RBC Wealth Management is bringing a couple more First Republic advisors (with a total AUM of $555 million) into the fold.
Brian Addington and Theresa Allen joined RBC as managing directors and advisors, with Addington joining the bank’s San Francisco office with $300 million in client assets, while Allen, whose industry career spans three decades, joined the Newport Beach location with $255 million in assets.
Addington first entered the industry at Merrill Lynch in 1997, followed by stints at Wells Fargo, Citicorp and Bank of America before rejoining Merrill in 2009. He left for First Republic in 2020, according to his IAPD profile. Starting in 2000, Allen worked at Unionbanc Investment Services before joining First Republic in 2010, according to her IAPD page.
Addington and Allen are the latest advisors to depart First Republic, in the wake of a crisis spurred by the collapse of Silicon Valley Bank. After SVB’s implosion, First Republic seemed endangered, with a nearly 90% drop in its market value, and customers pulling funds.
Last month, 11 institutions injected $30 billion in deposits into the bank to stop the bleeding, but advisors have remained jittery, and some have fled for other homes.
A few weeks ago, RBC lured the Todd Halbrook and Adam MacDonald Management Group from First Republic. Like Allen, the $1 billion team was based in Newport Beach, Calif. Other advisors have left First Republic for Morgan Stanley, UBS, JPMorgan and Rockefeller, among others.
Despite this, First Republic said the departures added up to less than 20% of its total amount of wealth management assets as of the end of March, according to CEO and President Mike Roffler, during the bank’s first quarter earnings call on Monday.
Moreover, Roffler said the bank had retained nearly 90% of its advisors since the turmoil, as of April 21.
“Over the past seven weeks, as we were impacted by industry events, our commitment to delivering exceptional client services has not wavered,” Roffler said during the call, where read from a prepared statement and did not take questions from analysts.
In total, the firm had $289.5 billion in wealth management assets as of the end of Q1, a 6.7% bump from the last quarter (including $11 billion in net client inflows). Wealth fees raised $223 million in the first quarter, also up 6.7% from the fourth quarter of 2022.
Wealth management revenue made up 18.5% of the bank’s total revenue in the first part of the year.