The unit also posted record net revenue and pre-tax income despite continuing to shed advisors, according to its fourth-quarter earnings report.
January 16, 2020
The wirehouse believes the compensation program is functioning “very well,” citing the 70% of advisors whose pay didn’t drop.
But wealth management revenue in 2019 was 5% lower than the year prior.
In a letter to congressmen and senators, the firm acknowledged some shortcomings in light of a news article detailing discrimination against one of the firm’s former financial advisors and a client, both of whom are black.
The initiatives include a revamped arbitrator training program and bringing in a consultant.
The unit’s revenues, meanwhile, grew 8.5% year-over-year.
Brian and Dawn Sepe had accused the bank of running an offshore scheme violating the RICO Act relating to the financial crisis.
Scott Hapgood was declared a fugitive by Anguilla authorities after failing to show up for a scheduled hearing on the island in November.