EDJ Startup/Ongoing Expenses
Maybe the Jones people can clear this up because the website doesn't go into detail. As a new rep, what are your out of pocket expenses? Does Jones pay for (and for how long) office expenses, secretary and marketing materials, in additional to a very small salary? What gets them comfortable with the risk of fronting all the startup costs and then having a new rep just leave? Thanks.
you pay for postage and advertising out of pocket. you must sign a 3 year deal. office costs come out of future bonuses, to some degree. with 11000 reps, they have a good handle on the risk for Jones. it’s a great way to start, but not for everyone.
read and understand the 3 year son soliciate agreement and the $72,000 training program that you may have to pay back if you leave early. Its a good start, but you need to make a 3 year commitment if you can make a living in the industry.
Remember too, that is only the case if you move on to another brokerage with your license within that 3 years. If you decide to quit being a registered rep, you owe nothing.read and understand the 3 year son soliciate agreement and the $72,000 training program that you may have to pay back if you leave early. Its a good start, but you need to make a 3 year commitment if you can make a living in the industry.
You pay for the koolaid, but indirectly! I just had to do it sorry guys–Jones is a great place to start–they recently changed who pays for what. If I were you I would pm Broker24, Spiff, Mrs Jones ect…, with questions–I’m kinda nice but some of the other ex-Jones would go for the main vein!
Good luck on your adventure--work hard![quote=lambda]
Maybe the Jones people can clear this up because the website doesn't go into detail. As a new rep, what are your out of pocket expenses? Does Jones pay for (and for how long) office expenses, secretary and marketing materials, in additional to a very small salary? What gets them comfortable with the risk of fronting all the startup costs and then having a new rep just leave? Thanks.
[/quote] They keep 60% from there on out.. You make 40% and then years later you will bitch becuase they keep too much of your money.. Miss JWhen it comes to locating office space, will they shell out for a decent storefront or put you in the cheapest available 20x20 room in some obsure office building? You would think visibility is important in letting the public know you exist in areas of high foot traffic.
look around you town…where are the Jones offices? not to be cynical, but it is like a 10-15% shot that you will end up with an office when you start with jones.
i qualified for an office at Jones right before leaving and they were not cheap when it came to finding a spot. they do care where you go, but remember, at the end of the day YOU end up paying for the office one way or another. if you choose a new expensive location smack dab in the middle of a high priced area, it will play into how soon you become profitable and what not. your rent is a direct expense sent back to you on the P&L.
Jones “pays” for it sure, but they also take 60%. there are tradeoffs everywhere, no matter who you go with.
i knew plenty of Jones guys who were seg 3, in their 3rd year who wished their rent was lower.
they prefer storefronts like the one they did for me; but most people in my training class simply waited to move to whereever a good current location became available–very common. depends on whether or not you are flexible location-wise. I was not due to schools, etc.
Success totally depends on your prospecting anyway--you WILL STARVE if you think foot traffic makes any difference. no offense.Ok…what qualifications do you need to obtain an office? Otherwise, what’s the alternative? You don’t want clients coming to your house with the kids shooting them with water guns and the dog ready to chew someone’s head off…
I agree prospecting is what makes or breaks you…
why not ask Jones what their qualifications are? you might want to know those things going in. you have to be meeting or exceeding your goals at various levels. i must admit you have to be pretty lazy or just not cut out for this profession to not be at least meeting expectations.
most new new work out of a veteran’s office for appts if they need space. otherwise use a coffee shop, restaurant, whatever until you get an office.
i worked out of my bedroom until I had the required 50 accounts, and was above “expectations”.takes about a 8-12 months, though, when you figure study time, training, etc
Sounds like they make you pay some dues before getting that office. Makes sense.
if you are new/new they do. they have been preaching no more new/new without an office or some assets to start for awhile. not sure how that is working out. hang in there, offices open up all the time. it is not always the best producer who gets them either. it is they guy most “active” within the Jones culture normally. kissing the right behind aint a bad idea either. it is ok to call the big dogs every once in awhile and just pick their brain. the regional leader hears this stuff from his reps. my region had nothing open when i left, and 2 weeks later 3 people went to rayjay and 2 others left as well. 5 open offices just like that. maybe not the greatest situation, but an office and “storefront” nonetheless.
newnews are not yet “outlawed”
Not enough holes for all the pegs…
A lot of Goodknights are being done, but obviously only where offices already exist. If you are trying to go into a new area, Jones can't help you much. So unless you are in an area with several offices already, start scoping out potential office space (think 800-1200 sq ft). As far as the office, don't go to either extreme. Jones likes to keep the rent in a range, but they will pay for a nice space. I have a VERY nice office. And it was not that expensive. However, I have seen some pretty crummy ones. Mostly, it is the FA that lets them go to crap. I walk into some that are just awful. Crap everywhere. Most locations can be made to look good. But I absolutely did not want a "storefront" next to the proverbial Subway, so I waited to find a good class-A space in my town. If you are going after the upper end client, you can't be next to a laundramat, with "buy 5% CD's now!" plastered on your windows. My spot is first class, no neon signs, very little is "Jonesy" about it. And I decorated very nicely. Spent some money to do it right.if you are new/new they do. they have been preaching no more new/new without an office or some assets to start for awhile. not sure how that is working out. hang in there, offices open up all the time. it is not always the best producer who gets them either. it is they guy most “active” within the Jones culture normally. kissing the right behind aint a bad idea either. it is ok to call the big dogs every once in awhile and just pick their brain. the regional leader hears this stuff from his reps. my region had nothing open when i left, and 2 weeks later 3 people went to rayjay and 2 others left as well. 5 open offices just like that. maybe not the greatest situation, but an office and “storefront” nonetheless.
…but they should be…
The hard thing for me to agree with was that my computer system was $1400…no not per year…per month!
That was more than my office rent. I wonder if that is the number for new new's working from home using a dial up laptop?it was a blast
new new, laptop users…can any of you tell me how much you are being charged on your P/L??
What’s wrong with Subway, I can smell the fresh bread now! When I was at Jones there was 2 offices in town–mine at $500 a month rent in a storefront and another just down the street (We really could see each other’s office) and his was $1,800 a month + CAM…his office was a little larger but not $1,300 a month worth–all that went against the P & L so I was profitable faster than he was even though our sales were near the same. Which as all you Jones folks know, means I got larger bonus checks!
Assuming a 40% payout and $5,000 in monthly operating expenses…you will have to gross approx $13,000 per month just to breakeven. Is that right?
depend on BOA salary, location costs. Mine was $17000 gross. Does anyone know the P/L for the laptop? I bet that is a “hidden” cost.
Probably a little higher in high cost/rent areas (remember BOA pay, rent, etc. is a variable). $13K might work with low rent and wages. I would say $18K is about average.Assuming a 40% payout and $5,000 in monthly operating expenses…you will have to gross approx $13,000 per month just to breakeven. Is that right?
laptop cost irrelevant--counts against a bonus that you will not get anyway as a newbie.
Hardware/software P/L charge is 1250.00/mo after you trade your laptop for an office.Postage is NO LONGER 50%. Jones covers phones instead.
I was fired from Jones producing in the high 13’s on a 4 month roll out between 5 and 6 years. But now I’m Indy and I’m making much more $$$ without the stress and have 2 reps on board under my office of supervisory jurisdition. How bout them apples. Now my 4 month average is who cares divided by eat shit.
Irrelevant???? Negative debt carries over till profitability. It is highly relavant...but I bet no one can come up with the dollar number since it is high enough to buy 4 of those old laptops in one month.
indythankgod,
congrats! did they raise the min to 18K??
Yes they did change the quota to 18 from 14 per month. Thats a 48,000 increase per year for every IR. OUCH! Higher quotas and mandatory fee base license for every IR helps to increase the value of Eddy. I smell something.
Indy, were you “fired” because you couldn’t meet the quotas? I thought that if a rep followed EJ’s method of 25 contacts per day (meaning people you actually had a conversation with concerning their financial needs) that you could do well…
I had about 15 5-10 year brokers in the 10-20K gross per month range. I’m sure they smell it too
[quote=Broker7]
Irrelevant???? Negative debt carries over till profitability. It is highly relavant...but I bet no one can come up with the dollar number since it is high enough to buy 4 of those old laptops in one month.
[/quote]
Sorry, you don't have a balance sheet at the branch level. EDJ absorbs the deficit. Nothing "carries over".thank you; it was irrelevant. Not everything at Jones is horrible (good place to start, and this is one reason)
Lambda if it were that easy there would not be room for you have this opportunity because everyone would make it. Jones and all other firms have lots of turnover for a reason. Its tough. There are many many variables that affect your success or failure in this business.
[quote=Broker24][quote=Broker7]
Irrelevant???? Negative debt carries over till profitability. It is highly relavant...but I bet no one can come up with the dollar number since it is high enough to buy 4 of those old laptops in one month.
[/quote]
Sorry, you don't have a balance sheet at the branch level. EDJ absorbs the deficit. Nothing "carries over".[/quote] DEFICIT I would think they could make up all of it with the laptop rental profit center and the meager payout and huge profit center for billing reps leaving for training costsI had conversations with other EDJer’s and one thing that I didn’t realize was a direct factor to success was location. You would think that big towns have more potential than small towns. But that is not the case according to those with experience.
Agreed. In big towns/cities you get lost in the herd. In some small and rural towns, you are the only game in town other than the local bank. Not a bad gig.
In my opinion, location is NOT a direct factor to success. Let’s say you are the only EDJ guy, the only finanical planner for that matter, in an entire county of 50,000 people. But you are the laziest guy out there and you sit on your butt and wait for the biz to come to you. After all, you are the only financial planner in the county. Surely some of those 50,000 people will come see you.
Wrong. You still have to do the work. Those people aren't going to come to you out of curiousity and then decide to invest with you just because you hung out your shinge. It might work for a furniture company, but not a financial company. I don't think it's any easier or more difficult in one location over another. It's just different. I'm in a metro market. My city has 3 zip codes, 52,000 households and $18.4 billion in investible assets according to the Jones info. I could get to anywhere in that area from my office in 15 minutes. On the other hand, the rural county I grew up in has 18 different little towns, 40,000 households, and $12.1 billion in investible assets. It took me 15 minutes just to get to school in the morning. And I sure didn't pass any HNW neighborhoods to get there. Put your office in a strip mall or put your office in a professional park. Who cares. Put your office in a small town or in a metro area. Who cares. Here's my advice. Put your office where you want to raise your family. Forever. If you've got a vested interest in the area, you'll make your business work.Spiff is correct that location is not the only factor, however, it is still an important factor. Do guys succeed in metro markets and fail in rural ones? Yes. Is the failure rate higher in metro areas than rural ones? I was in 2 different regions while at EDJ, both had a mix of metro and rural. The failure rate was probably at least triple in the metro area. That may not be representative, but I bet that the failure rate is at least double nationwide. I saw the same trend with reps I met from other parts of the country, the metro guys were turning over at an alarming rate, and the rural guys pretty much stayed around.
The flip side of that is that some of the metro guys who were successful took VERY nice checks from the competition to move. I don't know that the check is worth what you give up for it, but the fact is in a rural area that check is not an option. If you want to leave EDJ and stay in your community, you are looking at either the independent or bank channel, not a wirehouse. One thing that is not a factor is the overall income potential. I thought initially that the successful metro reps would make a lot more than successful rural reps. Maybe at the very top end, but I know several rural reps making $200-$500k a year, and many of them could make more if they wanted to. Call me lazy, but I plan on spending enough time on the golf course and with my family to ensure that my income never gets above $500,000. I'm not sure at what point I kick it into neutral and coast, as I'm not there yet. However, I know it's probably in the $250-500k range.LMFAO!!!!!I was fired from Jones producing in the high 13’s on a 4 month roll out between 5 and 6 years. But now I’m Indy and I’m making much more $$$ without the stress and have 2 reps on board under my office of supervisory jurisdition. How bout them apples. Now my 4 month average is who cares divided by eat shit.
I was fired from Jones producing in the high 13’s on a 4 month roll out between 5 and 6 years. But now I’m Indy and I’m making much more $$$ without the stress and have 2 reps on board under my office of supervisory jurisdition. How bout them apples. Now my 4 month average is who cares divided by eat shit.
That's something that I'm always a little bit baffled by. Now I realize that the message being sent is "more, more, more", but how exactly was Jones (or a wire, for that matter) losing money on a $150K producer? Arguably it's not exactly setting the world on fire, but c'mon now, who's the $150K producer hurting?
Now it is up to $216,000…I went to lunch today with a 7 year EJ broker just fired last week.
I dislike Jones as much as the next guy, but a 170k, producer is probably not profitable for the firm. Pull out FA cut, rent, BOA salary and beneits, and office expenses and there likely isn’t anything left. I can see them needing to increase this amount. Of course they figure they’ll keep half the assets, new blood and be ahead in a couple years.
I understand both points of view but in my case I was super-compliant, big on A share mutuals, tax-frees, rarely an annuity, and my previous few years of prod were between 105-110, then 134-137, then betw 156-160 which are not huge #'s but…the next year would’ve been around 175-180 based on previous year increases. 14k per month or 168K annually was meeting expectations. I think Jones is feeling pressure after the lawsuits to ramp up production per IR. Thats why they cast a huge net every month and try to find the next allstar producer. Only 1 person is left in my class back when I started. Thats not good news for the newbies reading this but its the truth.
Is this really anything different than at other firms? I don’t see Merrill or MS keeping guys around 7 or 8 years that are producing $180K. No firm can survive on producers at this level. And we as a firm don’t want someone ina “territory” that is satisfied doing $180K, which really prevents someone else from really bringing in clients. At the end of the day, this (or any firm) is really about business. Our job is to bring in more assets. If you don’t want to do that (at least to an acceptable level), you need to go strike out on your own with LPL or RayJay or whoever.
Though I am not yet a partner, if I were (or even a partner in my own indy firm), I would want advisors pulling their own weight.At the end of the day it is still a business. It is a for profit organization. They didn’t give you that office to have you grow up to be a Seg 2 producer for the rest of your life. They want to you make money for them. And for yourself. You can go almost anywhere and make $45K a year for a lot less stress than an EDJ office.
15 years ago Jones could see a profit from a $180K/yr office. Now they can't. Inflation has crept in. Sometimes production numbers need to be updated. I know I can't be profitable at $14k and I'm sure there aren't a lot of offices out there that can. I don't think it has anything to do with the lawsuits. I think it was just time to raise the bar. A business decision to focus on profitability. Have there been vets that were at the minimum level for years that suddenly find themselves having to produce more? Yep. They have a couple choices. Leave or produce. Simple. Me, I'd rather just find $4000 extra a month. You've got to be seriously below expectations for a long time to get fired from Jones. It's not like it's a suprise to anyone when they put you on goals. And it's not like they walk into your office on a Friday afternoon and say give me your keys. They will work with you to help you fix whatever your issues are. If you can't fix them, then it is seriously time to leave or Jones will make the decision for you. For a lot of guys indy is the route to choose. For the reason you mentioned above.You should ask someone from one of the wires how many people they started with and have left. Ask a 15 year veteran how many newbies they have seen come and go. I guarantee you the number is HUGE. As I said in another post, this is the case across the industry, not just Jones.Only 1 person is left in my class back when I started. Thats not good news for the newbies reading this but its the truth.
How come noone complains about the hurdles at ML or MS? If all you did was $18K per month at these firms, you’d been thrown right out the 41st floor window…
If you think about this in the context of the bean counters in St. Louis, it makes total sense.
You take someone who has busted their arse to get their office to roughly 20mil under mgmt in 4 or 5 years from scratch and is bouncing back and forth in the meeting/not meeting range and their is a potential transfer broker out their that has roughly the same assets and 12 month trailing average who is ready to make the switch. Now from a macro economics/pie in the ski view, Jones thinks they can fire the current rep. and move the new guy over. The new guy brings his 20mil to add to the current 20mil and over night you have a office that is in "theory" a 40 million dollar office with a 300k+ producing rep. Sounds pretty simple to me, and is what a big company that only cares about their bottom line should do, but ethically...... (In my 5+ years at jones, my region never had a transfer rep come to jones that was producing over 200k, except for a guy who came from a bank who was supposedly doing 700k gross, but could not even open a account at jones and left in pretty short order.) Just my 2 cents. P.S. This is for Spiff - you put your numbers up here not too long ago, and if I remember correctly, you are in that "danger zone" at jones where they might just can you out of the blue one of these days.... ya ya, Jones would never do that to you,..... until they do that to you! But I am sure you have been thinking of this and have a plan.... I sure hope you do anyway, because you seem like a nice guy.For what’s it worth:
Out of the 59 that started with me in early 2002, 18 are left. That’s roughly 1 out of 3, 6 years later. Of course a 5 year bull market started one year into the business…
Hulk,
18 are left in the indusrty, or with Jones??[quote=Broker7]Hulk,
18 are left in the indusrty, or with Jones??[/quote] That has to be in the industry. I started not too much later than that, and when I left at the 3 year mark, there were 2 people left in my class of 16, one of whom was on the ropes. The other one was probably bound to leave for greener pastures, he has the personality to be very successful in this biz, and also the personality that would take a $300,000 check if you waved it in front of him. I'm not sure if either of them are still there, but either way only 3/16 hit the 3 year mark to avoid the training chargeback, and I left within a few weeks of when I hit it.On our Directory with an FA# next to them, meaning they are still selling with Jones. It seems that the class was larger than 59, but I’ve got a copy of a page when you are going through KYC telling everyone which classroom to go to. There are 5 classrooms listed. One class has 1, 2 have 3, mine has 5 and another has 6 left.
Interestingly enough, 2 of the 5 visiting vets (including mine) are no longer with Jones. I’m sure they either took a check or went Indy…And they were probably both compliance issues as well.
[quote=doneWjones]If you think about this in the context of the bean counters in St. Louis, it makes total sense.
You take someone who has busted their arse to get their office to roughly 20mil under mgmt in 4 or 5 years from scratch and is bouncing back and forth in the meeting/not meeting range and their is a potential transfer broker out their that has roughly the same assets and 12 month trailing average who is ready to make the switch. Now from a macro economics/pie in the ski view, Jones thinks they can fire the current rep. and move the new guy over. The new guy brings his 20mil to add to the current 20mil and over night you have a office that is in "theory" a 40 million dollar office with a 300k+ producing rep. Sounds pretty simple to me, and is what a big company that only cares about their bottom line should do, but ethically...... (In my 5+ years at jones, my region never had a transfer rep come to jones that was producing over 200k, except for a guy who came from a bank who was supposedly doing 700k gross, but could not even open a account at jones and left in pretty short order.) Just my 2 cents. P.S. This is for Spiff - you put your numbers up here not too long ago, and if I remember correctly, you are in that "danger zone" at jones where they might just can you out of the blue one of these days.... ya ya, Jones would never do that to you,..... until they do that to you! But I am sure you have been thinking of this and have a plan.... I sure hope you do anyway, because you seem like a nice guy.[/quote] I'm not concerned about my numbers. Numbers can change quickly in this biz and mine are fine. Although, I appreciate your concern for my well being. IF I had a plan, it would include the letters LPL. I'll say it again...Jones doesn't just walk into your office one day and say let me have your keys. First, you have to be producing at well below standards for a while. I'm sure they have some formula that they use, but I've never heard it. Once you hit the radar they'll contact you and find out what the story is. Then, they'll put you on goals. That means you have x amount of months to do y production or you're gone. I've seen guys go on goals half a dozen times, pulll out of the tailspin and make good FAs. I've also seen some get put on goals and leave ASAP cause they know they can't cut it any longer and someone finally told them so. I don't think the bean counters in STL have any misconceptions about giving $20 mil offices to transfer reps. We just don't get that many big producing ones. I'm sure it happens, but not in my region. 5 years and we've had one guy that was kind of a transfer broker. Everyone else has either been from the home office (nothing wrong with that) or new to the industry.I can attest to Jones being very patient with marginal brokers. I had a conversation with one last year who admitted to me that he struggled with the 18K monthly nut and he’s 10+ years out with Jones. As I’ve posted elsewhere, the evidence suggests that Jones would rather he leave, but to their credit, they’ve never asked him for the keys to my knowledge.
[quote=Spaceman Spiff][quote=doneWjones]If you think about this in the context of the bean counters in St. Louis, it makes total sense.
You take someone who has busted their arse to get their office to roughly 20mil under mgmt in 4 or 5 years from scratch and is bouncing back and forth in the meeting/not meeting range and their is a potential transfer broker out their that has roughly the same assets and 12 month trailing average who is ready to make the switch. Now from a macro economics/pie in the ski view, Jones thinks they can fire the current rep. and move the new guy over. The new guy brings his 20mil to add to the current 20mil and over night you have a office that is in "theory" a 40 million dollar office with a 300k+ producing rep. Sounds pretty simple to me, and is what a big company that only cares about their bottom line should do, but ethically...... (In my 5+ years at jones, my region never had a transfer rep come to jones that was producing over 200k, except for a guy who came from a bank who was supposedly doing 700k gross, but could not even open a account at jones and left in pretty short order.) Just my 2 cents. P.S. This is for Spiff - you put your numbers up here not too long ago, and if I remember correctly, you are in that "danger zone" at jones where they might just can you out of the blue one of these days.... ya ya, Jones would never do that to you,..... until they do that to you! But I am sure you have been thinking of this and have a plan.... I sure hope you do anyway, because you seem like a nice guy.[/quote] I'm not concerned about my numbers. Numbers can change quickly in this biz and mine are fine. Although, I appreciate your concern for my well being. IF I had a plan, it would include the letters LPL. I'll say it again...Jones doesn't just walk into your office one day and say let me have your keys. First, you have to be producing at well below standards for a while. I'm sure they have some formula that they use, but I've never heard it. Once you hit the radar they'll contact you and find out what the story is. Then, they'll put you on goals. That means you have x amount of months to do y production or you're gone. I've seen guys go on goals half a dozen times, pulll out of the tailspin and make good FAs. I've also seen some get put on goals and leave ASAP cause they know they can't cut it any longer and someone finally told them so. I don't think the bean counters in STL have any misconceptions about giving $20 mil offices to transfer reps. We just don't get that many big producing ones. I'm sure it happens, but not in my region. 5 years and we've had one guy that was kind of a transfer broker. Everyone else has either been from the home office (nothing wrong with that) or new to the industry. [/quote] I really don't think Jones looks at it like that. The exception may be in an urban area where there is a "wait list" of transfer brokers waiting for an office to open. But I know in my region, very few established FA's ever leave, so there are few opportunities for transfer brokers to take over an office. The only ones that seem to leave are the ones that either have not qualified for an office yet, or have just been struggling for several years. I have seen several newbies come and go, but only one established FA leave - and I heard he only had about $12mm in AUM after about 4 years. He ended up going, surprise surprise, independant. He did about $150K in production, so he went and rented a hole-in-the-wall office, and transferred some assets. He's probably netting $100K now or something like that. No assistant, one-room office, doubtful he prospects much (he obviously didn't before). It's a perfect example of a guy we wouldn't want to stay on. He was in a prime location with plenty of wealth. The person that replaced him doubled the assets in one year. The office is now up over $25mm in like 18 months.Indyone-
All due respect - EDJ is patient with the marginal producer in SOME cases. I have no sour grapes story to tell. Just a humble former segment 4 IR now indy w/ LPL for nearly 3 years. The EDJ IR located in the "motherland" has had a vastly experience than the one located down the street from the 4H club. I left EDJ about the same time as you left the bank (have been lurking for several years). Jones is a great place to start (in fact, a fine firm in many ways). For many of us it's not a money issue (going indy), it's a culture issue.Spiff -
Not trying to be a D!cK but, I was in new IR training in the days of Bob Gregory. One of the things he told us (on a Saturday morning in the old Commmunity Federal Building) was: no matter what anyone has told you or how bad you think this is - it's ten times as hard (to build an office from scratch). Unless you have turned on the "pizza box" with no assets, no accounts and no way of obtaining same without bloodying your kncukles on the door trying to sell 100 shares of United Dominion (UDR), you can't understand. Even those with 5 - 10 million to start, that's huge - particularly in thenEDJ system.Hello, brother Johnny! Hey, I don’t have any disagreement with what you’re saying…I’m just observing what’s gone on around me and for the life of me, I’m surprised they haven’t cut the poor guy loose. I know he spoke to LPL and was turned down, which I would think is a rarity as LPL seems to love EDJ recruits.
...and I understand the culture clash, having been there myself. I'm glad we were both able to find a good home...[quote=DRAPALA]
Broker24,What a load of crap. NOBODY believes that. You need to get back to work and quit posting ALL day
[/quote]
My bad. Apparently you are aware of the experience of all 11,00 advisors with Jones. Sorry for my outright lies. Boy did I stretch the truth. And by the way, I have been posting from a hotel, you sh!t-for-brains. I’m in NYC for a few days meeting with prospects. Get a life, and stop tracking when I post.
BS
[quote=Johnny Roast Beef]Spiff -
Not trying to be a D!cK but, I was in new IR training in the days of Bob Gregory. One of the things he told us (on a Saturday morning in the old Commmunity Federal Building) was: no matter what anyone has told you or how bad you think this is - it's ten times as hard (to build an office from scratch). Unless you have turned on the "pizza box" with no assets, no accounts and no way of obtaining same without bloodying your kncukles on the door trying to sell 100 shares of United Dominion (UDR), you can't understand. Even those with 5 - 10 million to start, that's huge - particularly in thenEDJ system.[/quote] I'm not quite sure what part of my post you had a disagreement with, but evidently you found something. Anyway, I'm not one to discount all those people out there that started new/new with no assets, no office, no prospects. I've seen plenty of them crash and burn, but at the same time I've seen lots of them do very well. On the flip side, I've seen people take over $5-10 mil books crash and burn because they figured that was their meal ticket and they never worked like a new/new to bring in their own clients. And I'm going to respectfully disagree with your last comment. I think I can understand. I've bloodied my knuckles on those doors trying to find new assets. Struggled to find that one new account to buy whatever the stock of the day was at the time. Just because I had some other clients to work with doesn't mean that part of the Jones business building experience changes.Spiff- the answer to when they ring the bell and start you on “goals” is when you go below 40% of the green line. Then you have monthly goals to hit or you’re done. So, yes, you could struggle along at 45% for quite a while-- so it is true that folks have lasted months/years below expectations where they would have been let go at other firms. 40%=low bar.
I know of a rep who left a wirehouse & transferred to EDJ & was handed an office with nearly 20 million in assets. Sounds like a sweet deal…who makes these decisions in the Ed Jones system?
20MM. Average book at Jones is 55% funds= 11mm. Net trails at $1000.00 per mill: $11K per year before taxes. Not exactly gonna pay the mortgage.
It happens at several different levels. Home office has some input at the GP level. Each area has a GP responsible for it. The Regional Leader has some input. He may have a person he'd like to transition to that office. There's also an open office department at the home office who is responsible for filling those offices. Ultimately the decision is made between the GP and RL. It's not always a perfect system and often pisses off a lot of people, but they try to do the best they can for everyone involved.I know of a rep who left a wirehouse & transferred to EDJ & was handed an office with nearly 20 million in assets. Sounds like a sweet deal…who makes these decisions in the Ed Jones system?
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