A large group of mssb.htm" title="http://topics.investmentnews.com/companies-and-associations/morgan-stanley-smith-barney-mssb.htm">Morgan Stanley Smith Barney financial advisers managing “tens of billions” of dollars in client assets are threatening to leave the firm, according to a report by Reuters Friday afternoon.
The group of 40 or more advisers are reportedly upset about continuing problems with the firm's new 3D technology platform. They have drafted but not sent a letter to Morgan Stanley CEO James Gorman detailing their concerns, according to the Reuters story.
MSSB spokesman James Wiggins told Reuters that he had not heard from the group of brokers. “No such letter has been sent to management and no mass exodus has been threatened,” he said. He did not immediately return a call from InvestmentNews for further comment.
Early last month, MSSB moved the final 3,000 financial advisers onto the system. While the new platform is central to the brokerage's plans to reduce costs and improve profit margins at the firm, it's been a source of aggravation for many of the nearly 17,000 advisers at MSSB. Recruiters say it has been a key factor for many of the advisers who have left the firm in recent months.
“With few exceptions, the advisers at MSSB are beyond frustrated with the new platform,” said Ron Edde, director of adviser recruiting at Millennium Career Advisors Inc. “3D may become the most marvelous platform in the industry, but many advisers feel they can't wait for the firm to iron out the problems.”