Wells Fargo has simplified the compensation grid in its Financial Network independent advisor channel, basing an entire team’s compensation on trailing 12 months of revenues, according to the company.
Individual advisors’ T-12 will no longer be a direct factor in the compensation grid, a company spokeswoman tells FA-IQ.
The compensation plan will vary based on the practice and how the practice is structured, including the team’s overall assets under management, she adds.
Teams with $500,000 to $999,000 in T-12 revenue will receive a payout of 85%, while those with $1 million to $5.99 million will earn 86% to 91% and teams with $6 million or more will receive 92%, Wells Fargo says.
Platform fees, meanwhile, will range from six basis points for practices with up to $30 million in assets under management to one to two basis points for teams with $250 million to $500 million, according to the company.
Teams with more than $500 million will pay no platform fees, Wells Fargo says.
All independent advisors will still have to pay for technology and services, including for risk management, cybersecurity services, fidelity bonds, errors and omissions insurance, connectivity and support, according to the company.