What does revenue mean

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rep's picture
rep
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Joined: 2008-11-03

I am a new trainee and just got my licenses appointed. Haven't got even one of my own clients yet.

In this article:

http://registeredrep.com/advisorland/career/merrill_fas_sign1114/

It mentions "On average, Merrill reports that its advisors produce $767,000 in revenue a year."

Does that mean Merrill has 767k income or it has 767k new money under management?

rep

B24's picture
B24
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snaggletooth's picture
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It means, that on average, Merrill advisors must pay Merrill Lynch $767,000 a year for office space, phones, leads, licensing to clients, etc...  It's really never ending.
 
It is direct revenue to Merrill Lynch from the advisors.
 
See section 102.4.5-AB in their annual report.  You'll find the corresponding line item of revenue gained from advisors.

jamesbond's picture
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Joined: 2005-03-21

Snaggle,Get your facts straight. It is Section I sub DIO sec T. We expect better from you.

Spaceman Spiff's picture
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He needs to put the words "than me" at the end of his tagline.
 
 

snaggletooth's picture
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Spaceman Spiff wrote:He needs to put the words "than me" at the end of his tagline.
 
 
 
Yeah, I hope he doesn't actually say that to real people or put it as his tagline in emails.  I wonder if when he "sharpens his saw", he might actually slice his clients' portfolios?

OS's picture
OS
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Revenues that exceed expenses means Obama's gonna getcha!
 

OS's picture
OS
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Rep, a better tagline might be "Sharpening my knife so I can stab you repeatedly  with my knowledge"

Hank Moody's picture
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rep wrote:I am a new trainee and just got my licenses appointed. Haven't got even one of my own clients yet.

In this article:

http://registeredrep.com/advisorland/career/merrill_fas_sign1114/

It mentions "On average, Merrill reports that its advisors produce $767,000 in revenue a year."

Does that mean Merrill has 767k income or it has 767k new money under management?

repWhat did you do with all the money?

YHWY's picture
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Joined: 2007-07-18

Hey, Putsy. How are you tonight, besides old, bored and stupid?

rep's picture
rep
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Joined: 2008-11-03

Where is a public accessible web page to get the annual report?

Thanks and sorry for another rookie question.

Rep

OS's picture
OS
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rep wrote:Where is a public accessible web page to get the annual report? Rep
 
You can get just about anything on eBay.

OldLady's picture
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Joined: 2006-11-19

Rep, I'm going to take a chance that this is a legitimate question and answer it for you.  It is gross income to the firm.  That much in new assets wouldn't even keep their lights on. 
 
For example, $767,000 in assets in a a fee account at 1% produces annual gross revenue of $7,670.  That's not what the broker makes, but what the firm makes.  Then the revenue goes into a grid and figure the individual advisor will gross 35-40% before taxes and his expenses or $3,068 (40%) in a year.
 
You better start gathering assets, it takes a lot for you to be able to eat.

henryhill's picture
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Joined: 2007-08-23

rep,
the answer to your question is the average rep generates 767k in revenue for ML.  Of that the broker will receive approx 40-50% based on they type of business (fee vs. transactional) and pay grid the broker is in.
 

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