NOTHING but get in your way. Not because they’re “haters” although many are, but because they’re just clueless imbeciles trying to rack up a few more years to get up to six weeks of vacation. I’ve confirmed with former coworkers that my experience has only worsened.



The culture of BAC is that no one can ‘get anything done’ without getting 20 other people in at least 10 other departments involved. Your clients will not be yours but those of the bank. Use this as an opportunity to go Indy or jump to another wire, but don’t even think of going to BAC.

If BAC is smart, they will just stay out of the way and let ML’s brokers go about their business.  BAC should know that the wealth management platform was not broken and they don’t need to get involved to “fix” it.  ML failed because of the other areas of the organization, not the wealth managment side. 

BAC had to get away from NFS and self clear, eventually.

[quote=Akkula]If BAC is smart, they will just stay out of the way and let ML’s brokers go about their business.  BAC should know that the wealth management platform was not broken and they don’t need to get involved to “fix” it.  ML failed because of the other areas of the organization, not the wealth managment side. 

Let MER run???

Charlie is right. how can you want to put a well run company into the hands of cowboys without a clue.

[quote=Charlie Brown]Let MER run???

[quote=Charlie Brown]Let MER run???

[quote=B24][quote=Charlie Brown]Let MER run???

[quote=Charlie Brown][quote=B24][quote=Charlie Brown]Let MER run???

Does anyone remember that BAC bought Dean Witter before they started calling themselves Morgan? I am talking about the B/D not the I-Bank for those of you who cannot seem to follow the difference, BAC stayed with the purchase for a whole 18 months and unwound it. Something about culture clash, I believe was what they said. Then “the Dean” went to JPM leaving Mr. Morgan turning in his grave. BAC hired many of the managers that were find JPM uncomfortable after they righted the ship (by moving out a lot of “the Dean” folks). The people that need to be worried are BAI low level managers. They are toast.



BAC does not have one example of successfully integrating anything but a retail bank. Even then they lose around 30% of the earnings. Dean Witter, Qucik & Riley, US Trust. They all were failures at the hand of the current leaders of BAC.



But hey, everyone shops at Walmart, right?

BACFA:

That would be my template as a Merrill Rep.....

Search Ina, Parizale at Finra Arbitration decisions webpage .....

Revisit the old Investment News article from 2005 everyone will see what I am talking about 

Maybe I drank the Kool-Aid but I think that things with Merrill Lynch Global Wealth Management will largely remain the same.  Bob McCann will still be running the show.  BAC wants to retain the Merrill Lynch FAs and considers then the “Crown Jewels of Merrill Lynch” (not my words).  Bob knows the ML FAs and he knows what it will take to keep them around.  I’ve heard people talking about retention bonuses nearing 100% of trailing 12-months for higher producers.  Unfortunately for me, I did hear that lower producers have much lower retention bonuses.  Since I’m just graduating POA at my 18-month mark at the end of this month, there will be no retention bonus for me.  I’m also a little upset, but not shocked, to hear that my FCAAP bonus will not vest at the acquisition as we were told by our director yesterday.  Oh well, I’m no worse off comp wise…at least not for now.  I’m just happy that I’m getting my graduation bonus.  I fear that many of my POA/PMDP brethren will not be so fortunate.

Merrill Lynch told us that they “never have laid-off an FA”.  How true is that?  What is the likelihood that will remain true?  To me it seems logical that they eliminate the bottom quintile of those with LOS > 4-5yrs.  

–WM

Shorty:

Run like hell.....

It’s amazing how many recruiting calls have come in to my office the past few days.  I am also surprised how many “senior” advisors never even picked up the phone to make any outbound calls to clients the past few days.  Some have not had a chance since so many clients are calling in, but others just aren’t calling.  Can you guess which advisors are losing clients?

WealthManager:

Stop imitating those Cheech and Chong movies....you are high if you think BofA is not going to kill ML brand and integrate ML into the BAISI model. AG Edwards will not be a brand in a year.  Yeah, their name is  going to survive another buyout of Wachovia. No way Man....Phuuuuuuuuft....Take another long toke....

Its always smiles and promises until the deal closes and then the dungeon door shuts and Merrill is officially in the acquisition dust bin. Quick and Reilly, Thomas "Weasel" Partners, etc  BofA a floated the same story to those poor saps...I dont see their name along side of BankofAmigo.

[quote=daytradah]

Its always smiles and promises until the deal closes and then the dungeon door shuts and Merrill is officially in the acquisition dust bin. Quick and Reilly, Thomas “Weasel” Partners, etc  BofA a floated the same story to those poor saps…I dont see their name along side of BankofAmigo.

[quote=Primo][quote=Broker Fee]

The integration can't be any worse than AG Edwards v Wachovia right. When all was said & done about 33% of the brokers departed edwards. I don't think BAC will loose anymore than that especially in this environment.

daytradah,

[quote=Ferris Bueller] [quote=nestegg]
[quote=Primo][quote=Broker Fee]

The integration can't be any worse than AG Edwards v Wachovia right. When all was said & done about 33% of the brokers departed edwards. I don't think BAC will loose anymore than that especially in this environment.

Wealth:

[quote=bancofamigo]Does anyone remember that BAC bought Dean Witter before they started calling themselves Morgan? I am talking about the B/D not the I-Bank for those of you who cannot seem to follow the difference, BAC stayed with the purchase for a whole 18 months and unwound it. Something about culture clash, I believe was what they said. Then “the Dean” went to JPM leaving Mr. Morgan turning in his grave. BAC hired many of the managers that were find JPM uncomfortable after they righted the ship (by moving out a lot of “the Dean” folks). The people that need to be worried are BAI low level managers. They are toast.



BAC does not have one example of successfully integrating anything but a retail bank. Even then they lose around 30% of the earnings. Dean Witter, Qucik & Riley, US Trust. They all were failures at the hand of the current leaders of BAC.



But hey, everyone shops at Walmart, right?[/quote]

You need to work a little harder at getting your facts straight.  Dean Witter was never owned by Bank of America or by JPMorgan.

http://en.wikipedia.org/wiki/Dean_Witter_Reynolds

[quote=daytradah]

Roth - I used to work at BAI and they did own Dean Witter for 18 months and I meant Morgan Stanley. I am sorry wikipedia doesn’t have it on there, but it is true nonetheless. WM, While the US Trust name is intact, that is it. THe platform at the BofA Private Bank did not change at all; they lost the majority of the client managers from US Trust and lost a good bit of their business although I never heard how much. There was a Masters equivalent meeting in San Diego in the first quarter where the BAI/GWIM heads were stating that 60% of their PCA’s (the guys that go after new money in the PB/US Trust) are not covering their salaries and that they recognize that their strategy is clearly not working since the growth had been less than 1%. The point is - BofA bought a high end boutique shop and made it Walmart.



Daytradah is overstating the case.

Maybe I drank the Kool-Aid but I think that things with Merrill Lynch Global Wealth Management will largely remain the same.  Bob McCann will still be running the show.  BAC wants to retain the Merrill Lynch FAs and considers then the “Crown Jewels of Merrill Lynch” (not my words).  Bob knows the ML FAs and he knows what it will take to keep them around.  I’ve heard people talking about retention bonuses nearing 100% of trailing 12-months for higher producers.  Unfortunately for me, I did hear that lower producers have much lower retention bonuses.  Since I’m just graduating POA at my 18-month mark at the end of this month, there will be no retention bonus for me.  I’m also a little upset, but not shocked, to hear that my FCAAP bonus will not vest at the acquisition as we were told by our director yesterday.  Oh well, I’m no worse off comp wise…at least not for now.  I’m just happy that I’m getting my graduation bonus.  I fear that many of my POA/PMDP brethren will not be so fortunate.

Merrill Lynch told us that they “never have laid-off an FA”.  How true is that?  What is the likelihood that will remain true?  To me it seems logical that they eliminate the bottom quintile of those with LOS > 4-5yrs.  

–WM

[quote=bancofamigo]Roth - I used to work at BAI and they did own Dean Witter for 18 months and I meant Morgan Stanley. I am sorry wikipedia doesn’t have it on there, but it is true nonetheless. WM, While the US Trust name is intact, that is it. THe platform at the BofA Private Bank did not change at all; they lost the majority of the client managers from US Trust and lost a good bit of their business although I never heard how much. There was a Masters equivalent meeting in San Diego in the first quarter where the BAI/GWIM heads were stating that 60% of their PCA’s (the guys that go after new money in the PB/US Trust) are not covering their salaries and that they recognize that their strategy is clearly not working since the growth had been less than 1%. The point is - BofA bought a high end boutique shop and made it Walmart.



Daytradah is overstating the case.[/quote]

I’ve been in the industry for a little while, and I have an interest in ‘financial history’ and a decent memory.  I still think you are incorrect, but would be happy to retract that statement if you can show me some proof.

I’ll also freely concede that Wiki is not really an authoritative source.  It was quickly available and confirmed my suspicions.

Here is another source.  I can’t seem to find the part where it talks about how BofA owned Dean Witter:

http://www.fundinguniverse.com/company-histories/Morgan-Stanley-Dean-Witter-amp;-Company-Company-History.html

Sorry if it seems like I’m picking on you, but people on this board tend to put a certain trust in what they read.  So we need to get our facts right, and so far it looks to me like you’re way off.  That calls everything else you post into question, IMO.

Your turn.

 What did you hear regarding POA/PMDP’s being “not so fortunate.”  I am on track to graduate sometime between 21-24 months (February at the latest, November at the earliest). 

I heard nothing; I only fear that the POA/PMDP's will not be so fortunate.<?: prefix = o ns = "urn:schemas-microsoft-com:office:office" />

I did hear from my BM that those with LOS < 5-years don't usually get retention bonuses.  Just like the FACAAP story, the retention is not a surprise.

--WM

dean witter was never owned by BAC or nationsbank. Dean Witter was at one time part of Sears/Discover. Dean Witter did train nationsbank brokers for their branches at NY hq (2 wtc) . I know this because i cut my teeth at DW and remember the training program. Nations Banc brokers used our tech in their branches and sold our products. What you have was a joint parntnership with DW and nationsbanc for Nationsbanc securities but DW was never part or owned by Nations or BAC.

Then I defer to Bond, James Bond. There was some sort of affiliation but it was very short lived. A family member was in the Charlotte CFO office and was around when they freaked and ended it quickly. Ask anyone at BAI whose was there prior to 1994 (I think). You can google the WSJ about the US Trust point I made as many are recognizing what was before something those of us who worked with the Private Bank knew last year. BACFA is an Ex Q&R guy and I am sure he will tell you that they did not retain many Q&R folks. BofA had to pay some big penalties for annuity abuse and right about that time Lewis said, “the only thing I want out of you [BAI] is to be out of the paper!”

Here is a link to what I referring to. I stand corrected: “the Dean” was not owned by BofA. It was a Joint Venture. Here is the link http://www.publicbonds.org/major_players/boa.htm



"The company faced a class action lawsuit and investigations by the Securities Exchange Commission in relation to a 1993 securities brokerage joint venture with Dean Witter Discover. Dean Witter withdrew from the deal in 1994. Complaints against the company included charges that customers were not being fully informed about the potential risks of some investments. The company settled the charges for $30 million in 1995."

[quote=bancofamigo]Here is a link to what I referring to. I stand corrected: “the Dean” was not owned by BofA. It was a Joint Venture. Here is the link http://www.publicbonds.org/major_players/boa.htm



"The company faced a class action lawsuit and investigations by the Securities Exchange Commission in relation to a 1993 securities brokerage joint venture with Dean Witter Discover. Dean Witter withdrew from the deal in 1994. Complaints against the company included charges that customers were not being fully informed about the potential risks of some investments. The company settled the charges for $30 million in 1995." [/quote]


All this is going on and you’re posting broker dealer genealogy?  Sorry…not too interesting given this BAC / MER thing going on.

My point was several pages ago that BAC has never successfully integrated any JV, Merger, Acquisition other than retail banking. The integrating of the two cultures is not possible with the current BofA leadership in place. I am very sad to see MER go under BofA. A great firm being eaten up by walmart.

BAC had a horrible time incorporating Quick & Reilly (old Fleet Bank).  There was a mass exodus in the beginning (I would estimate at least 40% within the 1st year) and even now, people are still quitting. It’s mostly the larger $1 million producers at this point that are quitting.

[quote=BACFA]We had a Bank of America management call earlier today.  Of course, they showed the false and over-the-top excitement.  However, what I got out of it was: 1. We will be moving to the Merrill platform (not a bad thing), 2. They will be tricking the Merrill brokers into staying with our CM model.

[quote=Hydeho] [quote=BACFA]We had a Bank of America management call earlier today.  Of course, they showed the false and over-the-top excitement.  However, what I got out of it was: 1. We will be moving to the Merrill platform (not a bad thing), 2. They will be tricking the Merrill brokers into staying with our CM model.

Yeah, that's my point.  It sounds stupid but I wouldn't rule out anything with BAC management.  Anyway, I think it will be similar to Wachovia's setup (separate channels).