Trader Talk

A lawsuit filed by one of the largest wealth managers against a variable annuity firm offers a glimpse into one of the industry’s most critical and changing conflicts of interest: payments to get a product in front of advisors who might recommend it to clients. Advisor Group is seeking at least $900,000 plus interest and

A former Morgan Stanley broker will pay $5,000 in fines after FINRA found he bought and sold customers’ securities without their consent, a practice the firm didn’t allow at the time. Constantinos Maniatis agreed this week to pay the fine and be suspended for 30 days while neither admitting nor denying FINRA’s findings that he

President Joe Biden addresses a joint session of Congress at the U.S. Capitol in Washington, U.S., April 28, 2021. Doug Mills | Reuters If the stock market is considered a barometer of success, President Joe Biden’s first 100 days in office is starting off with a bang — a big bang. Since the election, the

“No SALT, no dice.” That’s the message New Jersey Representative Josh Gottheimer and other Democratic lawmakers from high-tax states are giving President Biden. The group says they’ll withhold support for Biden’s sweeping social-spending package if it doesn’t include a repeal of the federal cap on deductions for state and local taxes, or SALT. Before the

For RIAs flexing between some balance of remote and in-office operations — in other words, all RIAs — this spring is a great time to revisit your cybersecurity policies to ensure your protocols still make sense given the way you do business today. Keeping in step with regulatory guidance on data protection while staying one

One of the fastest growing private equity-backed wealth managers has completed the largest recruiting addition of its five years in business. Financial advisor William Glubiak of Cedar Brook Group left Advisor Group’s Securities America after more than 15 years to affiliate with Atria Wealth Solutions’ Cadaret Grant, the wealth management holding company said April 28.

UBS saw a small uptick in the number of new U.S. advisors for the first time in years and blockbuster profits, even as it took a massive hit from the Archegos drama and plans job cuts. The Swiss bank’s Wealth Management Americas unit, which focuses on the U.S., said Tuesday that it had 6,335 financial

After taking a year off from M&A, one of the best known RIA aggregators plans to leverage its incoming private equity infusion toward a more constant flow of deals. On April 23, Mariner Wealth Advisors announced an agreement to sell a minority stake to Leonard Green & Partners. The Overland Park, Kansas-based firm is following

Not just the uber-wealthy are stressing out over President Biden’s plan to raise taxes on investment profits. Many independent financial advisors are also in those crosshairs if they aim one day to sell their practice or pass it on to heirs. Biden’s plan to nearly double the capital gains rate for those making at least

During a recent conversation, good friends mentioned they wanted to help their children tackle the financial challenge of higher education for their eight grandchildren, who range in age from four to 17. Despite being sophisticated investors with access to a financial advisor, it was apparent they needed help deciding the best way to save for

Nearly three decades after joining a now $5.2 billion wealth and asset manager as a junior research analyst, the firm’s former COO and CIO has been appointed its CEO. Sonya Thadhani Mughal has assumed the top role at Bailard, a San Francisco Bay Area-based firm whose billions of dollars in assets are spread across its

It lurks at the bottom of the to-do list — if it’s there at all. But ignoring the thorny question of taxes can cost a newly-independent advisor dearly, especially in those crucial early years. For advisors fleeing Wall Street banks to grubstake independent firms, making smart tax moves in addition to wrangling clients, a custodian,

Financial woes are still the top cause of stress for employees more than a year into the pandemic. Sixty-three percent of employees surveyed by PwC say their financial stress has increased since the start of the pandemic. About 45% of employees say their finances have been a distraction at work and 72% say they would

The 2020s are here — but will they roar? The stock market excitement seen over the first quarter of this year could be a harbinger of what to expect on an exponentially larger scale over the next five to 10 years. The coming years may bring a fair dose of volatility, but we can see

Many workers who were hurt by the pandemic are saying they’ll now retire later than planned. Nearly two in five workers were furloughed or laid off — or had their pay cut or hours reduced — since February 2020, according to the latest annual survey about retirement confidence by the Employee Benefits Research Institute and

A common reaction to hearing about a pregnancy is to say congrats and perhaps send a onesie. But there are other ways to celebrate and support newly expecting parents. When my sister-in-law announced her pregnancy last fall, my brain leapt to how my husband and I could save and invest for our future nephew. Savings

A rare activist-investor campaign to overhaul a midsize wealth manager ended in a resounding defeat in a shareholder election held at the firm’s annual meeting. Shareholders of Avantax Wealth Management parent firm Blucora re-elected all 10 of the Dallas-based firm’s directors “by a wide margin” on April 21, according to preliminary results released by the

A new bill recently re-introduced in Congress would give wealth management clients the choice of pursuing any claims against firms in court or through arbitration. At least 12 Democratic members of the House and Senate have signed on as co-sponsors of the Investor Choice Act — introduced April 15 by Rep. Bill Foster of Illinois

As wealth managers brace for regulatory changes under the Biden Administration, one of the largest firms tapped a rival’s executive to lead its legal and regulatory strategy. Commonwealth Financial Network appointed Peggy Ho its general counsel after she spent 14 years with LPL Financial — where she was head of government relations as well as

Why do so few people call themselves stockbrokers anymore? Once ubiquitous, the term has fallen out of fashion among those who manage clients’ money. Even brokerage employees who are registered representatives and would previously have been called stockbrokers are calling themselves financial advisors, wealth managers or wealth professionals. Others are playing up their credentials as

Traders on the floor of the New York Stock Exchange. Source: NYSE The reopening story is now getting very real, at least for Wall Street. The latest earnings reports are chock-full of companies reporting earnings above expectations, and most importantly, raising guidance. Take steel maker Nucor, which reported what CEO Leon Topalian called the “most

Greg Clifford, founder and CEO of the Clifford Group in Newton, Massachusetts, says he “grew up” at Merrill Lynch, entering the firm’s trainee program after being an associate at the firm for a few years. Breaking away was grueling but also “freeing and exciting,” Greg Clifford says. The advisor flourished at the wirehouse, gaining nods

All of the fixed-income industry’s worst long-term performers recorded gains over all time horizons, with only one in the red so far in 2021. The 20 worst-performing bond funds of the past 15 years, with at least $100 million in assets under management, notched an average gain of nearly 1.5%, Morningstar Direct data show. Over

How can wirehouse breakaway advisors set themselves up for success as independent RIAs? Develop an entrepreneurial mindset and get ready to widen your focus. “Running a business is a big leap,” says Matt Sonnen, founder and CEO at PFI Advisors. RIAs must be committed to overseeing everything from customizing the software to figuring out benefits

While historic retail trading on E-Trade boosted Morgan Stanley’s recent earnings report, the wirehouse is moving on without E-Trade’s RIA custody business. Axos Clearing, a subsidiary of online bank Axos Financial, has acquired E-Trade Advisor Services from Morgan Stanley for $55 million in cash. Axos Clearing will gain $23 billion in custodied assets from 200

Traders on the floor of the New York Stock Exchange. Source: NYSE The market is showing some signs of exhaustion, and with good reason.  Most major parts of the market have run up significantly in the past month.  But there is a growing chorus warning that we are at “peak everything.” That is, peak earnings

After recruiting a dozen financial advisors in the first quarter, Janney Montgomery Scott added its largest incoming team of the year thus far. Andrew Meredith and Kevin Lindung of Meredith Lindung Wealth Management left Merrill Lynch on April 16 after their team spent more than two decades with the wirehouse, according to FINRA BrokerCheck. The

Going independent has never been easy — but the process may look a little different than it did, say, at the beginning of last year. The pandemic has ushered in an ultra-remote environment, complete with more Zoom calls, more e-signing and, inevitably, more stress. Nevertheless, financial advisors haven’t stopped making drastic career changes and opening

A Houston tax attorney was charged with creating offshore entities and foreign bank accounts that helped billionaire Robert F. Smith hide $225 million from the IRS, according to the Justice Department. Carlos Kepke’s indictment on Thursday follows the October admission by Smith, CEO of Vista Equity Partners, that he used those offshore entities and bank

The Department of Labor this week issued guidance for advisors that seemed to take a tough stance on conflicts of interest as it interpreted the Trump-era exemption for fiduciaries operating in the retirement space. Tuesday’s announcement from the department drew praise from some investor advocates, who hope that the Labor Department and SEC will move