MS/SB Looming FA Cuts
34 RepliesJump to last post
[quote=C_FA] [quote=IllinoisEagle]OS-- People just coming out of the training program have three years in production. I would like to think they are safe, especially if you have been steadily building your business over three years. Rookies under salary I would think are vulnerable, especially if you are not in top three quintiles.
But will they cut people who may not be doing as well but are part of teams, do they penalize for inherited accounts versus bringing your own assets in. Some of this assessment should escape a purely objective cut.[/quote]I'm at SB. Inherited accounts, under 75M I think we're not paid on, unless they're in fee-based (SBA, Trak, PM, etc) accounts. I've been pushing more and more inherited accounts to Myfi. I did inherit a fair amount of retirees, and I'll tell you, they're just death-a constant drain of assets out the door, distributions, no more assets outside to bring in, a lot of cd buyers. I wish I never took two-thirds of them.
I've stressed to all the FAAs behind me in the branch, if there doesn't appear to be potential for other assets, get rid of them. Quick.
It was good in that the trails helped me eat, and hit some bonuses, but that was about it.
A few of them have gone on to bring over other assets and become great clients. But these are more the exception.
I know they did limit the PS3 training to top 3 quintiles.
[/quote] Under 75k on those accounts inherited after 12/31/2008. Was not publicized but the FA comp desk confirmed this to me. I'll have to agree on getting rid of most inherited assets. I've got way more than I need but have a hard time letting them go just to keep the AUM. Top 3 quintiles also is the requirement for PS2 as well.
The best thing you could do as an FAA is find a way to get on a good team. That will be your cover. If you are flying solo, and drawing a salary, you are going to be at risk. If you are on a team, that is big enough that the firm doesnt want to piss them off, you should be ok.
As far as office integration - well said - one thing tho - I dont think that will happen for a while. There are the issues of integrating two platforms as well as lease commitments - in most cases it will take a couple of years.
[quote=SB0807][quote=C_FA] [quote=IllinoisEagle]OS-- People just coming out of the training program have three years in production. I would like to think they are safe, especially if you have been steadily building your business over three years. Rookies under salary I would think are vulnerable, especially if you are not in top three quintiles.
But will they cut people who may not be doing as well but are part of teams, do they penalize for inherited accounts versus bringing your own assets in. Some of this assessment should escape a purely objective cut.[/quote]I'm at SB. Inherited accounts, under 75M I think we're not paid on, unless they're in fee-based (SBA, Trak, PM, etc) accounts. I've been pushing more and more inherited accounts to Myfi. I did inherit a fair amount of retirees, and I'll tell you, they're just death-a constant drain of assets out the door, distributions, no more assets outside to bring in, a lot of cd buyers. I wish I never took two-thirds of them.
I've stressed to all the FAAs behind me in the branch, if there doesn't appear to be potential for other assets, get rid of them. Quick.
It was good in that the trails helped me eat, and hit some bonuses, but that was about it.
A few of them have gone on to bring over other assets and become great clients. But these are more the exception.
I know they did limit the PS3 training to top 3 quintiles.
[/quote] Under 75k on those accounts inherited after 12/31/2008. Was not publicized but the FA comp desk confirmed this to me. I'll have to agree on getting rid of most inherited assets. I've got way more than I need but have a hard time letting them go just to keep the AUM. Top 3 quintiles also is the requirement for PS2 as well. [/quote]
SB0807,
If we inherited the account before 12/31/08, do we get commission on it? I ask b/c I do active trading with a few smaller accounts.
The other thing was/is, I wanted to get rid of those assets because of liability, and headaches (they're the first people to call on Jan 2 asking for their 1099). Think about that too.
[quote=FormerMD]what is ps3? ps2?
[/quote]
MD,
“PS” refers to the training modules held in NJ for SB. PS1 is held immediately before production time commences. PS2 is held after 10 months, and PS3 is held (for my class) in April of this year, so around the 20th month.
PM me if you have any other questions-
any idea how many under 400 will be let go? i am doing research for an article. Have you seen any email or correspondance regarding this?
[quote=FormerMD]any idea how many under 400 will be let go? i am doing research for an article. Have you seen any email or correspondance regarding this?
[/quote]
parasite
[quote=FormerMD]any idea how many under 400 will be let go? i am doing research for an article. Have you seen any email or correspondance regarding this?
[/quote]
NONE. Now go away
Agreed. I did hear a manager a few hours south of us was let go last week. Apparently there are more too come for management.
We could lose our sales manager tomorrow and nobody would know the difference. I swear, he spends most of the day trading his account. It’s the running joke of the branch-and some guys aren’t shy about expressing it, either. He’s done NOTHING.
There’s an added cost the branch doesn’t need!
[quote=C_FA] We could lose our sales manager tomorrow and nobody would know the difference…There’s an added cost the branch doesn’t need!
[/quote]
Doesn’t that apply to most branch “managers,” and certainly regional/area/district/division/complex/territory/ section/conference/league “managers”?
[quote=Cowboy93] [quote=C_FA] We could lose our sales manager tomorrow and nobody would know the difference…There’s an added cost the branch doesn’t need!
[/quote]
Doesn’t that apply to most branch “managers,” and certainly regional/area/district/division/complex/territory/ section/conference/league “managers”?[/quote]
Yes, except most of them have spent all their income and don’t have enough left to “spend all day trading their own accounts”
[quote=HymanRoth]
[quote=Cowboy93] [quote=C_FA] We could lose our sales manager tomorrow and nobody would know the difference…There’s an added cost the branch doesn’t need!
[/quote]
Doesn’t that apply to most branch “managers,” and certainly regional/area/district/division/complex/territory/ section/conference/league “managers”?[/quote]
Yes, except most of them have spent all their income and don’t have enough left to “spend all day trading their own accounts”
[/quote]
We have a BOM who makes a concerted effort to give us the training and resources, speakers, opportunities, etc, to be competitive. He is more than a decent guy, and I like working in his branch. He’s always had the time of day for me. SM is, again, an added cost and no value-add. But that’s just my opinion.