Financial Advisors bolt from Waddell & Reed
The broker dealer lost 56 brokers & financial advisers in the third quarter, and not all of them were low-producers the firm wanted to shed
Financial Advisor Recruiters News Update:
According to Bruce Kelly, reported on Investment News, October 31, 2018 – Waddell & Reed Financial Inc. lost another 56 brokers in the third quarter, as senior management continued to stress its strategy of shedding low-producing talent and building the firm around its most productive advisers.
For the 12 months ended in September, Waddell & Reed lost 407 reps and advisers, a decline of 27.5% from the previous year. The firm now has 1,074 advisers.
The minimum annual fees and commissions the firm has set for its advisers to generate is $125,000, noted Shawn Mihal, president of the firm’s broker-dealer, during a conference call on Tuesday with analysts to discuss company earnings. The average adviser leaving Waddell & Reed produces $112,000 in fees and commissions, or less than the company target.
Management at the firm this year has said that it was focused on retaining high-performing financial advisers, but some large teams also left over the summer. Read More>>