transition

Jan

2017

Current JP Morgan Recruitment Deal

From the Desk of Jim Eccleston at Eccleston Law LLC:

JP Morgan has marketed a recruitment deal to financial advisors which consists of an upfront cash payment between 125% to 150%. Additionally, the hurdles in order to meet back-end production goals under the deal are:

· Year 2: Hurdle – 75% of assets and revenue

Payout bonus: 25% of production (15% cash, 10% J.P. Morgan equity)

· Year 3: Hurdle – 100% of assets and revenue

Payout bonus: 25% of production (15% cash, 10% J.P. Morgan equity)

All proposed deals are negotiable and reflected in numerous agreements such as promissory note and employment agreements. Reps should retain qualified legal counsel to review those documents in advance of committing to transition to a new firm.

Jan

2017

Current Hilliard Lyons Recruitment Deal

From the Desk of Jim Eccleston at Eccleston Law LLC:

Hilliard Lyons has marketed a recruitment deal to financial advisors which consists of an upfront cash payment between 60% to 90%. Additionally, the hurdles in order to meet back-end production goals under the deal are:

· Year 1: Hurdle – 70% of assets Payout bonus: 25% of production

· Year 2: Hurdle – 90% of assets and revenue Payout bonus: 15% of production

· Year 3: Hurdle – 105% of assets and revenue Payout bonus: 10% of production

· Year 4: Hurdle – 125% of assets and revenue Payout bonus: 10% of production

Jan

2017

Current Hightower Advisors Recruitment Deal

From the Desk of Jim Eccleston at Eccleston Law LLC:

Hightower Advisors has marketed a recruitment deal to financial advisors which consists of an upfront cash payment between 90% to 120% and Hightower equity: 80% to 100% of production (in private equity).

Jan

2017

Current Dynasty Financial Partners Recruitment Deal

From the Desk of Jim Eccleston at Eccleston Law LLC :

Dynasty Financial Partners has marketed a recruitment deal to financial advisors which consists of an upfront cash payment between 50% to 75%. Additionally, the hurdle in order to meet back-end production goals under the deal is:

· Year 1: Hurdle – 75% assets and revenue

Payout bonus: 0% to 45% of production

Jan

2017

Current Commonwealth Recruitment Deal

From the Desk of Jim Eccleston at Eccleston Law LLC :

Commonwealth Financial Network has marketed a recruitment deal to financial advisors which consists of an upfront cash payment between 25% to 50%. Additionally, the hurdle in order to meet back-end production goals under the deal is:

· Year 1: Hurdle – 50% of assets and revenue Payout bonus: 10% to 40% of production

Jan

2017

Current Wells Fargo Recruitment Deal

From the Desk of Jim Eccleston at Eccleston Law LLC :

Wells Fargo has marketed a recruitment deal to financial advisors which consists of an upfront cash payment between 125% and 150%. Additionally, the hurdles in order to meet back-end production goals under the deal are:

High Performance

Premier Advisor Status

Client Experience

Full best practices adoption
Envision 80% average
Advisory – 60% Advisory AUM or 80% Advisory Revenue
Lending – $6,000 lending credits (or $8,000 lending credits for 2016 retro award)

Delta Graduate

Growth

15% revenue growth or $150,000 revenue growth

Jan

2017

Current Merrill Lynch Recruitment Deal

From the Desk of Jim Eccleston at Eccleston Law LLC

Merrill Lynch has marketed a recruitment deal to financial advisors which consists of an upfront cash payment between 150% and 170%. Additionally, the hurdles in order to meet back-end production goals under the deal are:

· Year 1: Hurdle – 75% of assets

Payout bonus: 50% of production (from same year)

· Year 2: Hurdle – 95% of assets

Payout bonus: 40% of production (from same year)

· Year 3: Hurdle – 115% of assets

Payout bonus: 30% of production (from same year)

· Year 4: Hurdle – 125% of assets

Payout bonus: 25% of production (from same year)

· Year 5: Hurdle – 155% of assets

Payout bonus: 25% of production (from same year)

Jan

2017

Current Stifel Recruitment Deal

From the Desk of Jim Eccleston at Eccleston Law LLC

Stifel has marketed a recruitment deal to financial advisors which consists of an upfront cash payment of 100% +.