LPL Financial has hired Scott Posner as its new executive vice president of business development, joining from IBM, where he served as vice president and partner. Prior to IBM, Posner spent 17 years at BNY Mellon in the firm’s investment services business. The news comes as LPL has lost several recruiters over the past few months, including Michael Murray, Cetera’s new head of business development, and Stephen Pirigyi, who retired.
Rich Steinmeier, managing director and divisional president of business development, said Posner brings “a vision for applying emerging technologies that enable productivity and improve outcomes.”
Jonathan Henschen, president of the recruiting firm Henschen & Associates in Marine on St. Croix, Minn., said this could mean better tracking of recruiters’ calls and follow-ups with prospective advisors.
“The technology is basically for micromanaging the recruiters and making sure they’re doing what needs to be done to have a higher close ratio,” he said. “From the recruiter perspective, they might feel it’s somewhat suffocating and that they’re being henpecked.
“As long as they’re keeping busy and doing what they need to be doing, that’s fine. This enables management and recruiting to better track the recruiters on their activity.”
This year, LPL has been getting more aggressive on recruiting. In April, WealthManagement.com reported that LPL was offering an enhanced recruitment package to advisors who join from rival independent broker/dealers. Advisors could get 50 basis points on assets for joining the firm’s corporate RIA and 40 basis points on assets for joining hybrid offices of supervisory jurisdiction.
In late February, LPL CEO Dan Arnold laid out a plan to overhaul the independent broker/dealer’s culture and approach to working with advisors, citing its struggle to recruit advisors from the National Planning Holdings acquisition and a growing dissatisfaction among its own advisors. On an internal call, Arnold said many NPH advisors didn’t want to join because the firm was “too big.”
“In recruiting, sometimes it’s good to have someone come in with fresh eyes and see what’s working, what’s not and maybe come in with new ideas about what could work,” said Jodie Papike, president of Cross-Search, a recruiting firm.
Internal recruiters believe Posner could provide that fresh start, Papike said.
“I am energized by the firm’s desire to leverage data, technology and innovation to transform the sales experience,” Posner said in a statement. “I look forward to working with this dynamic sales team to maximize results for the firm and develop relationships with advisors through meaningful engagement.”