Pre-COVID the idea of a VIP trip to the “Home Office” was a critical step in the transition process and a first-class vacation get-away. BD’s would roll out the red carpet to entice top talent, providing a couple of days of lavish meals, upscale accommodations, and ego-boosting meetings with executives.
Like everything else in our country, all of that came to a halt in March with widespread shutdown orders and an end to most travel.
Since quarantine began advisors have learned how to build trust with their clients using online tools like Zoom and text messaging.
It is no surprise that those bringing in top talent to a new firm are becoming more skilled in utilizing these tools as well.
Online webinars are the new norm, with top BDs like Ameriprise hosting frequent local and national “Open Houses” to highlight opportunities and new markets.
A look at AdvisorHub’s Recruiting Wire list during the 3 summer months of 2020 shows over 80 advisors with $100M+ in AUM moved to a new broker-dealer. 4 firms with over $1B each in AUM felt confident enough to switch. It’s clear that not even COVID can stop advisors eager to find greener pastures.
Is recruiting top talent going to slow? Possibly, but maybe that isn’t all bad news.
In a recent AdvisorHub interview, Stifel Financial CEO Ronald Kruszewski was quoted as saying “I was concerned when we started the quarter that we had to cancel the home office visits and that it was going to significantly–and maybe materially–change our recruiting profile,” Kruszewski said on a call with analysts discussing company earnings. “That just isn’t the case.”
Could this “new normal” mean an increase in offer size or a sweetening of terms? Without the ability to meet in-person will BDs be forced to slide a little bit more across the table in order to gain the attention of the most talented free agents? Probably.
If you are curious about switching broker-dealers and want to know the best (and fastest) path to a successful transition, we encourage you to get started here. In 2-3 days you’ll have multiple offers to compare and support throughout the entire process (including assistance in negotiating the biggest transition package possible).
For additional information about switching to a new broker-dealer, visit www.3xequity.com.
