Fire, reload, Re-Hire

Wow, I read this morning that Merrill Lynch has already started aggressively hiring trainee Financial Advisors
JUL 30, 2009
Wow, I read this morning that Merrill Lynch has already started aggressively hiring trainee Financial Advisors. Just this past spring, my inbox was flooded with the resumes of Merrill Lynch trainees, two years in the business and less, who were fired because Merrill was no longer in the “training of new Financial Advisors” business. Did one quarter of wonderful results totally change their thinking? There are only four ways to grow a retail brokerage sales force: “same store” sales growth (i.e. increasing the productivity of the existing Advisors), acquisition, recruiting (my personal favorite) and training. Pick your poison, because no way is a sure thing or without its own peril. I don't recall how many Advisors were laid off by Merrill earlier this year, but those poor folks were thrown into a horrific job market. I wonder how many of them will be offered their jobs back. How many will have no other choice but to take it back, uncertainty and all, and how many will tell Merrill, “No, thank you. Screw me once, shame on you; screw me twice, shame on me.” This is just the latest example of an industry that hires way too much when things are good and then fires way too many when things are bad. Perhaps they should consider their strategies and manpower needs in the same way that they advise their clients. That is, take a long term approach and ignore short term blips because you can't time the market.

Latest News

SEC charges Chicago-based investment adviser with overbilling clients more than $2.5M in fees
SEC charges Chicago-based investment adviser with overbilling clients more than $2.5M in fees

Eliseo Prisno, a former Merrill advisor, allegedly collected unapproved fees from Filipino clients by secretly accessing their accounts at two separate brokerages.

Apella Wealth comes to Washington with Independence Wealth Advisors
Apella Wealth comes to Washington with Independence Wealth Advisors

The Harford, Connecticut-based RIA is expanding into a new market in the mid-Atlantic region while crossing another billion-dollar milestone.

Citi's Sieg sees rich clients pivoting from US to UK
Citi's Sieg sees rich clients pivoting from US to UK

The Wall Street giant's global wealth head says affluent clients are shifting away from America amid growing fallout from President Donald Trump's hardline politics.

US employment report reactions: Overall better than expected, but concerns with underlying data
US employment report reactions: Overall better than expected, but concerns with underlying data

Chief economists, advisors, and chief investment officers share their reactions to the June US employment report.

Creative Planning's Peter Mallouk slams 'offensive' congressional stock trading
Creative Planning's Peter Mallouk slams 'offensive' congressional stock trading

"This shouldn’t be hard to ban, but neither party will do it. So offensive to the people they serve," RIA titan Peter Mallouk said in a post that referenced Nancy Pelosi's reported stock gains.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.