BlackRock bags another LPL exec to beef up its DC biz

In a bid to expand its adviser-sold defined-contribution business, BlackRock Inc. is tapping former executives of a retirement-focused broker-dealer that LPL Investment Holdings Inc. bought last year. The giant asset management firm has hired Robert L Francis, the former chief operating officer at broker-dealer National Retirement Partners Inc., as its managing director in the defined-contribution group, a new position. In this role, Mr. Francis will report to Tom Skrobe, managing director and head of distribution for the defined-contribution business at BlackRock, said Chip Castille, head of the DC business at the firm. Mr. Francis' hire comes a few months after BlackRock also tapped Dick Darian, a former executive vice president at NRP, to be a director in its defined-contribution unit. LPL bought NRP last year and renamed the unit LPL Financial Retirement Partners. BlackRock has more than doubled its 70-person defined-contribution group over the past 18 months, Mr. Castille said. The asset manager has a strong presence among large DC plans but is now making a more concerted push to target advisers who tend to service small to midsize 401(k) plans, Mr. Castille said. “Our defined-contribution group delivers all the products we have into the DC channel,” Mr. Castille said. He declined to comment on sales goals for the business. BlackRock has $300 billion in assets under management in its defined-contribution business. To gain traction among advisers who exclusively service defined-contribution plans, BlackRock has launched a practice management program, dubbed the DC Leaders Circle. Through the program, a select group of advisers who work only with defined-contribution plans will have access to BlackRock's customized marketing pieces, research, regulatory updates and a “concierge service” that they can call with questions, Mr. Castille said. BlackRock unveiled the program in San Francisco this week for a group of advisers and will do the same in New York next week.