Million Dollar Producers EJ vs. ML vs. BAC
I recently came over with the BAI folks in the Merrill merger. I used to be with Jones. I have to say I was very impressed with the number of million dollar producers Merrill has currently. Based on data the PMG group provided a few years ago there were 1400 plus million dollar producers out of 16000 I’m guessing. I know to be on the Top 500 list the cutoff is 1.5 mill currently. I think at Jones that puts you in the Top 5 in the firm. When I was at Jones during that same survey I know for a fact there were only around 65 FA’s doing 1 million out of 9000. I think BAC had 100 or so out of 2000. It shows how different the business models must be. 1400/16000= 8.75% 65/9000=.7%. Just thought people would find this interesting.
You were wrong. I think people will find this more pointless than interesting.
BAC had 5% million dollar producers?
What about RIA’s that are million dollar producers? Their model must be awesome, 100%.
You were wrong. I think people will find this more pointless than interesting.
We know one jerk off NOT doing a mil.
maybe if ur were not such a d*** you would do a mil.
How many of these Million Dollar Producers were the head of a team? It's alot more impressive to have 3 $350K guys who call them self the Stooges Financial Group of ML and trumpet themselves, or the oldest guy amongst them, as a MD producer. I know it happens at AGEWachaFargo. I wonder how many of the Thundering Herd do it?I recently came over with the BAI folks in the Merrill merger. I used to be with Jones. I have to say I was very impressed with the number of million dollar producers Merrill has currently. Based on data the PMG group provided a few years ago there were 1400 plus million dollar producers out of 16000 I’m guessing. I know to be on the Top 500 list the cutoff is 1.5 mill currently. I think at Jones that puts you in the Top 5 in the firm. When I was at Jones during that same survey I know for a fact there were only around 65 FA’s doing 1 million out of 9000. I think BAC had 100 or so out of 2000. It shows how different the business models must be. 1400/16000= 8.75% 65/9000=.7%. Just thought people would find this interesting.
[quote=CommonSense] [quote=southcampus]
great call
Yea it really is too bad that EDJ doesn’t have more million dollar producers. However their is one guy who might be nearing $1billion under management. I think he’s at 600-700 million AUM
Although you are generally correct, keep in mind that most of the $1m+ producers at the wirehouses are part of teams. So there are many teams with 2-3 advisors doing 1.5mm total. One of them is the "lead" advisor, and they may also employ several assistants. ALL of the FA's at Jones are solo, so it is quite possible to be doing less gross, but netting more at Jones, because you aren't paying as many people. If I were grossing 850K at Jones, and netting 425K, I would be pretty happy. I'm not saying that Jones is even close in terms of production, but you do have to keep in perspective that all fo them are solo's. Incidentally, the guy at Jones referenced above, has done 12 Goodknight plans. Yes, he has given away assets to 12 different FA's during his tenure, and still has well over 500mm AUM. So he basically has NO overhead (the Goodknights absorb much of it). He also owns his own building, so although he pays the rent, he also collects the rent. The guy's net is around 65%, plus profit sharing, GP, and LP. He nets well north of $2mm per year. Also, most Jones guys don't work in major metro areas, where most big wirehouse advisors (especially the super-prodcuers) work in NYC, Chicago, Silicon Valley, Boston, Atlanta, etc. I can tell you, in my area, we have ALL the wirehouses. The biggest producers (a handful) are just over $1mm, and those are guys with 25+ years in the business.I recently came over with the BAI folks in the Merrill merger. I used to be with Jones. I have to say I was very impressed with the number of million dollar producers Merrill has currently. Based on data the PMG group provided a few years ago there were 1400 plus million dollar producers out of 16000 I’m guessing. I know to be on the Top 500 list the cutoff is 1.5 mill currently. I think at Jones that puts you in the Top 5 in the firm. When I was at Jones during that same survey I know for a fact there were only around 65 FA’s doing 1 million out of 9000. I think BAC had 100 or so out of 2000. It shows how different the business models must be. 1400/16000= 8.75% 65/9000=.7%. Just thought people would find this interesting.
Chicago???
Never really thought of that as top advisor area. Always see top advisor lists and very few in Chicago, most on east coast, texas, or california. I agree Chicago is a top metro area(hence the name "2nd City") but producers there must be eating each other. Is the Jones guy, the guy down in florida who has like 6 boas and a dr's office?Wow. That's got to be 60,000-70,000 accounts.Yea it really is too bad that EDJ doesn’t have more million dollar producers. However their is one guy who might be nearing $1billion under management. I think he’s at 600-700 million AUM
[quote=henrybar]Chicago???
Never really thought of that as top advisor area. Always see top advisor lists and very few in Chicago, most on east coast, texas, or california. I agree Chicago is a top metro area(hence the name "2nd City") but producers there must be eating each other. Is the Jones guy, the guy down in florida who has like 6 boas and a dr's office?[/quote] No, that's a different guy. The one we are referring to is in NC. You're talking about Wann Robinson.Wow. That's got to be 60,000-70,000 accounts.[/quote] About 1500 clients. He basically just calls all day long. He doesn't do in-person appointments. I think his average account is well north of 300K.[quote=franklin21]Yea it really is too bad that EDJ doesn’t have more million dollar producers. However their is one guy who might be nearing $1billion under management. I think he’s at 600-700 million AUM
Calls clients all day long? or Calls for prospects? Is he top producer in the firm now?
I thought this guy was top producer:
http://www.nwbusinessmonthly.com/nwbm%202006/sept/0906_lifestyle.htmlNevermind he is 5th with $250MM in assets
The guy from NC spoke at a regional meeting when I was at Jones. He had more in MM at the time than I had in my entire book…he had 30-35M in MM.
I don't follow. Do you mean he had about 10 times your book? (350mm vs. 35mm)The guy from NC spoke at a regional meeting when I was at Jones. He had more in MM at the time than I had in my entire book…he had 30-35M in MM.
I think he is referring to more in Money Market accounts. ... AND WOW!
Ahhhh. Got it.
As a sidenote, we had a Top Producer speak to a group of us a few years ago. He gave us his old business plan. In it, he listed the top 5 in the company in terms of NET INCOME that he was "competing" with (just net commissions, no GP/LP/PROFIT BONUS/PROFIT SHARING, etc.). In order they were $691K, $654K, $639K, $625K, $577K. The numbers were from 1998. This guy had a way to go though. He was at about $450K net. The only one of those top 5 no longer with the company is Van Pearcy (he was #4). We all know how he's doing now.how much gross does the biggest fa on the planet do?
Ron Carson- I think 6-7 million or so now.
Doesn’t the dude who runs the mutual fund store make more than that?
It’s not even really worth comparing though. Most of these guys have huge teams, so it’s like comparing apples and oranges. The Mutual Fund Store has like 65 offices or something. Each of those guys that runs them makes money.
We have one fo the top 10 indy brokers very nearby - he has like $650mm or something. But he also has a staff of like 24 people. There is another one a little further away, and they have a few more assets, but he has a staff of like 45. Not that these guys aren't filthy rich, but it's also not like they are generating all the revenue. Most of them are basically CEO's running small companies.I have never understood terms like that (filthy rich, stinkin’ rich)…I have been poor, and I have been, say, well off…I was MUCH filthier when I was poor.
Filthy Rich - Acquiring wealth through improper, dishonorable or unethical means. Has roots from the 14th century, but more commonly used in referring to robber barrons and stock market mavens earlier in the 20th century.
And Windy. Sorry, buddy, couldn't resist.Filthy Rich - Acquiring wealth through improper, dishonorable or unethical means. Has roots from the 14th century, but more commonly used in referring to robber barrons and stock market mavens earlier in the 20th century.
In about 500 years when you have 1/2 that amount under management then you will be a little more qualified to tell any what is or what is not a waste of manpower
He said manpower not mouthpower dumbass. Nobody wants your niche market.In about 500 years when you have 1/2 that amount under management then you will be a little more qualified to tell any what is or what is not a waste of manpower
And Windy. Sorry, buddy couldn't resist. [/quote][quote=B24]Filthy Rich - Acquiring wealth through improper, dishonorable or unethical means. Has roots from the 14th century, but more commonly used in referring to robber barrons and stock market mavens earlier in the 20th century.
[quote=meletio]In about 500 years when you have 1/2 that amount under management then you will be a little more qualified to tell any what is or what is not a waste of manpower
He said manpower not mouthpower dumbass. Nobody wants your niche market.[/quote]
I don’t believe i was taking to you dipsh*t
I am not a CFP yet (will start process after the new year) but I work with two.They asked me to develope an agenda/timeline to coordinate our planning process and it seems to work well so far. If you are interested then PM me and I will share it to see if it can help you. It should at least give you an idea of where to start. View Post
I’ve read some of your post and there is no possible chance that you will pass. you sound like a huge dumbass
You have the President (owner/"The Guy"), then several advisors (like 5 or 6), an insurance expert, a CFO, office manager, two receptionists, several staff people (like 4), a para-planner, two "analysts", a marketing person, and a few others I think.24 people to run $650MM? What a waste of manpower.
hi meletio
How ya doing buddy ?
In about 500 years when you have 1/2 that amount under management then you will be a little more qualified to tell any what is or what is not a waste of manpower
hey mel
whats new
[quote=oitelem] In about 500 years when you have 1/2 that amount under management then you will be a little more qualified to tell any what is or what is not a waste of manpower
hey mel
whats new[/quote]
not much pal, how are you ?
YOU HAVE GOT TO BE FCUKING KIDDING ME!!!
I’M A BROKER. I’M NOT A BROKER. I AM THE REAL MELETIO. I AM NOT A BROKER. I HAVE NEVER BEEN A BROKER, EXCEPT WITH I WAS A RECEPTIONIST, I ACTED LIKE ONE.
I AM A LOSER, BUT HAVE UNLIMITED RESOURCES. UNLIMITED RESOURCES! DO YOU HEAR ME? I AM TRADING MY SCHWAB ACCOUNT LIKE A SUMBITCH, SUCKAS!
LET IT RAIN!
[quote=saywhat]
I am not a CFP yet (will start process after the new year) but I work with two.They asked me to develope an agenda/timeline to coordinate our planning process and it seems to work well so far. If you are interested then PM me and I will share it to see if it can help you. It should at least give you an idea of where to start. View Post
I’ve read some of your post and there is no possible chance that you will pass. you sound like a huge dumbass[/quote]
Hey, it’s the little engine that couldn’t!
secretary meletio, CFP- Crackhead Floridian Pedophile.
Do you two guys live together ?
I think I saw a post awhile back about Ron Carson doing 6-7 million in gross production. The number one guy at ML is in Washinton state and he consistently does around 13-20 million gross. However, in all fairness I don't know anything about team structure/size/etc..
The biggest guy in my office is a solo practitioner who uses only a ML paid sales assistant and does over 2 million gross with 40 clients. Just my $.02We do get caught up with this production thing…truth is, and it has been discussed to death…I know very few 1mil + guys who do it on there own. i would be a mil producer if I inherited a 200 mil book, or had the “ideal” Jones office. Very infrequently is it the individuals talent or work ethic…I am less than impressed by most of the group…
mil dollar producers are fairly common in wirehouses... if you survived 20 years in one, you cant help it but be one with all of hte money and opportunity that gets dropped on peoples laps.
now building your own book to 1mil producer... that is an accomplishment. Doing it as an indy or an RIA is a real big one.
Most of the indies or RIA’s that I have seen do it (absent 20+ years in the business), did it by coming from another background. For example, I know a few guys that formed an RIA near me - they have degrees in Accounting, MBA’s, JD’s. They have their CPA and CFP and passed the bars. Former tax attorneys. They are doing the whole estate planning/trust thing with their HNW connections. At that level, you only need 50-100 clients (or fewer) to be a 100mm producer. And they are also writing the life insurance for the estate planning issues, so they get some monster cases.
Although you are generally correct, keep in mind that most of the $1m+ producers at the wirehouses are part of teams. So there are many teams with 2-3 advisors doing 1.5mm total. One of them is the "lead" advisor, and they may also employ several assistants. ALL of the FA's at Jones are solo, so it is quite possible to be doing less gross, but netting more at Jones, because you aren't paying as many people. If I were grossing 850K at Jones, and netting 425K, I would be pretty happy. I'm not saying that Jones is even close in terms of production, but you do have to keep in perspective that all fo them are solo's. Incidentally, the guy at Jones referenced above, has done 12 Goodknight plans. Yes, he has given away assets to 12 different FA's during his tenure, and still has well over 500mm AUM. So he basically has NO overhead (the Goodknights absorb much of it). He also owns his own building, so although he pays the rent, he also collects the rent. The guy's net is around 65%, plus profit sharing, GP, and LP. He nets well north of $2mm per year. Also, most Jones guys don't work in major metro areas, where most big wirehouse advisors (especially the super-prodcuers) work in NYC, Chicago, Silicon Valley, Boston, Atlanta, etc. I can tell you, in my area, we have ALL the wirehouses. The biggest producers (a handful) are just over $1mm, and those are guys with 25+ years in the business.[/quote] It doesn't work that way. At least, when the OP references pulling the top 500 list of production, it doesn't. While a team may boast about its combined gross production, the ML system breaks down the allocated percentage applicable to the producer and lists each production level separately. i.e., the lead FA of a 3 person team doing $2mil in production and splitting 50/25/25 would be listed as doing $1mil in production.[quote=southcampus]I recently came over with the BAI folks in the Merrill merger. I used to be with Jones. I have to say I was very impressed with the number of million dollar producers Merrill has currently. Based on data the PMG group provided a few years ago there were 1400 plus million dollar producers out of 16000 I’m guessing. I know to be on the Top 500 list the cutoff is 1.5 mill currently. I think at Jones that puts you in the Top 5 in the firm. When I was at Jones during that same survey I know for a fact there were only around 65 FA’s doing 1 million out of 9000. I think BAC had 100 or so out of 2000. It shows how different the business models must be. 1400/16000= 8.75% 65/9000=.7%. Just thought people would find this interesting.
Yeah, I see what you’re saying. However, on most of those big teams, there is enough horsepower behind the “Big Dogs” that there is tons of money coming in on the shoulders of the non-producer “underlings”. Don’t get me wrong, I’m not discrediting them in any way. That’s the way to build a real sustainable business model the right way. My point was, a “solo” advisor doing $1mm+ at ANY firm is pretty impressive.
Another guy that would be grouped in this conversation is Kent Donnelly. I believe he has done Goodknights for every other IR in Olathe,Kansas, which by now might be around 6 or more. I believe there is another top producer now in that same town which he gave a start to. I think he was managing 450 mill back a few years ago and doing 2 mill gross. I wonder if you count what he has given away and compounded those returns if it would be up close to a billion under management? Pretty impressive numbers considering the location.
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