Citi PWM Exodus

I don’t think it will be tough to move clients if you have a mostly transactional book and you explain to them that they are now required to pay asset fees.  I think those FA’s will have the easiest time moving their book of anyone.

I agree that Citi has never presented a better time to leave, and burton, I think you’re right that the exodus will continue… especially as team splits are addressed. May work well if you’re the senior advisor of the team, but otherwise… it just depends on you and your business.



I think if a team can get it together, do it the right way, work well together and bring in the assets, then there’s no limit. Especially as more and more leave.

Tell me if I’m right here or not.  Those moving here in the coming months will have little resistance as FAs blitz out the door. Stick around 6 months and you’ll have a whole new battle on your hands when you try to pull assets out and face stiff resistance from your former
team mates’ who remain.   I know for a fact hiring authorities (managers, etc)  recruiting Citi FAs right now have figured that out as well. 

I think it really just depends on your own business and if you think you’re able to make the change of business structure (assuming you aren’t already there). If you’re a transactional advisor, and you like being that way, then go and likely have an easy time moving your book.



If you’re fee-based it may work well for you.



I’m fee-based, have great relationships, my clients value my personal advice and not that of the firm, and know I’ll be fine either way.

You guys are missing the point; the problem with this new plan is the very essence of being a broker; the firm completely owns the clients, hence they are forcing brokers to join teams and are combining all the brokers accounts. Then the payout will decrease like initially stated by a 30% target and will all become salaried employees. And the greatest problem is that at the moment only a name change occurred from Smith barney to CPWM, they are all still brokers not Charles Swab 1800 customer service representatives. Going all managed money should be left up to the brokers and the clients and not the institution.



I think what CITI is doing is pure communism and it failed in the real world, and in CPWM it will also fail. I also think MSSB is not considering other options when it comes to hiring CPWM brokers because I think 80% of brokers will leave CITI under these conditions. MSSB is missing a great opportunity. I think MSSB should buy the assets and the brokers from CPWM because they have a 100% success rate to keep the clients, some clients still receive their statements with the Smith barney name on or access their account through www.smithbarney.com.



Shameful all that is happening.

They are trying to turn brokers into Trust Officers- interchangeable salaried employees.

[quote=aurence]You guys are missing the point; the problem with this new plan is the very essence of being a broker; the firm completely owns the clients, hence they are forcing brokers to join teams and are combining all the brokers accounts. Then the payout will decrease like initially stated by a 30% target and will all become salaried employees. And the greatest problem is that at the moment only a name change occurred from Smith barney to CPWM, they are all still brokers not Charles Swab 1800 customer service representatives. Going all managed money should be left up to the brokers and the clients and not the institution.



I think what CITI is doing is pure communism and it failed in the real world, and in CPWM it will also fail. I also think MSSB is not considering other options when it comes to hiring CPWM brokers because I think 80% of brokers will leave CITI under these conditions. MSSB is missing a great opportunity. I think MSSB should buy the assets and the brokers from CPWM because they have a 100% success rate to keep the clients, some clients still receive their statements with the Smith barney name on or access their account through www.smithbarney.com.



Shameful all that is happening.[/quote]


I think you’ve figured it out!  Flash forward 2 years+ after transition has fully occurred and life at Citi for an “FA” is going to look much more like it does today for a Schwab advisor than not.

I agree with your views.  If there is one thing Citi has proved over the years it is that they will always make poor decisions and it will usually be against the advisor.  Anyone hanging on b/c they think things will get better, they are a team leader, they think the clients wont follow etc are in for long term punishment.  The industry has watched as Citi has used the program as a petri dish, always making the wrong decisions.  The problem is management has never once sat in the chair and spoke to a client.  Without that fundamental knowledge of how our business works they are doomed to fail.  Like the Citipro that Ed Munin spent $10mm on to Malik Sawars’ prism models, they all sound great in the widget invention rooms but fail miserably in the real world.  Get back a Bill Maguire or a Howard Hammond and now you are talking.  People will follow them and work themselves to the bone b/c they believe in their leader (and know he has their interests in mind) and the system.  Some will leave before year end, some first quarter; the rest will die off once the new models crushes them with its ever changing focus/grids/leadership…

Burn citi Burn.

[quote=aurence] You guys are missing the point; the problem with this new plan is the very essence of being a broker; the firm completely owns the clients, hence they are forcing brokers to join teams and are combining all the brokers accounts. Then the payout will decrease like initially stated by a 30% target and will all become salaried employees. And the greatest problem is that at the moment only a name change occurred from Smith barney to CPWM, they are all still brokers not Charles Swab 1800 customer service representatives. Going all managed money should be left up to the brokers and the clients and not the institution.



I think what CITI is doing is pure communism and it failed in the real world, and in CPWM it will also fail. I also think MSSB is not considering other options when it comes to hiring CPWM brokers because I think 80% of brokers will leave CITI under these conditions. MSSB is missing a great opportunity. I think MSSB should buy the assets and the brokers from CPWM because they have a 100% success rate to keep the clients, some clients still receive their statements with the Smith barney name on or access their account through www.smithbarney.com.



Shameful all that is happening.[/quote] I agree 110 percent, but no one is doing sht about it!!! Were are the fa’s getting together to discuss this collectively? They’re not, everyones looking out for their own ars… Why can’t we go to mssb? Is anyone taking the lead?

If I was doing 2mm gross a year I would, but am nit having dinner with Debbie and Terry and chatting up… These team leaders are not lookng out for the advisor…

The team leaders are advisors and they aren’t “chatting it up” either. If you’re not a team lead, it’s likely because you sold too many annuities and thought about yourself more than your clients.



You’re lucky to at least part of a team because people think you have potential to change and at least did some fee business, and are not 5th quintile. Sh!t, you’re being given the opportunity to change your business from transactional to fee-based without having a worse year than this year. Take the offer and do it, or just leave and keep peddling annuities.



Might Citi have other motives? Perhaps, but I hope not. If they do, well, then once you put in the work to convert your business and have a well formed team, it would certainly be against Citi’s best interest to not make your team happy. Why? You could leave as a team and do significantly more damage than under the current structure of one advisor leaving, and more client will leave with a team than individually.



Again, if it doesn’t work for you, then quit whining and leave. More clients will leave with you now then will when you leave alone (without the team) later.

I think Bank Brokers will have a much harder time getting on with a wire than they think. I hope for your sake I’m wrong. Taking the easy way out in the beginning will now be the jaws that bite. No more “like shooting ducks in a barrel” and telling people that are cold calling that they are foolish.

So Citi hires Bodurtha from BAI as announced today by the AP.  Interesting… there are NO BAI FAs anymore, they’re all Merrill Lynch advisors today.  What’s Steve’s mandate? 

Article here:

NEW
YORK (AP) – Citigroup Inc. said Thursday it named a former Merrill
Lynch executive, Steve Bodurtha, as managing director and head of
investments for North America.

Bodurtha will be responsible for managing the investments platform for Citi Private Bank across the U.S. and Canada.Bodurtha
was most recently head of institutional retirement, philanthropy and
investments for Bank of America Merrill Lynch. Before that he was head
of investment products for Merrill Lynch Wealth Management.

Charlotte, N.C.-based Bank of America Corp. acquired Merrill Lynch in January.

Everyone stay calm…it doesn’t matter if you clients lose all of their money, the mkt averages 10 % over the past 100 years.

[quote=MrBig]The team leaders are advisors and they aren’t “chatting it up” either. If you’re not a team lead, it’s likely because you sold too many annuities and thought about yourself more than your clients.

And the sky is falling, everybody take cover…



I didn’t say anything about anyone doing $500m in production being a peon, and someone doing 60% annuities, 30% misc, and 10% managed is not an “evolved” business model. That is simply what someone else referred to as shooting fish in a bucket or whatever that phrase is. You’re just selling a product, not advice, and not your own expertise.



If someone has 30% this year, 20% last year, 10% the year prior, well, maybe. But, if the guy down the road from that person is at 60% fee-based and this one at 30%, who do you think they want as the team lead?

How many advisors leave tmrw??? Anyone have a good over/under number??



Also I heard that they’ll be one rep code for the team, but everyone will still have their individual rep code, but all the revenue will funnell into the team code… Anyone here about this???

And the sky is falling, everybody take cover…

I didn’t say anything about anyone doing $500m in production being a peon, and someone doing 60% annuities, 30% misc, and 10% managed is not an “evolved” business model. That is simply what someone else referred to as shooting fish in a bucket or whatever that phrase is. You’re just selling a product, not advice, and not your own expertise.

If someone has 30% this year, 20% last year, 10% the year prior, well, maybe. But, if the guy down the road from that person is at 60% fee-based and this one at 30%, who do you think they want as the team lead?

excitr1011: I would not be surprised if a lot leave today. And yes, I heard that clients remain under your rep code, but revenue goes into the team rep code (but can be individually tracked).



shantom1: Yes, I’m obviously being extreme, but I have seen plenty of those. The firm used the guideline of 40% of the FA’s assets in VAs as being extreme (I’m going from memory, but pretty sure that was the number) and anyone over that needed a justification for being let on a team as to why we thought they would be a good match. They also needed justification if they had under a certain amount of fee-based business (I think $5MM, but not the number on the Focus report, the true fee-based assets).

Some leave today. next Wed… pre-Thanksgiving is likely to be bigger day. 4 day holidays are historically huge move dates and this one lines up perfectly for those who got to work 4-6 weeks ago on their options.    Biggest move date will be 12/17 or 12/18 just before FINRA goes dark for the holidays. 

Here ya.  All being said I formally used the comment “they threw a grenade into the platform”.  I have since changed it to “it is now a massive radioactive wasteland”.

Here’s something I’ve heard but wondering if anyone can verify… Citi may EXIT the protocol and file very soon to do so.  IF this happens, the ramifications within the new team structure would be even more devastating.  I understand it takes 30 days from the time the firm files to the date they are out of the protocol agreement.   This would be the ultimate nail in the coffin to anyone stuck at the firm after the FINRA cut off date 12/18 if Citi were to file on or by 12/1 right?

Anyone hearing this???

First I am hearing it.  It makes sense for a company winding down their business since only people who are hiring will want to participate…

I’ve spent a lot of time on the thoughts of protocol and here’s the thing… If they were going to leave protocol, they’d have been STUPID to not do it BEFORE announcing the changes. But, giving Citi the benefit of the doubt (because they really are stupid), let’s just say that they didn’t think about protocol until we directly asked them about it and that they now plan on exiting protocol.



Protocol only started in 2004. Did advisors never leave before this? No, and non-protocol only stops you from actively prospecting. Doesn’t mean you can’t call and let your clients know where you are…



Might be more difficult, but it’s not going to stop a client who is likely to go with you from going, and a cease and desist is usually not the longest time-frame.



Also, with all the people that have already left, Citi needs to be able to recruit and non-protocol does not fit the model.



Oh, and it’s not 30 days, it’s only 10 days to exit protocol.

Also, Burton, I’ve only heard this as a rumor from the outside. The inside (even though they may be liars) has said no, and they seem honest about it. (Again, they may be lying and I may be an idiot for staying, but I know my business and my clients and am confident that I can make it work either way).

10 days… got it. I’ve heard it only from people inside but it could just be one of the many half truths and rumors that make this board as interesting as it is at times.   IF Citi springs this on the troops, sounds like it would be a pretty big reversal. 

now big rumors of Citi withdrawling from Protocol. This will difinatly restrict any of my clients ability to move with me.

It’s scary to think about and I almost split just thinking about it. It’s not so much that I want to go, but the thought that I’m trapped and I have no choices. I don’t like that feeling. But I thought about it more and realized what I posted last about it and don’t feel that way anymore. I’m confident that no matter which way this goes, I can always leave and my good clients will always follow.



About your comment of “springing” it. I don’t believe that they have to inform us that it’s coming, just that it’s done. And with 10 days anyway, letting us know wouldn’t help too much.

anyone hear of any departures?..

If there is even a remote chance a firm would exit protocol, just given their pure attitude towards their reps who are the glue between the firm and clients of their lousy organization, why in the world would you even consider staying?



Moving is really hard - but not impossible. I don’t judge, but unlike some recruiter or branch manager, I can empathize and see how a broker feels like “I’ll wait until…” I know because I said the same thing. Feel bad for any FA stuck at these sinking old ships. Best thing to do - set a course, have a plan and organize, and do it. If you over think it, you’ll sit around while they (management) continue to tighten the locks. Like a frog in a frying pan! You don’t even realize the heat until it’s all over.



Everyone of these big Tarp sucking firms works to undermine the FA / Client relationship - and that’s just the way it is. The size and mid/upper mgmt. has just clouded what the business is about. They justify and rationalize their salaries and existence while squeezing the FAs and clients for lower payouts, higher admin/account fees. Watch 'em do everything they can to block the exit door more and more each business day. Not about making things better for clients or improving FA support because they screwed up. It’s crytal clear guys and my sympathy if you can’t see this. These forums are like looking back at a reflection of how I felt and how I was scared prior to leaving. Watch the Shawshank Redemption movie and that’s how it feels to bust out.



Have a plan and get outta there. Life goes on.

NEWS… 2 defections confirmed this afternoon.I have confirmed what I heard via FINRA.org  I hear a lot of offers are in the works or already out there with most of them good through 12/15. Movement will accelerate as larger Citi FAs realize now is the only time to move for those who will and can. FAs who hang around for months and into 2009 will find their 'teammates" making any chance to transition virtually impossible. Hiring authorities know this as well. The premiums in terms of transition packages will dive 2010 forward and Citi FAs will be very hard pressed to move clients once teamed and motion into RIA platform begins. 

wheres the exodus? I, just like everyone else at citi would love to hear about more defections, but where is the mass exodus people predicted for Wednsday and today?Any more departures today? heres hoping for more…

Couple of departures I hear. Not the huge exodus expected.

DOES ANYONE KNOW how the focus report, going forward, will look like? will an FA on a team be able to show his or her individual AUM & production? or will all fall under Team Leader? If so, how would one show their numbers if they decide to move down the road?? If you can’t show production and assets, no firm is going to hire…right??

We’ll be on a new platform at some point, so there will be no Focus report, as that is a Smith Barney report. Assets will still be under your own number. Revenue will go to a team number, so no idea how that will reflect on any report. They say it will be “tracked individually” but who knows what that means and if we can generate a report for it. I’m sure the new platform will have a similar report, but who knows what it will look like individually. Yes, I’m worried about this as well.



So, shorter answer: Assets=Yes / Revenue=who knows, but likely not (I don’t think the higher-ups know this yet).

2 major issues facing Citi FAs who move boldly into 2010 in the new Citi world.

1) Teams… once part of a ‘team’, especially a forced teaming situation, life will simply not be remotely close to the way most FAs have become used to.  Most bank FAs have not been part of teams before and the wirehouse style teams that are so common now are very different than what Citi will have.  Just ask a wirehouse broker who was part of a team who then left the team to go to another firm how that went over.  I’ve known many who split up but stay at the same firm… in that case, life goes on, so what.   Those who split out of team, leave to another firm and ‘try’ to take ‘their’ clients are often lame ducks for a good few years. I’ve seen this literally screw up years of work. The intel and relationships with clients across the team really hurt their ability to move effectively. Managers know this when recruiting someone in this situation and it changes the game for sure.

2) Production reporting- once part of a team, breaking out and proving what is ‘yours’ and what ‘comes with’ etc becomes very cloudy. Sure, it wont’ matter to a broker leaving in February so much. Hang around well into 2010 and ugly will be the scenario for the fool who realizes Citi is not for them at that point. Ever gotten in front of a hiring authority with team reports and vague if not impossible to understand individual reporting trying to prove what’s yours and what comes with you if you move?  Managers see this all the time and again, it kills transition deals.  You’ll feel like the Kmart blue light special when the ‘deal’ is put in front of you. 

At Citi, your clients are ‘yours’ today, but that’ll change very quickly.  I commend anyone at C who has the stones to stay on for the long haul. You’ll need them.

I don’t see a reason for panic… I also know that managers and recruiters may want to take advantage of the situation, … Crappy situation for sure, leave if you must, but if your a good rep, I think you’ll get a gig , now or in a couple months…

Not for nothing, but take the blinders off- you don’t want to be left when the party is over (and they just stopped the music).

Update…Big producer in Chicago area left Friday last week to LPL… confirmed! One of the higher producers in the mid west I hear. 

Second update… just got a pm confirming 2 FAs in CA out the door today.
Merrill and Wells Fargo seem to be the winners there today.

Next weekend there will be another few…

just spoke to a couple buddies who are out this week. stay tuned

Anyone else leaving.  People I am close to are taking it day by day. No one will integrate the way that they are dreaming of.  We will be teamates for compensation but are not going to introduce our clients to each other or evan let our clients know that we are part of a team.  The way we see it is that until we make a more permanent decision the team will do business as usual and we will attempt to be as fair as posible so that whatever a person puts in they will take out.  The team is a facade. 

The program is a facade, They are doing everything in their power to bury the FA’s.  The longer you stay the more you loose- it’s like all citi reps are standing in quicksand and some are reaching for ropes while others are hoping the sand stops sinking… 

Watch for some moves today on the coasts for the most part… it will happen.

3 in NY I know of today…

10 left this week in the LA area

I just heard one came back from getting a sex change operation.

Exodus is here. Can someone leave this coming Friday the 18th? I’ve heard FINRA shuts down for the holiday but I’m not sure if they are open Fri or till what time…

That would be risky. If I were leaving this week it would be by Weds or Thurs morning the latest. Even if FINRA is opened on Friday, the 18th, they will be inundated with transfer requests and if they don’t get to it by the time they leave, what can you do, you’ll be in limbo for 2 weeks…Don’t chance it!!

Can someone put some names of the departed FA’s on here. There is no risk to them once they’ve officially resigned… Names and cities where they were located…

I agree, this would be a terrible weekend, they’d be best off going MLK weekend in Jan.

Did 10 reps really leave from Cali?? Wow

These are hard numbers… ie… confirmed numbers of those who left last week. There are probably more beyond these that I’m not aware of.  And no,  I will not give names. If you know people in these regions, you’re probably already aware of who left.

2 FAs left in Vegas - both went to Wells
2 FAs left in the North East- both to Wells 
1 FA left in Chicago area- went indy
6 FAs in So. Cal left between Thursday and Friday last week- most to Wells Fargo I’m told
1 FA in Texas

I won’t be surprised to see another 12-15 get out by Thursday this week. It’s hard to reach clients right  now, but you also have 2 weeks of real down time to focus on reaching key clients. There’s good and bad.  FINRA will be heavy with movement from all firms through the week, it’s always a big move week historically.  People in this group include: 1) followers- those who won’t leave until they see some major players leave. 2) Slow movers… those who know they’re leaving but have to get VERY comfortable with it, 3) Late arrivers… those who finally realized their cheese has moved.

The next wave of movement out of Citi will be the the Fridays leading up to the MLK holiday with the Friday just before the holiday being probably the biggest single move day. Thereafter it’ll reduce to a trickle.  I’m sure the Citi brass will pretty much know their go forward headcount for 2010 after the MLK holiday. You’ll also see a new push on recruiting around this time as they already realize they’re loosing a slew of their potential rainmakers for the “new” model.

3 in NY left on Friday that I know of, 2 to a local bank and I don't know about the third...

2 $250-300k producers left for LPL in a North suburb of Chicago on Friday.  If I were an LPL recruiter, I’d be half tempted to randomly visit any decent reps left in the branches.  I mean, it’s not like they run the risk of encountering a manager.  When was the last time one of those useless AIMs stopped in to ask how they could help springboard your practice?!  If anything, the recruiter would have to elude bankers to avoid getting lassoed into another checking account.

Are there any updates on the exodus?

No new updates on the ‘exodus’… maybe a couple left today or go tomorrow, but movement will halt till Jan for the most part.  Meantime… C closes at $3.20… markete has little confidence. I cannot image an easier “I’m moving’” story to tell than that for an FA bailing out of Citi. 

Burtonfinancial1, you really need to get over it.  You’re in a business where you eat what you kill, you of all people should know that this business is competitive and that you are only as good as your last day.  You sound like a girl that got dumped and you just won’t let it go.  This thread needs to end, we all know how you feel about Citi and this “exodus” that you speak of really hasn’t occurred…let it go man.

Its not so easy to get over getting screwed when your company promised you for years it was going to run the business a certain way and then “changes its mind”   and  takes years of hard work away in one fell swoop…   you obviously didn’t lose anything from this transition which would make you a manager, a sales assistant or Debbie …

Burtonfinancial1, you really need to get over it.  You’re in a business where you eat what you kill, you of all people should know that this business is competitive and that you are only as good as your last day.  You sound like a girl that got dumped and you just won’t let it go.  This thread needs to end, we all know how you feel about Citi and this “exodus” that you speak of really hasn’t occurred…let it go man.

In my marketplace people have left but they were not on a team. These people had to leave once management decided that they would not have a forgivable draw and would be paid 25% on transactional business.   Those that have been forced onto a team can take more time to investigate their options.  They are feeling the stress but not the immediate pain of not having the income to pay the bills next month out of income vs savings.

I don’t think any team leads really want the teammates to leave. If they do, then they don’t get it. The end result will be more profitable for everybody if everyone just builds the fee-based biz the right way. If all teammates pull their weight, then the team lead will make more money as well as everyone on the team. If the teammates don’t pull their weight, the team lead isn’t really going to have to worry about those teammates because C isn’t going to pay the floor to someone not producing. It’s all there in the comp plan.

Mr Big sounds like a manager holding on to his/her job by a thread until the boom drops. More profitable??? Only for the company! Are there FA’s who still believe anything management says?? If they truly believe that this is being done in the best interests of them and their clients, how did they get this far…

Nope, but XCitiFA sounds like an annuity peddler that had no choice but to leave so he could keep selling annuities somewhere else.

Mr big, I left b4 the company screwed me like they’re screwing you. If you have kool-aid running through your veins, then good luck to you. Not only do I sell annuities but I also sell managed, fee-based accounts. As a matter of fact, I have the ability to sell anything that I deem appropriate to my clients. The difference is, I don’t work for a happy meal B/D where one size fits all.

Christo,

You’re great. Keep it up. You’ve not struck my nerve, but clearly this entire thread has gotten your panties in a bunch. Please do come back over time and continue to tell me I’m wrong when all goes well at C.  Please also throw me some kudos when another 25-35 FAs leave in the coming weeks as they will do. I’m not here to encourage or applaud failure at C. This is the “what’s up at firms” section for a reason and I happen to have a good number of friends at C from my years around this business.  You mentioned evilworkings… I did not and I wonder why you’d slam C in such a way given your clear affinity for the bank.

I get a kick out of reading some of these posts, but I think I’ve heard it all before…oh yeah, Chicken Little! The sky is falling, the sky is falling! All that I can tell you is that the acats are not rolling out and the phones are still ringing off the hook.  I guess we’ll have to continue this thread prior to the next long weekend (MLK).  Oh and by the way, Chicken Little is a myth and the sky is not falling.  Mlgone, I’ll be waiting for another one of your insightful little quips that don’t contribute whatsoever. 

This thread sure got quiet.  Isn’t MLK day a week from today? Still waiting for the second coming of that “Exodus”.

Well, they have lost over 60 FA’s year over year.  With only 500 or so I would call that a pretty big move.  They got their checks this week and I know of a few who are going this Friday. 

Isn’t MLK day a week from today?

Funny part is that they still don’t know their 2010 payout grids! (as of last week)

Tick…Tock!!!

Funny part is that they still don’t know their 2010 payout grids! (as of last week)

I heard another big producer in Chicago area left late December… to Cambridge. That makes a couple moves to the indy world by some of the largest upper mid west C brokers. 

Citi is going to drop another pretty big announcement in the near future that has to do with their private wealth platform.  Can’t say anything yet, but remember where you heard it first!

U people for real? Who doesn’t know their payout grid? And platform announcement was a long time ago.

somehow I think Christo will be the last one at the dance before he realizes the party is over…

tick…tick…tick…

Mr Big, the announcement about the platform change is totally separate from what has already been announced.  What I'm referring to has not been announced yet, trust me.

tick…tick…tick…

So, do you think Citi has someone stationed if front of the fax machine?

some BIG FAs at C are rolling out today. Some have bounced on East coast already… by end of day, C will have lost some key players. A couple of recruiters both said they’re aware of over $2B in AUM attached to today’s FAs in motion.  What’s interesting is that these big FAs are going to wires like Merrill, UBS, WFA, etc.  Think anyone in NY even noticed? 

SORRY… I have been duly corrected by a couple insiders Pm’ing me… thanks

So FAR… I and stress so far, I’ve been told that a confirmed $4.6B in AUM has LEFT Citi in NY and in the Midwest TODAY alone. 3 of the biggest players and some other team members left in NY, UBS was the big recipient so far.

I hear ML is killing it in CA and has some big movement happening there, but it’s obviously early in the day.  ML was reported to be writing the LARGEST check anywhere for the $500k+ guys.  

A friend of mine at Citi said they lost 3 people from his region today. 2 from long island I think and 1 from brooklyn. 1 did 2 close to 2 mill I think another did around 1 mill and another did around 750k.



I called another friend who is a real big citi guy to confirm from him but havent heard back from him yet

Confirmation on the NY guys… 3 at least today. Some left in CA, TX and IL today as well, not sure on numbers there exactly. 

$2.4MM team of 5-6 in Westchester/Putnam County left last week for WF Advisors....(poor saps)

Henry? Ted?

5+ left today in Chicago, moved all of the lead guy’s assets to a new 2009 hired hack from LaSalle/BofA (screwing the guys who have been there for 10 plus years). New hire wasn’t even on a team. Other guys clients are being called by the “team leader” - no one else trusted to call the clients. Chicago had 70 FAs on 12/31/08, now down to 25 and ticking.   Time to arrange another all day downtown meeting with the big cheese from New York to remotivate the last of the crew. Starting to look like Survivor, except the players vote themselves off the sinking island. Terry Dial’s 2009 new hire has clearly had impact! oops Ms. Dial got canned this week! Must have been another "client centric move.

hehehehe…

What’s next? For the folks that stay , at least for now… Does this thing fold?

They can all move to Texas and work at the call center cuz that’s where all the accounts will be housed.

Haha… Your right…

Citi is going to drop another pretty big announcement in the near future that has to do with their private wealth platform.  Can’t say anything yet, but remember where you heard it first!

Citi is going to drop another pretty big announcement in the near future that has to do with their private wealth platform.  Can’t say anything yet, but remember where you heard it first!

What is Fifth Third offering in Chicago?

S.H. (Loop) 1/8

M.S. (Loop) 1/8

G.G. (Buffalo Grove) 1/15

D.O. (Schaumburg) 1/15

G.B. (Chicago) 1/7

M.C. (Loop) 11/19 (I canned him)

S.M. (Calumet City) 11/04

S.B. (Chicago) 11/17



Their has to be more at Fifth Third then just the chance to work with Maria Holmes?

Whatever happened to Christo??

Whatever happened to Christo??

What is Fifth Third offering in Chicago?
S.H. (Loop) 1/8
M.S. (Loop) 1/8
D.O. (Schaumburg) 1/15
M.C. (Loop) 11/19 (I canned him)

Their has to be more at Fifth Third then just the chance to work with Maria Holmes?

Vikram:



“their” ≠ “there” ≠ "they’re"



They’re three different words. Perhaps you’d win more clients if you learned them.

Does anyone think Sallie K. will take my calls to explain how these independent Madoff operations work?



P.L. (Bloomington) LPL 11/27

R.K. (Chicago) Mid Atlantic Capital 12/05

L.V. (Highland Park) LPL 12/11

G.F. (Chicago) LPL 12/11

C.H. (River Forest) Cambridge Investment Research 12/18

CPWM is in a serious slide and by next week all the remaining brokers will have to sign a non compete agreement inorder to stay.  Watch to doors blow completely open…

I’ve seen the agreement (it’s the team agreement). It’s not a non-compete, and that wouldn’t fly with me. It simply says that if you leave, you can’t solicit accounts that were not acquired by your own efforts (other accounts of the team).

Interesting.  Protocol trumps the stupid UBS “you can’t call inherited accounts” form.  Protocol does NOT trump team agreements.  So if an account is assigned to you via attrition you can’t call them…

After CPWM FAs get their retention bonus this Friday, a lot of them will quit!

This junk is sickening and I really empathize with anyone at firm like this. Here is my thought for the day that could apply to any of these idiot firms.



And it goes a little something like this…





‘We made a conscious decision to withdraw from the Protocol. We felt it encourages advisors to unnecessarily jump firms and potentially risk client privacy and as a firm we believe that offering large sign on bonuses to advisors is not in the spirit of the current economic climate; our senior management, of course, would exclude themselves from this principle since they are key in developing our vision and strategy. As a firm we feel our interest would be better served by not facilatating such ease of movement among financial advisors serving our clients. Our studies indicate that many clients are more interested in stability and being with an institution they know and trust, even if during a transition advisor compensation may be impacted and clients may find more comeptitive offering elsewhere. While we realize this may upset some advisors who may be contemplating new opportunities elsewhere, we are most concerned with protecting our clients’ best interests rather than encouraging movement amongst our advisory staff. We feel we know best for our clients and have also afforded our advisors the opportunity to form teams by simply signing team agreements whereas each financial advisor will now participate in a model designed to best serve the needs of Our clientele. By submitting to such agreements (to include necessary non complete clauses), we have offered competitive retention compensation to all of our qualified advisors (subject to lengthy contractual agreements). This is the appropriate business model of the future and we are proud to make this new model available to our clients.'





Right. Don’t get caught sleeping in the corporate frying pan of the self righteous senior management clowns. Say Bye bye BIG firms! You guys blew it. Your only strategy now is lock 'em down. Hypocrisy and arrogance blended (clouded) with wonderful retention deals. Firm’s hide behind this trash and arrogantly state they know hoe to best serve clients. What about what the client’s want? Most of the time they want to work with their advisor they know and trust and not the firm who often can’t be trusted. No different than Dr. / Patient relationship. The hospital definitely cares more about the bottom line than the patient and it’s the same way in our business.



America was built on competition and let the best man win - and the best firm win who offers clients and advisors the best offerings. Never ignore - Smart money goes where it is treated best and it ain’t treated best when you hold FAs hostage in your 2nd rate shops. Is this not obvious to anyone still at a firm like this???      



Okay. I am done.

Focus Report came out yesterday showing that there are only 387 FA left at the firm from a peak of 700.

[quote=TOP BROKER]Focus Report came out yesterday showing that there are only 387 FA left at the firm from a peak of 700.[/quote]

Who was the guy who posted here few months back that there would be no ‘so called’ EXODUS from C and those of us who thought otherwise were fools? If this is not an exodus, what is it?

Actually 387 was as of end of Dec 2009.  There are even less FAs left now.

[quote=burtonfinancial1]

[quote=TOP BROKER]Focus Report came out yesterday showing that there are only 387 FA left at the firm from a peak of 700.[/quote]Who was the guy who posted here few months back that there would be no ‘so called’ EXODUS from C and those of us who thought otherwise were fools? If this is not an exodus, what is it?[/quote]

I prefer the term structural reorganization

Queens down another 3 big brokers, totalling about 700M in assets.

Today…

BIG day at C, or shall I say, BAD day at C today.  Loosing on the both coasts. From what I hear, the movement that has happened in Dec. and Jan. thus far is prompting more FAs who have just dipped their toes in the water to get more serious.

On another note. I’ve heard some feedback from a big C FA who went independent in Nov. Has NOT gone well thus far. This guy was $800+.  It’s very questionalbe how much sense it makes for any bank based FA to make the move into an indy platform. That’s open to debate for sure.

I think the best solution for a bank based broker that wants to go independent is Wells Fargo Advisors Financial Network (Finet).   It gives you the major bank "backdrop" which comforts many bank based clients.  That's where I went on January 29th, and I am having excellent success bringing over clients so far.  No disrespect intended to LPL, which is an excellent firm, but I was worried that my clients wouldn't come because of a complete lack of name recognition... which is why I decided upon Finet.  They also give you 15% of trailing 12 in a forgiveable note... not much, but it helps, and it a little easier to walk away from the 9 year retention note at Citi. 

How are offers from FiNet looking for bank brokers nowadays compared to a Wells Fargo Investments offers? Is the 15% you note the whole enchilada?

15% T12 PLUS a 10% of T12 working line of credit PLUS 80 hours of on site support staff.



FINET is the best of the indy structures right now.

All this silly talk of Indy firms on this thread is pointless. The only advisors left at CPWM are the submissive bitches that won’t leave. As dutiful employees they have taken their beat down and liked it, chanting “Thank You, May I Have Another”

As of January’s focus report, 342 FA left!

my friend has exceeded the maximum number of incoming messages…i cant respond…

As of January’s focus report, 342 FA left!

**

burtonfinancial1 has exceeded the maximum number of Private Messages they are allowed to receive…

Yeah, whipped bitches that have so much assets we don’t know what to do with ourselves. This is f***ing horrible. You idiots that left and thought your clients would follow you when you never picked up the f***ing phone when you were here are clueless… Good f***ing luck!



You’re too busy posting how smart you are instead of doing the business. When you do call your clients now, you lie to them to get them to move. Good luck in life losers! May the best man win.

Hello Mr. Big ~

[quote=MrBig] Yeah, whipped bitches that have so much assets we don’t know what to do with ourselves. This is f***ing horrible. You idiots that left and thought your clients would follow you when you never picked up the f***ing phone when you were here are clueless… Good f***ing luck!



You’re too busy posting how smart you are instead of doing the business. When you do call your clients now, you lie to them to get them to move. Good luck in life losers! May the best man win.



[/quote]





Losers for leaving? Really? Such pride in yourself and your fine institution. I hate people who act like they are honest and wish failure on others. Only a few words can describe someone with comments like this…



Bitter, hostile, jealous, scared, acrimonious, alienated, antagonistic, begrudging, biting, caustic, crabby, embittered, estranged, fierce, freezing, hateful, intense, irreconcilable, morose, rancorous, resentful, sardonic, severe, sore, sour, stinging, sullen, virulent, vitriolic, with chip on shoulder, swinish…



See what these places do to people that stay and spew their toxic nastiness and wish for the demise of those who have departed for greener pastures. Why fault someone for seeking something they feel is better for them and their clients?



Stay behind and be miserable, but shut up for god’s sake. You are a tool of a broken machine. I did battle with your kind and celebrated victory when I won against bitter vultures who tried to spew negative spin about me. Your former colleagues will win too if they know what they’re doing. You are low and judgemental. And yes, may the best man win! Bring it on all day long. Have fun with your hundreds of bank households. There’s a reason clients invest with bank FAs - the bank! FAs who look at the departure of others as a way to grow their book are the real losers - especially when they get the 412 notice.



ha ha ha ha ha ha ha ha ha   

LTP: In some points you are right. I in fact sold some annuities as well, as they do make sense and are proper for some clients (but not all). On the note of convincing client to move money in and out, that is no problem for me and we have done extremely well in this past market and I’ve not lost very many clients. Any client who forced me to sell, is no longer a client. You certainly sound like you know what you’re doing as well, and are likely in a different demographic than I am… regardless, my previous post was not directed towards you. It was directed to any jackass who wants to try to make himself feel better for leaving by calling the people still with Citi “submissive bitches”. I don’t usually let it get to me, and should not have this time either, but seriously… I’ve been to plenty of firms, and don’t want to move anymore unless I have to, and I have it pretty well where I am, and I’m not the only one who feels that way.



I have no problem with anyone leaving and doing well as long as they are doing the right thing for the client first, and themselves second. Also, we’re not forcing anyone into a managed account, and our transactional business is still paying more than many other places at 35%. Some advisors who’ve left are telling clients that they are going to be sent off to a phone center, be forced to pay managed account fees, and be forced into investments that aren’t suitable for them. I expect advisors like me to be trustworthy and honest like I am. Win the client because you are a good advisor and you’ve earned your clients trust. Not using scare tactics that are complete bullsh*t.



Again, this is not directed towards you, if that’s not you. I have complete respect for anyone who moves for the right reasons and does it with integrity.

Hello again, Mr. Big

It appears that you are, as they say, "drinking the koolaid."  If you think that Citi is going to continue to pay anything on transactional business beyond 2010-- maybe 2011-- you are kidding yourself.  The illustrious Debby McWhinney intends to virtually clone the Schwabb model.  Any transactional payout is purely transitional.  There is no payout for "transactional business" at Schwabb.  There are no trails paid at Schwabb.  Without question, you will be on salary by 2012.  That is, of course, if the program survives.  The departure of Dial doesn't bode well for the future of McWhinney.  Of course, if you were honest with yourself and this forum, you would admit that your end game is to hope for the demise of the program with you ending up with hundreds of millions of dollars of new assets from departed reps placed on your rep number.  Stranger things have happened in this crazy business, so I can't completely discount that possibility.  Your representation that departed brokers are using scare tactics by saying that clients are going to be sent to a call center, etc, is perplexing to me.  That is exactly what management originally indicated would happen!  There is nothng whatsoever dishonest or untrustworthy about a departed FA pointing out the possibility.  Sure, maybe you will keep them on your number in case your end game (mentioned above) comes to pass, and to get the trails and the occasional transactional piece of business that happens by itself, but are you going to help them?  Are you going to meet with them and do portfolio reviews when they aren't your target advisory client?  Of course you aren't.  Talk about trustworthyness and honesty... these clients would be better off being sent to a call center than to languish, completely neglected, in your rep number.  The concerns that departed advisors are articulating to their clients-- the concerns that you bring up in your last post as being "bullsh*t," are absolutely valid concerns that each and every client not doing advisory business with CPWM should be made aware of.  Tell me you haven't thought about how to get a client to sell an annuity which is not an "advisory asset" to get the client into a new "advisory annuity" when it is added to the platform.  Tell me you haven't heard "sales ideas" of doing a 5 year period certain annuitization of an annuity to get to the assets so the team could get the money into advisory assets.  Tell me you haven't thought about how to transition "C" shares into TRAK so they would count as advisory assets.  You are being less than honest with yourself and this forum by indicating that your motives are nobler than anyone else's.  It is complete hogwash.

My recommendations have always been client first. If it’s right for a client to be in an annuity, then I’ll recommend the annuity. If it’s right to be in anything else, then advisory is likely a better fit. I do truly believe that. Whether it’s individual stocks or funds, there are huge benefits to being managed. Am I going to meet with a client to do reviews if they are not my ideal client? No, not the small ones. I have sent about 1700 HH to the call center because I know that they will be better served. I’ve seen $1M plus clients being told that they would be sent to a call center. And yes, even if they are not managed, I will still take the time to review them and do what I can. Funds to TRAK? Yes, unless it’s some little old lady with tax frees for income that has no point in ever selling, then TRAK or Advisor will be a better fit, depending on the client’s needs.



And FYI, I hate McWhinney, don’t trust her whatsoever, am not drinking any Koolaid, but the benefits of staying far outweigh those of leaving. Got my retention. There is no possible way I won’t get my Back-end (they did release the details of the revised back-end and they look fantastic). They aren’t going salary. Why? Because even if they are dumb, they are not THAT dumb. If I’m wrong, well then, it really will be time to go. Clients will know that advisors who know what they are doing, will not work for Salary. Schwab refers business to RIAs. the RIAs are NOT paid salary, just the internal advisors and the people that refer to the RIAs (IC in our case). I’m not worried about that scenario.



Lastly, no, I have not heard that “sales idea” and nor would I pay any attention to it. If it’s the right thing for a client to get out of an annuity, I’ll recommend it, if it’s wrong, I won’t. And I’m not saying that my motives are nobler than everyone else. There are plenty of outstanding advisors in this business, but if you think there are not just as many that put their own interests first, you are lying to yourself.

[quote=MrBig] LTP: In some points you are right. I in fact sold some annuities as well, as they do make sense and are proper for some clients (but not all). On the note of convincing client to move money in and out, that is no problem for me and we have done extremely well in this past market and I’ve not lost very many clients. Any client who forced me to sell, is no longer a client. You certainly sound like you know what you’re doing as well, and are likely in a different demographic than I am… regardless, my previous post was not directed towards you. It was directed to any jackass who wants to try to make himself feel better for leaving by calling the people still with Citi “submissive bitches”. I don’t usually let it get to me, and should not have this time either, but seriously… I’ve been to plenty of firms, and don’t want to move anymore unless I have to, and I have it pretty well where I am, and I’m not the only one who feels that way.



I have no problem with anyone leaving and doing well as long as they are doing the right thing for the client first, and themselves second. Also, we’re not forcing anyone into a managed account, and our transactional business is still paying more than many other places at 35%. Some advisors who’ve left are telling clients that they are going to be sent off to a phone center, be forced to pay managed account fees, and be forced into investments that aren’t suitable for them. I expect advisors like me to be trustworthy and honest like I am. Win the client because you are a good advisor and you’ve earned your clients trust. Not using scare tactics that are complete bullsh*t.



Again, this is not directed towards you, if that’s not you. I have complete respect for anyone who moves for the right reasons and does it with integrity. [/quote]



That’s right you whipped bitch. You have bought everything we sold you hook, line and sinker. The next change to your compensation plan is that all deferred compensation will be paid in either CPWM New York Bridge Trust Shares or CPWM Arizona Ocean Front Property Trust Shares.



As for the call center, pipe down or you will be sent to the call center on a salary, which might be an improvement on your $150,000 in GDC.

[quote=MrBig]



Why? Because even if they are dumb, they are not THAT dumb. [/quote]



Do you want to bet on that?

Wow- sounds like mr. big (who is this guy/girl?) has a little built up anger, but instead of venting it towards the employer you screwed him, who’s stock is down almost 100%, ok 93%, he aims it towards FAs who have braved it on their own.  They say that only a master can screw you with a smile on your face and it’s only after some time you realize you’ve been ripped off!  Citi is a master.  If he had any cojones (Spanish for juevos) he would take care of his clients outside of the Citi mayhem.  But he has none :(  Mommy (Debbie) and daddy (Vikram) will take care of me.  All this guy seems to know how to do is correct English.  Maybe he should be a teacher.  They say those who can, do…and those who can’t, teach.

He’s right, people have never moved easily, but if he thinks he and Citi can really take care of thousands of clients with dwindling ‘team’ membership, he is high… on Citi.  Maybe he’s smoking their worthless stock.  What a horrible organization to work for and it keeps getting worse.  There is no leadership, no morality, what a feckless (look it up mr. big) and sinking organization to work for…

Mr. big poo poos annuities because selling a ‘managed account’ is soooooo much easier.  What’s right for the client; give me a break.

Being out of Citi is the single best thing I’ve done for my clients and me.  We have more freedom, less stress from all the Citi fire drills, which are totally useless.  No more emails:  you need to update the profile on all these accounts…most of which have a -0- balance.  LOL

Who would stay except a @@ssy , too scared of going it on their own.  

There are more FAs leaving in the coming weeks.  Who can make money except the “Sr. Financial Advisors.”  Yes, so senior…so big.  They will be the last women standing, but at what price…the future is bleak.  "I’ll gladly pay you on Tuesday for a hamburger today."

Working for yourself and your clients is the only way to go! 

Are there no more FA's at Citi?

What happened to this blog?

I know a few reps  from Manhattan left last week.................Any News?

Here's an update on movement for anyone who cares: 

Citi will loose at least 3 more FAs in California by 3/26. Not saying who or where but I will report once they move.

2 FAs will be out by 4/1 in the NJ/NY market that I know of for sure.I hear from some other inside sources there are 4 more planning moving 4/16- post tax day. They are not all moving to the same firm.

For those who argue FAs are dying and not moving their books?  One of the first Citi advisors I placed at a wire a few months back has just hit th 60% mark on aum moved.  That's in just over 90 days.  He was pretty large too. He had a full time transition team for the first 2 weeks working it hard which I'm sure made a big difference

Citi put a bullet in their own head months ago.  McWhinney has completely failed. It's amazing that it's taking so long for people to still figure that out.

Lou Manheim,

How sure are you about the accounts under $250,000 going to the National Call Center?? And is it all accounts (meaning clients of reps who left or stayed or just clients of reps who've left)?

Congratulations on escaping the Kool-Aiders!!  I'm sure you know, even if it's only been a couple of weeks, that you've made the right decision. The reps that have stayed there in hopes of scavenging the few clients that are left will surely go down with the ship. If what you said is true, the rest of them will probably be let go in one fell swoop, like the bottom quintile a few months ago.

If these accounts are moved......."CPWM doesen't see the New Year"!!!..............(Michael Corleone talking about Hyman Roth - Godfather II).

Please write back and let us know anything else......and by the way..........THANKS FOR THE GREAT NEWS!!!

I have to say I am following this thread and these developments very closely.

Funny that BOA moved all FCs out of the branches.  Huntington Bank has eliminated silos by having cross functional teams.  Is the bank model in trouble?  SEC/ FINRA may elminate 12b1 fees and move to a fee structure, more likely they will move to fiduciary standard with the hybrid approach.  I have talked to several Indys that will fold up shop if they eliminate 12b1s.  Goldmen and MER for example are big proponents of hybrids.  6 months ago I would have said that RIA is the future, but the winds have changed.

Lou Manneheim- great comment about folks not in the business making decisions, this could be the biggest problem ever, we shall see...

I would sure like a confirmation on the $250K and under going to the call center with no if and or buts.

 In December 09, the Chicago area was told that all NEW households had to be managed $100K plus and to ignore that NY's limit was going to be $250K for new accounts. They were also told that ALL 2009 and prior accounts would be grandfathered regardless of account size and if managed or not. ie. trails from A/B/C funds and annuities would continue to count toward revenue for the team indefinately.

One of the many (many) reasons I bolted was that Tim W. would not say how long the grandfathered accounts trails would continue and the AIM started making up outright bullsh_t (a real shame as he must have felt compelled to). Thus, it became crystal clear - I would be told out right BS, anything to get me to stay (I had 50% of revenue from managed and trails).

Its been 9 weeks, about 50% of my over $100K accounts have moved...   Old clients keep calling me... Oh, March revenue will top $50K, not bad for 2nd month gone. Its been a serious challenge, but results are good.

Strangest thing, a Citi-team leader called me today to check in on how things were going....? First contact from the firm in 9 weeks, I suspect he was not calling me to check my temperature. Any guesses?

A large producer who started 2010 with 30%+ in managed is not hitting his goal for new managed money, so he rolled a large variable annuity with a much higher death benefit into a managed account. If the senior client buys the farm then the Mrs. looses out on a $100K death benefit in excess of the cash value. But hey! That is what the RIA CFP "Fidicuary" does to keep his job.

Move that variable annuity straight from the insurance firm into the checking account then onto the "managed account", no one in compliance will ever know (or want to know).

[quote=TickTock]

A large producer who started 2010 with 30%+ in managed is not hitting his goal for new managed money, so he rolled a large variable annuity with a much higher death benefit into a managed account. If the senior client buys the farm then the Mrs. looses out on a $100K death benefit in excess of the cash value. But hey! That is what the RIA CFP "Fidicuary" does to keep his job. Move that variable annuity straight from the insurance firm into the checking account, no one in compliance will ever know (or want to know).

[/quote]

Ugh.  It's like one of those party game questions, would you steal to feed your family?  I would like to be high and mighty and say shame on the advisor, but I do not know the whole story.  Maybe, shame on Citi PWM for putting an employee in that situation. 

great article..

Tick Tock,

You're right, it is disgusting that management puts people in that position but it's also the responsibility of the advisor to work within good conscience. What more needs to happen to these advisors for them to realize that what was, isn't anymore and it's not gonna be. Most of my friends and former colleagues have left already, but there are still many left who are so afraid to make a move they keep bending over and accepting more and more crap from this company. I can't imagine what's going through their heads ....being on a "team", getting a "salary", everyone leaving around them. Don't they see that CPWM's future is bleak?? It's failing in every aspect, and when enough reps leave and they hire an outside RIA they will treat all reps like the 5th quintile reps....no severance ...nothing, they were treated like dogs.

By the way, that article hit it on the head!! So true in every way. Reps being bullshitted by management and yet , they stay.....I don't get it.

Come on people, write back and lets get some comments on that amazing top story on reg rep.com, "Citi's Covert Makeover". Great reading!!!!!

Nailed it?  What is covert about what is going on?  Where are the interviews of FA's who stayed?  Citi wants to shut down its brokerage?  If so, they sure picked an expensive way to do it.  The article is a pure hatchet job and cannot be referred to as journalism.

They did interview brokers who are still there...

Paperboy,

They interviewed them , but they were forbidden from speaking to the press. Big brother doesen't want their dirty laundry being aired outside of the combine.

It's covert because publicly and to their brainwashed employees, they're talking about a future, not being truthful like the article saysthat they'll be "farming out wealth management entirely". And as far as doing it expensively, if you've been there for awhile, i'm sure you've noticed lots of dumb and EXPENSIVE management decisions (ie Citipro...LOLOLOL!!!). You have to realize that managements job these days isn't to manage the business, it's to keep their jobs!! Nobody in management cares, especially upper management; they all have contracts so they will tinker with the business until their contracts expire. Then you and all the (fill in the blank)'s will be let go and your trailing 12 will be a joke and finding a new home will be much more difficult then it would be currently.

As far as the article being a hatchet job, i'm sure the truth hurts from the inside, but from the outside looking in, it's one of the finest pieces of journalism i've read in a long time. Trust me, when you do leave (hopefully by your own accord), you will agree with all that has been written and have your own opinions to add to the carnage.

All I can say is if you haven't started looking for a new home , you should be!!

Trust me and you can ask everyone else who has already left.....The Grass IS Greener!!!

Good Luck!!!

The article does a poor job on many fronts, but most importantly - regarding clients. The clients have never been told that:

1.) Choose quarterly fee or call center. Clients who don't say "yes" to managed accounts are just asked again a month later. Move your individual bonds into a 1% managed account? Dump that annuity...

2.) This summer, comes a new platform "Pershing", new account numbers, new web site, new links... Last time June 2001, Citi lost all of the cost basis information and still refuses to help clients retreive it.

3.) Trak Select - goes away - nothing like it on Pershing. SB Advisor with the individual stocks component - goes away. Yes, Citi compliance can't stand that stocks can be solicitated in a fidicuary account by reps in the field. They will loose the Smth Barney stock research and have no way to back up individual stock selection. They will try to move all clients to fidicuary discretionary accounts - no more custom allocations for clients. Its too probihibitive from a compliance point of view and with so many reps leaving. Oh yes, PM - its gone.

4.) Mutli-G hedge fund and others go away.

5.) Under $250K? say hi to Raj and 1800 wes-rewup

6.) By the time the transition is done, IRA clients will be begging for RPS to be the custodian again.

Oh and the quota for adding more $ into managed will go so far up, to ensure that they can guarantee 50% of last years pay or just can your butt.

Hey, compared to Citi's mortgage or credit card business - no one in upper management will notice the disaster. In fact, they will applaud that Debi "cleaned house of all those slacker/hacker FAs.").

I for one, am so darn happy to not have to deal with it anymore. No more "5 insurance leads a week", reports on referrels back to the bank, weenie support people who couldn't give a hoot, firedrills, oh statements with the team leaders name on them, not being able to use the Fax machine!, not being able to email clients a seminar invitation, havng an OSJ tell me that I shouldn't recommend covered call options to a client due to the "extreme risk". Waiting 2 to 3 days for the OSJ to give me an account number for a new account.

Citi could have kept 49% of the revene/profit if they had just let FAs choose to move to Morgan Stanley Smith Barney - I bet over 1/2 of those that departed would have stayed for MSSB.

Is Citi legal fighting any departing FAs with court "cease and desist" injunction orders? I mean more than the two threatening letters. If so, how are they cases being decided?

Tick Tock,

I hope you're right about everything..........I have a few questions.......

You said TRAK Select is going away, is that TRAK CGCM or TRAK NAV ?

How sure are you about your entire 3rd point?

And do you know when the accounts under $250K are going to the call center??

This place really did an injustice to their clients and their reps!!!

Tick Tock,

I hope you're right about everything..........I have a few questions.......

You said TRAK Select is going away, is that TRAK CGCM or TRAK NAV ?

How sure are you about your entire 3rd point?

And do you know when the accounts under $250K are going to the call center??

This place really did an injustice to their clients and their reps!!!

The TRAK NAV Stays - this was announced in Nov 09. The Track CGCM requires a research staff to pick the mutual funds and do the special timing allocations - all of this went with Smith Barney. SB Advisor with stocks, its very shaky if it will stay, to compliance it looks risky without having a research group and lots of the clients were using it as a wrap program for buying stocks only - not advisory. Exactly what the SEC/FINRA ruled was unacceptable 2 years ago.

Most of the country is running that new clients need to be $250K and managed to get paid. The rumor is that existing clients will no longer be grandfathered. But I can't confirm the when? Anyone?

 anyone notice the article in the New York TImes on tuesday, chatting up how great Citi is doing-peculiar timing with the article released by reg rep on thursday

Anyone have any updates on when accounts under $250,000 are going to the Call Center and when Pershing takes over??

Really looking forward to the next phase of this debacle.

Thanks!!

Next phase?  According to you and Reg Rep, there is no next phase - just a covert shut down.  Signing a contract with Pershing to supply a new platform beginning over Labor Day weekend is supposedly just a big smoke screen to hide a massive firing of recently established FA teams and newly hired IC's.  As to your question, accounts under $250,000 are not being sent to the call center unless it was a departing FA.  Accounts under $100,000 are being sent now as FA's are not being paid on them under new pay policy, although even this is not required.  Only accounts over $250,000 are being referred from the call center to FA's  (I have actually seen this happen).

Wow! It must suck to be at C,  or any other wirehouse these days!

But it was not to many years ago on these forums the wirehouse guys where bragging about how great life was. And the indy guys where trying to warn them  that they had little control of there future.

 I for one cannot imagine living life at a $#!t hole firm and the pressure you must be under.

Wow! It must suck to be at C,  or any other wirehouse these days!

But it was not to many years ago on these forums the wirehouse guys where bragging about how great life was. And the indy guys where trying to warn them  that they had little control of there future.

 I for one cannot imagine living life at a $#!t hole firm and the pressure you must be under.

today began the second wave of interviews for  the investment machines (IC's) at LIC. according to two of the potential lads looking for an employment opportunity- management couldnt give a clear, concise description of  how cpwm is structured or what their job function will be. the potential candidates described management as frenzied and in a rush to have them sign paperwork and start immediately. they declined to sign paperwork and asked to be placed on the citi dnc list.

In the San Francisco Bay Area, there was a Regional Investment Manager and 2 Area Investment Managers (down from 4 at one time).The RIM was laid off last month and now one of the two AIMs just quit to take a management job at Wells Fargo Advisors. He saw the light and jumped off the sinking ship. There have been a ton of departures and no new hires added to the teams. I still laugh when I remember how Debbie M. and Tim W. said CPWM was going to be the best place to work on the Street and attract top talent. Tim W. even claimed top advisors at MSSB were calling him wishing they could join the new CPWM RIA structure. Yeah, right! I heard a big management meeting was called in New York for all of the remaining AIMs and Market Leaders. I wonder what the announcements will be.

How long until Citi sells the remaining CPWM client assets to outside RIA firms in exchange for an ongoing 25bps?

He jumped off one turd and onto another!

Smart move.

Wells is done training a manhattan team and one team located in westchester. When does Manuel say enough and send Debby and Tim W back to the NIC

Anyone have any insight into the meetings taking place this week?

Have they announced which RIA firm they've hired to take over all the HNW accounts yet?

Any recent FA departures?

It seems like the exodus has slowed down after more than 50% of the reps left. Maybe it's easier to have clarity about the situation looking from the outside in; but I just don't see how the remaining reps can truly believe that they have a future there with under 300 reps remaining and the company openly stating that they're looking to farm out the business to outside RIA's..............

The reps that stayed must have no hope, they must be the most pathetic reps any where to stay and wait there turn to be shown the door.      

Even the person at Walmart handing out carts has more hope and brighter furure then these reps.  

greenbacks2;

I don't know if they all feel that way... Speaking to wholesalers, that cover us both, they say, some are just putting up a front but are actively researching their options, but there are some who are loving the windfall of accounts they've been able to scavenge, not thinking about their futures. These bottom dwellers are like the roaches attracted to the roach motel or the Hotel California for that matter, (staying long enough to give management time to exit Broker Protocol), "you can check out any time you like, but your clients, can never leave"!!! LOL!!

I would be nauseus going to work there everyday just waiting for that next shoe to drop........It's inevitable, they have publicly stated that an outside RIA will be getting the business going forward.............That trains never late!!!

XCitiFA

Well put.

With over half of CPWM FAs GONE since October, one would think there's a sea change in a more positive direction in the works.  Not so.  Here's what's happening based on my perspective as a previously very silent lurker here for months.

Managers (AIMS), etc are either gone as noted in other posts or have one foot out the door. There is NO future for them at Citi and they know it. The strongest ones are fleeing to high ground at Wells, PNC, and others. Unless a manager is on the edge of a vested retirement, they have zero incentive to stay on this sinking ship.

There is NO recruiting or hiring within the channel.  I've asked why and I've been told 'we're hiring' or 'we're working on a new offer structure' and hiring is around the corner.  I am not aware of one new hire anywhere. The most aggressive bank channel in the country is Wells and even if Citi matched their offer, they'd attract nobody whatsovever with a grain of competence.

The biggest change now vs. past months is HOW FAs are leaving. October - early 2010 most Fas left on their own. Everyone I know is looking and continues talking to other firms. Even people who tell me they are not, are lying. I know people in every team around my area who are talking individually and also as a 'team'. They're playing all their cards and basically weighing their options as a team move or as an individual. They're lying to their teammates about their intentions and they're lying to hiring authorities.  There will be a quite a few who leave end of April, first week of May. Nobody should be surprised. I'd bet 12-15 FAs gone by 5/10 minimally.

The future of the platform is a 3rd party model with a nice split on rev to Citi. It makes perfect sense given the RIA structure and it's already so broken the cost of rebuilding is too high. A couple months from now it'll be a skeleton anyway. Get ready to be sold or get off the sinking ship while you can. WHY?  I had a meeting last week with a manager I met with in Jan.  His firm has hired a lot of Citi Fas since last year around the country. So far the numbers we were talking about in Jan have not changed thank goodness, but I got the crap grilled out of me on my transfer strategy. He would not say but I got the impression there's some directive to be extra thorough on anyone coming out of Citi. Anyone get the same impression lately?

[quote=Greenbacks2]

The reps that stayed must have no hope, they must be the most pathetic reps any where to stay and wait there turn to be shown the door.      

Even the person at Walmart handing out carts has more hope and brighter furure then these reps.  

[/quote]

Pathetic is a bit rough.  The water is near boiling and maybe some people don't mind that.

the meetings in manhattan for sia's and managers have finally concluded. turns out the meetings were nothing more than an evil pep rally. anyone who thinks this is going to reverse course and go back to cis is delirious. management told the sia's to slowly reduce head count and begin to eliminate the weaker team members, either by cutting their payout (due to lack of revenue/performance) or compliance reasons. senior management asked the sia's for a commitment to keep the new strategy hush hush- the same way they asked the anointed leaders when they first proposed the idea in secret meetings in july 2009. of the reps at the july meetings, i believe there are 2 left from 5. the cuts will be gradual between now and september when pershing steps in. (the less reps, the cheaper the platform, the less reps the less salaries have to be paid-get it) expect the team leaders to convey to fellow team members that the meetings were nothing more than the usual b.s. this place has become nauseating with the amount of garbage they expect the reps to put up with. it stinks around here.

Buddy Light and Halloran

Are they still grandfathering under $100K households? and annuity trails?

How many FAs are hitting their goal for new managed assets?

When departed FAs leave with their managed assets - does the team have to make up for the loss of assets?

When do they go full out - all households need to be over $250K and managed?

I am curious how they are going to communicate to a $500K+ account with laddered bonds - "Hey pay 1.5% or its the call center". Will it really happen?

Just what mail etc. has been officially communicated to clients?

Tick Tock,

i am uncertain as to what accounts will be grandfathered and which will be sent to the nic (currently there are less than 20, yes 20, reps handling calls for some 5 billion in assets) clients have multiple accounts and it will be a very sticky process to shift through each account to prevent from going to the nic

no rep is ahead of their 09 t-12. goals havent been formally set. however branch goals for cpwm referrals came out last week and were received with a hardy laugh.

 250k+ will go live befire the pershing conversion

only 2 reps have left  teams so far with little in managed accounts

a client wants 500m in tax free's, with a fee of 1%, a yield of 3%= 15000 annual income...as terri dial said at the first town hall "you have to look at the yield the client will receive."  this statement was said in front management, reps, debbie and tim. the yield would be 2%, thats 33% of the clients income going to cover fees. thats putting the client back in citi.

no correspondence has been sent to clients, the reps and ic's are the lines of communication.

One of the five team leaders from the Bay Area left yesterday. I know of at least one more departure in this area on May 1st. The manager who recently left said the program is "imploding". 

Just watch the action between Friday this week (4/30) and the next Friday.  Substantial moves will happen in groups of 2-3 in at least 3 coastal states. I'll say no more. Just come back in 10 days and tell me how informed I am.. LOL

[quote=Buddy Light]

the meetings in manhattan for sia's and managers have finally concluded. turns out the meetings were nothing more than an evil pep rally. anyone who thinks this is going to reverse course and go back to cis is delirious. management told the sia's to slowly reduce head count and begin to eliminate the weaker team members, either by cutting their payout (due to lack of revenue/performance) or compliance reasons. senior management asked the sia's for a commitment to keep the new strategy hush hush- the same way they asked the anointed leaders when they first proposed the idea in secret meetings in july 2009. of the reps at the july meetings, i believe there are 2 left from 5. the cuts will be gradual between now and september when pershing steps in. (the less reps, the cheaper the platform, the less reps the less salaries have to be paid-get it) expect the team leaders to convey to fellow team members that the meetings were nothing more than the usual b.s. this place has become nauseating with the amount of garbage they expect the reps to put up with. it stinks around here.

[/quote]Wow, what meeting were you at?  I don't remember hearing any of this stuff!

Anyone know of any more smart FA's who left yesterday as reported above???

No.  I do know some smart FA's who stayed.

A duo in Los Angleles area bolted - gone indy.

[quote=Paperboy]

No.  I do know some smart FA's who stayed.

That's an Oxymoron!

They're all Smart until Debbie lowers the boom!!

Hello outside RIA's.....Goodbye CPWM FA's!!

[quote=Halloran]

A duo in Los Angleles area bolted - gone indy.

[/quote]Good for them. They'll be crazy for a few months but happier than ever before after that!!

Guy in Chicago south side left last week.

I'm doing same/slightly better revenue after leaving, 50% payout, kept my CSA (she was going to be let go). Sign on bonus in cash, no loan. Happy with the $ results ... lots of work,hours and anxiety. Still doing managed accounts when its suitable, individual bonds, funds, structured products - no pressure to shove the client into a product. On a team of my choosing, statements that show the client my name and my phone number. Oh and I get to use the FAX.

That's nice.  The 50% payout sounds like a good deal for the client.  Keep up the good work!

[quote=Thunderbird]

That's nice.  The 50% payout sounds like a good deal for the client.  Keep up the good work!

[/quote]

Thunderbird,

What does the payout have to do with the client?? You are just jealous because you see all these reps who have left and how happy they are, yet   you stay like a scavenger, picking the bones of the clients that you and your  "teammates" scare into staying.

The payout has nothing to do with the fees the clients pay, as you know it's just the amount that the B/D splits with the reps. Unfortunately for you, your b/d keeps way more than 50% and you continue to do nothing about it except try to put down reps who have. I wouldn't worry though, Debbie is gonna make that decision for you soon enough.

I hope you're keeping up your end of your "PARTNERSHIP" with your teammates, I hear splits will be adjusted for laggers before 3rd quarter. Great 2 year plan being "tweaked" in less than 6 months!!

Help us who've escaped the Looney Bin understand what keeps you there.............none of us can figure out why you or anyone would stay, unless your U-4 is a mess.

Why do former Citi employees on this site seem so obsessed with finding out "the latest" on what is happening at your former firm? We understand that you hate and despise the evil Citi.  Here's an idea, stop wasting time with your horrible past employer, move on with your life and spend your time prospecting instead! LOL!

[quote=comptonplaya]

Why do former Citi employees on this site seem so obsessed with finding out "the latest" on what is happening at your former firm? We understand that you hate and despise the evil Citi.  Here's an idea, stop wasting time with your horrible past employer, move on with your life and spend your time prospecting instead! LOL!

AMEN, Brother!!!!!

Simple, we just relish the fact that it gets worse and worse. No one ever wishes their ex the best... remembering the hell you left and seeing it get hotter makes you feel oh sooooo much better.

[quote=TickTock]

Simple, we just relish the fact that it gets worse and worse. No one ever wishes their ex the best... remembering the hell you left and seeing it get hotter makes you feel oh sooooo much better.

[/quote] Amen Brother!!  LOL!!!

It seems the Ex-Jones reps must feel the same way. They just keep preaching also.

You guys dodged a bullet be thankful.

Thanks for sharing your experiences. We all learn from mistakes.  

Well, we have a 3 day weekend coming up. Lets see if there are any smart people left at CPWM who bolt this weekend!

Good Luck People!!

I think the reason x Citi employees have such a hard on for Citi is because of what they did. They farked up a good thing. They folded their Citicorp Investment Services division into SB, and sold their brokers on how great SB was and why they should hang their hats on the SB platform and use it to help their clients. Then they turned around and sold SB to the highest bidder, and left the CIS FA's and all the managers they transferred from SB to Citi, out in the cold.

In addition to that, rewind, they took SB, one of the finest franchises in our industry, and mucked it up worse than BP is mucking up the Gulf of Mexico. (well maybe not worse than that, but most will get my point). I loved SB, loved the firm, loved being there, then all of a sudden.....

This is a company with Senior Mangement that doesn't have a clue, and doesn't give a rats ass about anyone or anything except protecting their own ass.

I think thats why x citi guys hate citi. I know its why i do. I'm over it, after a year of being out of there, doing the same amount of biz making twice the money, i guess i should thank them. I've moved on, and am finally starting to focus on growing my biz, and you're right, thats what everyone else should be doing. But you can't let go of feelings overnight towards an organization that farked up everything in sight.

[quote=Sportsfreakbob]

I think the reason X Citi employees have such a hard on for Citi is because of what they did. They farked up a good thing. They folded their Citicorp Investment Services division into SB, and sold their brokers on how great SB was and why they should hang their hats on the SB platform and use it to help their clients. Then they turned around and sold SB to the highest bidder, and left the CIS FA's and all the managers they transferred from SB to Citi, out in the cold.

In addition to that, rewind, they took SB, one of the finest franchises in our industry, and mucked it up worse than BP is mucking up the Gulf of Mexico. (well maybe not worse than that, but most will get my point). I loved SB, loved the firm, loved being there, then all of a sudden.....

This is a company with Senior Mangement that doesn't have a clue, and doesn't give a rats ass about anyone or anything except protecting their own ass.

I think thats why x citi guys hate citi. I know its why i do. I'm over it, after a year of being out of there, doing the same amount of biz making twice the money, i guess i should thank them. I've moved on, and am finally starting to focus on growing my biz, and you're right, thats what everyone else should be doing. But you can't let go of feelings overnight towards an organization that farked up everything in sight.

[/quote]Sportsfreakbob,

I couldn't have said it better myself !!!

I'm sure you speak for all X Citi Fa's who've experienced the depths of CIS, then the pride of being a Smith Barney FA and like you said to have it suddenly, not just taken away, but basically being told that we're not good enough or not deserving enough to follow them to Morgan Stanley (although that's also not working out too well for lots of the SB guys). Citi never really had a plan for CPWM. They held us (Our assets) back from the joint venture and have been making it up as they went along. 

I too am gone a year now and couldn't be happier and more thankful that they did "fark it up" over there which gave me the final nudge needed to escape the insanity. I can honestly say I've never been happier! 

 I sincerely hope that any of the few good guys that haven't left yet are planning to leave soon or hopefully pulled the trigger this weekend.....we'll see next week................Stay tuned!!!!!!

I was THIS CLOSE to jumping to Smith Barney...and the Citi move was announced.  Man...dodged that bullet.

To clarify, i was never a Citi/CIS FA. I was SB the entire time i was there. But i understand what the Citi FA's must have been feeling. And what a mess Citi was, and apparently, still is

Chicago Area manager left/got canned today... Also lost at least one advisor the Friday before labor day.  Under 10 real reps left in Chicago.  It's all coming down.

Hello Everyone,

Is there a new hard date for CPWM switching to Pershing?

When do the TRAK accounts have to be liquidated? And if they are pushing managed accounts, what happens to these managed accounts once they move to Pershing.....New Managers??

Do they still pay for Annuity Sales/Annuity Trails?? If so, what rate do they payout at?

Thank you for any answers you can provide..............It's very appreciated!!

Client piece in the last statements had a legal mumbo jumbo of the firm retaining the right to liquidate TRAK accounts with 30 day notice regardless of client taxable situation - ie. long term gains etc.  Clearly, setting themselves up to sell out and go into the new platform.

Rumor is that CPWM is bleeding profits - expenses are the same, revenue down significantly - more cuts coming from staff, back office, low lever producers (anyone below $500K a year is toast)  etc. and holding on to the clients with trail annuities and A/C shares - not dumping into the call center for fear of loosing the client.

heard a big producer in westchester jumped for hsbc but realized his viagra was still on the sinking ship and swam back to citi. things must be improving. whose cutting salaries in february after pershing conversion? 

[quote=Buddy Light]

heard a big producer in westchester jumped for hsbc but realized his viagra was still on the sinking ship and swam back to citi. things must be improving. whose cutting salaries in february after pershing conversion? 

[/quote]Buddy,

Is that true? Did an advisor leave CPWM for HSBC and then return to CPWM??

How bad can it be at HSBC?????

Also, could you explain more about salaries being cut after the conversion to Pershing and is it now being pushed to next February???

Thanks!

I don't know about advisors, but Citi clients are leaving in mass exodus...

http://www.youtube.com/watch?v=bKkFfj68HzY

i know a lot of reps/managers at HSBC and they all have very positive things to say about the program. anyone in the bank channel knows HSBC has a very respectable retail brokerage business. reps there make good $$ and are citi's main competition aside from wachovia/wells fargo.  he probably spent all his retention $ on penile implants and when tiny tim w asked for his money back, the rep had already spent it on his little weenie. there are more and more talks about cit cutting the floor in early 2011 before the pershing conversion in february. what about the town hall meeting? i thought it was supposed to be about how great cpwm was doing-not how much better the bank is doing now that all the reps have left the branches. 

Wishing everyone a Very Happy INDEPENDENCE Day!

Hopefully a big 3 day weekend for those FA's who haven't jumped yet . 

If not, I don't know what to tell ya.............

Enjoy the long weekend!!

well, here we are... more than half the reps have left and the ones that stayed are merely waiting to be hung in front of long island city. its official -say good bye to the floor in 2011. thanks to the pikers who have sat around collecting a check, citi will no longer afford this free gift policy because finra requires all gifts to associates to be less than $100. time to start looking for a new home before the warm days in the Hamptons turn to cold NYC winters. this is a slow painful death, one in which Rambo would not survive. all hail King Pandit! for C is a "screaming buy!"

Buddy,

Do you have any updates on CPWM??

This thread got awfully quiet recently.................

Not much, they delayed going to Pershing (back office is never ready). Overseas clients were sent to the call center. Annuity registrations all messed up, clients assigned to a call center in MD or the FA who left is still on the statements. In Chicago, they are selling out of annuities and C shares and putting clients into SB Advisor - a product that will be a challenge to adminstrate from NY (every account is different). One downtown team is telling clients that a 3 year Series 7 rep age 28 is the "expert" on writing covered calls and protective puts - and he should have descretion on your account.... with dividend stocks and the covered calls - they can provide income for life and do better than a variable annuity with income guaranteed for life.  There is no compliance or standards for suitability because as an RIA they are a "fidicuary".  My old Citi branch has sent me referrals vs. to these clowns.

Hey Has C shut down this stupid program yet?  still have an EFL to settle but they keep on pushing back the arb date.  i left because they are a bunch of liars and went back to the wire side.  %#$% em.

Any update appreciated

There's been some movement out.  A broker in NY left a few days back for UBS I heard.  Another in CA left last Friday, not sure where just yet.  It's just a slow burn now, one here and one there.

Fat1,

It's just a matter of time.

Does anyone have a current update on the switch to Pershing?

Rumor is they're not just changing broker dealers but they're folding the whole program into Pershing (BNY Mellon).  Impossible to be profitable with more back office staff then reps......especially with the reps that stayed.

Anyone.................?

Ahhhhh. Here we are, days are getting shorter, beaches are closed and were all back at our desks! Woo hoo a smaller rep, as mentioned earlier, fled cpwm for the sands of UBS. It was taken notice by tiny Tim and the sr vp’s. A sign of panic for a 350m producer? Very interesting- the exact ppl citi was trying to rid itself of. Alas a new rep joined a team in manhattan! He was a “HUGE” producer at chase and was in the process of bringing over a few pennies before chase sent out their gracious TRO. Nice job. I wonder how they sold this pile of s$$t to this mega producer. Sounds more like a clown in a suit. He will fit in. Pershing is looking disastrous. CPWM really has a grip on the future. :(~D===========8. Guess whose mouth it’s in?

React speedily to reality
You can’t wish it would go away
Invest in your future-
Lewis Booth CFO Ford

Alright, I’ll tell you. It’s in Debby does Dallas’s mouth!!! She’s a nice girl.

music to my ears- seems every day that goes by any news that comes out is shit.  I want to see this group burn as I have never worked with a bigger bunch of liars than CITI.  their HR was shit, their management was a bunch of bank guys who dont know shot about being an FA then I hear this crap about them trying to peddle accounts off to an RIA to get a cut?  WTF is that?  great- try to close an account and hand the relationship over to some other guy- what a model!!

Has anyone heard any recent rumors about CPWM?

It has been a while.............................

Very curious, did CPWM go after anyone in a serious way to slow down or stop them from moving assets to a non-protocal firm?   Like another bank?  Most FAs who left got one letter 4 to 6 weeks after leaving, and then another letter 2 to 3 months later once sizable accounts starting moving. But I don't know anyone who ended up in arbitration or with a court order to stop.....

[quote=TickTock]

Very curious, did CPWM go after anyone in a serious way to slow down or stop them from moving assets to a non-protocal firm?   Like another bank?  Most FAs who left got one letter 4 to 6 weeks after leaving, and then another letter 2 to 3 months later once sizable accounts starting moving. But I don't know anyone who ended up in arbitration or with a court order to stop.....

[/quote]Tick Tock,

Are you new to the business?? I ask this question to figure out why you would go to a Non-Protocol firm and even more importantly, why another bank program??

If you have clients that will follow you, and you've been at C for a few years............ GO INDIE!!!

Why deal with this nonsense everytime the bank programs change their (Minds, Structure, Payouts....etc.)? Or better yet, they assign a new "Manager" who "doesn't like you" and wants to change your location........

Take control of your destiny and build your business for you and your family....Not for another big corporation that doesn't give a crap about you or your business.

If you have any questions, feel free to ask them and I will be happy to offer my advice, and  i'm sure others will help too.

Good Luck!!

XcitiFA - thanks for your concern. Very happy where I landed, was doing $500K to $550K for previous 4 years at Citi, after 7 months in production at new firm - just hit $600K with higher payout. So, working like a dog, but quite satisfied ....

end of year, time to circle back on those clients left behind....

McWhinney's Out!!

Anyone with insight as to why they would move someone who was so "Successful" in changing the program?

What do the current reps think about the move to Pershing?? Is it a positive or a negative?

What is client reaction??

Thank you.....

Deborah McWhinney, who led a controversial restructuring among Citigroups bank brokers, is moving into a non-advisor role at the global financial giant. McWhinney, ...newly-created position as head of global digital merchant acquiring. She will oversee the banks efforts to help large multinational clients process online, mobile and digital transactions....Retire again! Sounds like a Private Bank personal banker - no license required! LOL

Bank brokers at Citi left in large numbers starting in 2009 after the bank sold a majority of its Smith Barney brokerage as part of a joint venture with Morgan Stanley. McWhinney, who joined Citi in March 2009, steered the remaining bank brokers toward a fee-only advisory system that involved joining teams or facing a cut in their payout. The bank advisors� numbers dropped from 553 in June 2009 to 307 in February 2010. Most likely even lower. Chicago went from 70 to about 10, Vegas from 10 to 0.

Two things that Citis advisors were expecting to come to pass have not done so  yet. Commission-based business continues at Citi, although brokers had concerns it would be dropped by this year. Exactly what Tiny Tim said!  We encourage the advisors to use fee-based because we want them to have an ongoing relationship with clients and have clients in longer-term portfolios. Our intention is to keep the commissions as part of how we do business with clients, McWhinney said. That was always the strategy,... Serious bull crap, she said the opposite in the press and press releases.

The other issue that troubled Citi advisors was the banks plan to refer clients to outside RIAs who would pay Citi a fee based on the assets that came over. McWhinney said the plan is on hold as the result of a U.S. Department of Labor ruling last fall regarding the management of retirement assets.  What a crap of lies! There is no ruling against managed accounts for IRAs.

Bottom line is the bottom line - disaster - costs are up, revenue is way down. She Fiddled while Rome burned and burned.  Looks like its been set up to sell the assets to anyone who custodians with Pershing and has $10 to take over the headaches.

Excellent case study for Harvard Business School or Sloan. How to stear a new course into the rocks with no feedback from the sales organization and surround yourself with yes men/women.

Most corporate employees are just useless smoke and mirrors in nice suits. This woman is just another example.

Tick Tock,

Isn't it amazing the bullcrap back tracking they're doing now that the "Model" is a failure??

Anyone else have any insights about the current state of CPWM??

Please feel free..................

http://www.bankinvestmentconsultant.com/news/mcwhinney-cit-wealth-2671543-1.html 

How do you destroy one division of a company and then get a second chance with another division?

This broad is like the kids of some wealthy clients, when you wreck your Mustang the parents replace it with a new BMW.

Any New News? Besides Debbie being replaced with an Operations guy from Private Bank?

Does anyone inside or outside of CPWM have any updates or comments on how the transition to Pershing has been going?

The few comments i've heard have not been too complimentary........................DISCUSS!!

Wow, looking at the numbers above, Citigroup looks like a complete FUBAR. I tell anyone that asks me, to avoid any major bank other than Wells, if they want to go bank channel. Lousy pay, horrible work conditions, dorks in charge, nasty products, ... I mean, who the heck want's that????

I'm free at last, gone indy. But I'd tell a guy or gal to check out the smaller regionals for a good spot. Assets. referrals, and management that actually finds YOU valuable. Find a place with 3-20 reps, and become a big fish in a really small pond. Seriously, why would YOU care, if the pond is small? I loved the small bank I worked for like that, and it made all the diff in the world to my life.

FUBAR??

F'd up beyond all repair

I guess it got coined in the military. 

Thank you BIgFirepower!!

DONG DONG DONG the bell tolls for thee- CPWM.

[quote=Buddy Light]

DONG DONG DONG the bell tolls for thee- CPWM.

[/quote]Buddy.... Please enlighten us.......................

Listen, the bell is tolling today

Buddy,

That was a Biggie!! Hopefully the other "Biggies" follow suit!!

I'm hearing Bells!!!!

1) I heard conversion was FUBAR.  Compensation, Account Openning, Housholding, Performace Reporting... It is all messed up.

2) Gate Keeper IC's, are going to be advisors. No longer responsible to channel refferals to teams, phantom outside RIA's, or the call center, but to book business themselves.  In other words, Cheap Labor.  This will be another flop as most are greener than a day old bannana.

3)  People started resigning again.  DONG DONG DONG comment, I beleive reffers to an Exodus Part II since I heard  some "biggies" resigned last week.

4) I hear mangement is trying to recruit new advisors???  Who in their right mind...

Regarding conversion, what would a client find unacceptable?  what serious concerns?  I think I saw that cost data did move correctly on some accounts. What about links to Citi checking accounts? or links to annuities for statements?  or performance data on all those managed accounts?

Did Pershing support SB Advisor? mixing individual stocks with mutual funds?

People are resigning again?  Why? if they put up with it for 15 months change now?  They still have draw guarantees, teams to hide behind, many have 9 year retention bonuses of 1/3 of production (all team leaders and those over $500K in 2009), 25 to 30% bonus in 2011 if they hit production goals,  lots of assets that stayed, and a wonderful firm behind them...

The 25% to 30% bonuses if they hit production goals in 2011 - that should worry clients and FINRA, who knows what annuities with big death benefits will be busted for a new managed account, or another annuity.

!!!

Investment consultants bit the dust yesterday.  Anyone want to guess the over/under on this program being sold or folded in the next 6 months?

How can investors tell when a Citigroup FA is lying?  "His lips are moving". Why would anyone trust their hard earned assets to this group of self serving immoral morans?  Oh, right, they are "fidiciary" liars.

WASHINGTON (AP) — Citigroup has agreed to pay $285 million to settle civil fraud charges that it misled buyers of complex mortgage investment just as the housing market was starting to collapse.

The Securities and Exchange Commission said Wednesday that the big Wall Street bank bet against the investment in 2007 and made $160 million in fees and profits. Investors lost millions.

At the height of the financial crisis in 2008, regulators worried that Citigroup was on the brink of failure. It received $45 billion as part of the $700 billion government bailout.

 Rating agencies downgraded most of the investments that Citigroup had bundled together just as many troubled homeowners stopped paying their mortgages in late 2007. That pushed the investment into default and cost its buyers' — hedge funds and investment managers — several hundred million dollars in losses.

 Among the biggest losers were Ambac, a bond insurer, and BNP Paribas, a European bank. Ambac had sold Citigroup protection against losses on the investment, allowing Citigroup to bet against it.

 Hedge funds had asked Citigroup to sell them investments that would decline if the housing market crashed. Citigroup did so, and wanted to get in on the action, the SEC said.

Citigroup bet that the investments would fail, but never told investors it had done so, SEC enforcement chief Robert Khuzami said in a conference call. "Key facts regarding how the structure was put together were not made available to (investors), and they suffered losses as a result," he said.

Even though Citigroup designed the investment to fail, it told investors it had been designed by an independent manager, the SEC said. Citigroup's marketing materials said the investments were picked by Credit Suisse. In an email about the deal, one Citigroup banker asked another not to tell Credit Suisse that it was designed for Citigroup to profit.

Citi PMW is a tire fire as I'm sure most of you know. Growth is anemic, advisors have contiuned to trickle out and New York has yet to communicate a clear path and direction to the field and especially, to field level/area level management. While their peer bank based platforms have grown like weeds in 2010 and 2011, Citi continues to step all over itself.

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Does anyone have any New Info on CPWM??
I hear they’re bulking up their head count for a sale of the business…Any Insight??

10-20-12
Namely, after a couple of restructurings over the past year, it is now following a traditional bank channel offering: cross selling and a push to fee-based planning business. Indeed, earlier this year, Venu Krishnamurthy, president of Citigold, told Bank Investment Consultant that he wants attract new advisors who feel that Citi is the “best place to grow their practices.” {sic, didn’t the previous bii tch say the same thing? she must have left her playbook}

One sources says teams are no longer required and no bonus or shared grid for existing teams - inspite of all the hype/training/costs thus most teams were never “Collaborative” teams and have now disbanded.
New management says the transaction products like variable anuities are a good thing with nice fat commissions… back to the future for CPWM… I only feel sorry for the customers… especially those churned to hit those FA revenue bonus goals & retention bonuses based on revenue - wait to FINRA gets a hold of that rag doll!!!

CPWM Updates???