Is my RIA underpaying me?
I am an advisor with 11+ years of experience within the advisory, annuity, and life insurance arena, I have a series 7, 66, life & health, and an AIF designation. I now only offer advisory and fee based planning services. I am working for what seems to be a shrinking wirehouse, even though I was told it was a RIA upon my hiring.
QUESTION: Am I getting f*d over or is this a normal comp structure for a wirehouse? Is it normal to have a $50,000 "deductible" before I start recieving any fees?!
I manage 50+ households with a total AUM of $16,000,000 of a senior advisor's book of business (C and D clients). Secondary objective is to bring in additional AUM - I have brought in and manage 15 households worth $6,000,000 in additional AUM.
1st - $50,000 salary with benefits to manage the 50+ households. There is no raise, bonus, or asset based increase in pay.
2nd - AFTER I bring in an additional $50,000 in advisory fees to the firm, I will then receive 40% on any fees received for dollars OVER 50,001 through 250,000 AND 45% on any fees received above $250,001.
Obviously, I want this $50K deductible removed, but will a small wirehouse/RIA change their policy for me?
Robb, I am not sure if you are employed by a a national/regional firm or an independent RIA, and just working with this advisor. If an independent, then it doesnt sound like a very fair deal for you unless there may be potential down the road to acquire the practice. I work with advisors who are considering going independent. Feel free to reach out if you want to discuss your situation in more detail.