500 or bust?
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I am a 1.8 million dollar producerand nobody gave me shit. I worked hard, did right by my clients and my business grew. Those that are critical of larger producers are usually the lazy ones that are bitter that things are noe being handed to them.
Get to work. New Years day and I was the only one at the office for four hours, were you? No you were probably hung over, bitter about 2008 and negative about 2009. Get to work!!Many have inherited books, but so have a lot of 300k producers. No question, that being in the right place at the right time, can really be a career builder, but, you still have to do a good job with your clients. Inherited books and family connections can give you a head start, but it can not get you to and keep you at 1mm+ in production if you don't do a good job. Happy clients lead to referrals, that is how you get to those production levels. I don't think a lot of million dollar producers moved all their clients to cash, but I do think they had them properly diversified with a mix of equities/ bonds such that their conservative clients aren't getting killed in this mkt. Remember, bond funds, especially leveraged ones, are not the same as bonds.yes i am sure all of the million dollar producers place all their clients assets into cash before the crash and avoided the 40 percent downturn. Most million dollar producer have either inherited a book, have wealthy connections or has been in the business for 40 years.
Look, we’re the have-nots debating the haves here. I will say that I disagree 100% that huge producers are better asset allocators than us pikers. Huge producers simply sell harder and more effectively. I work every day to aspire to be more like them.
The great thing about this business is that we can learn something from everybody. You can learn what “to” do and what “not” to do. I admire large producers and over my career have gleaned very valuable habits from them. The fact that the the large producer was in the office for 4 hours today is “doing things that unsuccessful people don’t want to do.” I, myself was in the office for 2 hours today getting set for 2009. I agree, it’s time to get back to work and focus on knocking the production walls down in 2009. It’s time that we set our own agenda, not CNBC’s agenda or WFC’s agenda. It’s time to determine that we will be successful by attracting new clients in these crazy markets who are tired of losing money with no communication from their advisors.
What could we actually accomplish if we set our minds to it every hour, let alone every day? That's something to think about. WFC may want to low ball us with a less than desireable retention offer if any....but I'm not going to low ball my family with this distraction anymore. Life is too short.[quote=Vet20]The great thing about this business is that we can learn something from everybody. You can learn what “to” do and what “not” to do. I admire large producers and over my career have gleaned very valuable habits from them. The fact that the the large producer was in the office for 4 hours today is “doing things that unsuccessful people don’t want to do.” I, myself was in the office for 2 hours today getting set for 2009. I agree, it’s time to get back to work and focus on knocking the production walls down in 2009. It’s time that we set our own agenda, not CNBC’s agenda or WFC’s agenda. It’s time to determine that we will be successful by attracting new clients in these crazy markets who are tired of losing money with no communication from their advisors.
What could we actually accomplish if we set our minds to it every hour, let alone every day? That's something to think about. WFC may want to low ball us with a less than desireable retention offer if any....but I'm not going to low ball my family with this distraction anymore. Life is too short. [/quote]Well said! I am amazed at some of the recent posts. I sense a deep bitterness at large producers from some advisors. How is it that someone can be in this business and not aspire to be a larger producer than he is? How is it that someone can refuse to admit that some people have done a great job of creating value for their clients and have been rewarded with client loyalty and referrals. Nick Murray always says that your level of production in the long run will be in direct correlation to the amount of value that you add to people's lives. How can someone wake up in the morning and go to work and not want to add more value to people's lives?
I think that instead of being bitter about those that have succeeded, everyone should strive to learn how the large producers got there. Take the good and avoid the bad, and run your business in a way that some future piker won't be able to say these bitter things about you.
for some reason people percieve million dollar producer doing a great job for their client compared to those who are doing 300k. I am pretty confident these big prodicers has over 1000 accounts, place most in fee base managed accounts and have some junior broker service the smaller accounts. I would rather have 250 account that I can manage and service and bring value to the client. I mean can you really have over 1000 accounts and still do a "good job" for their clients? I dont think so
I produce between 1.5MM and 2MM, have 200 households and have never been given anything - I dont participate when other FAs leave …I worked my butt off from day one. I am always available to my clients. I know EVERYTHING about their lives.
I have never had to explain who I worked for until this year. Most clients are down between 20% and 40%. I am 80% fee based. My t-12 is off about 10% from last year. I believe if there is any recovery in 09 my business will be up 25-30% I am expecting a very nice retention package that I will use to market the hell out of my business and probably hire 1 - 2 more people to futher set myself from the competition. If there is no retention I will leave. 2.5+ times my trailing twelve to move to another firm is stupid money I cant turn down, but I can for 1x my trailing 12 to stay. The firm will spend triple to replace my gross, retention is a very good business decision by the firm - they know this.What did anyone think of the email from David Carroll at midnight last night? “We are one of the very few firms positioned to help our customers, and indeed Amercia…” I hate when management says customers, it is a bank term. I guess he must be recovered from his heart issues. I hope this doesn’t mean we will hear less from Danny now. I guess it is our patriotic duty to ignore the lack of communication and keep our stakeholders happy.
didnt think anything of it.What did anyone think of the email from David Carroll at midnight last night? “We are one of the very few firms positioned to help our customers, and indeed Amercia…” I hate when management says customers, it is a bank term. I guess he must be recovered from his heart issues. I hope this doesn’t mean we will hear less from Danny now. I guess it is our patriotic duty to ignore the lack of communication and keep our stakeholders happy.
[quote=kowachovia]I produce between 1.5MM and 2MM, have 200 households and have never been given anything - I dont participate when other FAs leave …I worked my butt off from day one. I am always available to my clients. I know EVERYTHING about their lives.
I have never had to explain who I worked for until this year. Most clients are down between 20% and 40%. I am 80% fee based. My t-12 is off about 10% from last year. I believe if there is any recovery in 09 my business will be up 25-30% I am expecting a very nice retention package that I will use to market the hell out of my business and probably hire 1 - 2 more people to futher set myself from the competition. If there is no retention I will leave. 2.5+ times my trailing twelve to move to another firm is stupid money I cant turn down, but I can for 1x my trailing 12 to stay. The firm will spend triple to replace my gross, retention is a very good business decision by the firm - they know this.[/quote] Sounds like you have a real nice business and work hard at it...It has been nearly 3 months and not one word on retention, from what I hear from guys close to WFC management there will not be any, they feel their has been no interuption of business and they do not feel its necessary (time will tell i guess). My question to you is you feel they understand how important your practice is, you could have left November, December, last week, yesterday ..if they really cared you think you would have heard something??, they have said NOTHING.Clearly every small producer thinks the million dollar guys are crooks.
Well, every million dollar guy thinks the 10 year vet in the cubicle doing 300k should be fired for being lazy or dumb, perhaps both. I can hear all of you whining now about how you’re the only ones doing the right thinks for your client, whah-whah-whah…the big hitters are there because they are better at what they do thank you and get far larger clients with which to do it. Yes, you have to “sell” yourself…and big producers are far better at that, too. Keep you nose in those research reports so you can convince yourself how much more ‘client focused’ you are than the office’s top producer who otherwise relies on the firm’s top analysts who do they same research you WASTE half your day doing on your own (PS the firm analysts are better at that than you are too).
All off base: retention should be by the 15th: if you do over a million I think you can expect 75-100%. WS has drug us all through the ringer and they know we would love an excuse to book. If you’re between 500-1 million I would look for around 50%…if you’re under 500k, keep your head down and mouth shut, otherwise you might be out of a job…maybe a big producer will bring you on as a junior FA on his team??
I am not a "million dollar man", but I run a solid practice that is well diversified (off about 20% in '08) and did 600 last year. I did not have the vision to go to cash on Jan 1 '08, and I doubt I will go to cash in Jan of '09. I have a plan for how I am going to handle clients accounts for '09, but waiting on the retention information is a HUGE distraction. I wish I had the discipline to simply ignore it, but those of us who have researched other firms/places to go will have a tough decision to make this month. I equate this situation to getting married in a month, but waiting on the results of a paternity test from an old girlfriends child. Until I know, I won't be happy (not that marriage makes everybody happy, but you get the point).
[quote=kowachovia]I produce between 1.5MM and 2MM, have 200 households and have never been given anything - I dont participate when other FAs leave …I worked my butt off from day one. I am always available to my clients. I know EVERYTHING about their lives.
I have never had to explain who I worked for until this year. Most clients are down between 20% and 40%. I am 80% fee based. My t-12 is off about 10% from last year. I believe if there is any recovery in 09 my business will be up 25-30% I am expecting a very nice retention package that I will use to market the hell out of my business and probably hire 1 - 2 more people to futher set myself from the competition. If there is no retention I will leave. 2.5+ times my trailing twelve to move to another firm is stupid money I cant turn down, but I can for 1x my trailing 12 to stay. The firm will spend triple to replace my gross, retention is a very good business decision by the firm - they know this.[/quote]You don't even know what your production is?
[quote=skbroker]yes i am sure all of the million dollar producers place all their clients assets into cash before the crash and avoided the 40 percent downturn. Most million dollar producer have either inherited a book, have wealthy connections or has been in the business for 40 years.
Many have inherited books, but so have a lot of 300k producers. No question, that being in the right place at the right time, can really be a career builder, but, you still have to do a good job with your clients. Inherited books and family connections can give you a head start, but it can not get you to and keep you at 1mm+ in production if you don’t do a good job. Happy clients lead to referrals, that is how you get to those production levels. I don’t think a lot of million dollar producers moved all their clients to cash, but I do think they had them properly diversified with a mix of equities/ bonds such that their conservative clients aren’t getting killed in this mkt. Remember, bond funds, especially leveraged ones, are not the same as bonds.[/quote]
Head start??? What the guy said is true. 99% of the guys doing north of a million have a “story” Family connections with big money, been in the business 30+ years or they inherited a huge book. Nothing against guys who have family connections or are at the right place at the right time but, it truly galls me when I see/hear people who act they scratched and clawed there way to doing massive numbers when the reality is, they have a story. The most honest guys I know doing more than a million tell you it takes the bulk of a career to get to that level.
Proper diversification did not keep you from getting smoked in this market and if you are saying other wise you are a flat out liar. Even if you had 50/50 mix between fixed income and equities (all caps, all styles including intl) You STILL got your arse kicked. ALL of the indices are negative for 2008
spare me the horse dung about you did ok. If you had money in the market place you got hurt PERIOD.
Some of you are as bad as prospects that tell you that “they did ok” They cant tell you what the rate of return is in the entire asset base but they didn’t get beat up like everyone else. CRB down, Real Estate down, Domestic equity indexes down, Intl indexes, down, Bonds down… yet YOU did ok because you had “proper diversification” Well pal unless your “proper diversification” was to be 100% in cash after early September you got beat up just like everyone else
[quote=Wheat-ie] Clearly every small producer thinks the million dollar guys are crooks.
Well, every million dollar guy thinks the 10 year vet in the cubicle doing 300k should be fired for being lazy or dumb, perhaps both. I can hear all of you whining now about how you’re the only ones doing the right thinks for your client, whah-whah-whah…the big hitters are there because they are better at what they do thank you and get far larger clients with which to do it. Yes, you have to “sell” yourself…and big producers are far better at that, too. Keep you nose in those research reports so you can convince yourself how much more ‘client focused’ you are than the office’s top producer who otherwise relies on the firm’s top analysts who do they same research you WASTE half your day doing on your own (PS the firm analysts are better at that than you are too).
All off base: retention should be by the 15th: if you do over a million I think you can expect 75-100%. WS has drug us all through the ringer and they know we would love an excuse to book. If you’re between 500-1 million I would look for around 50%…if you’re under 500k, keep your head down and mouth shut, otherwise you might be out of a job…maybe a big producer will bring you on as a junior FA on his team??[/quote]
lmao… are you even in the business? First off, if you are actually a part of WS you listened to the conference call in which Danny L gave a time frame for when retention would be announced.
As for your rude comments about anyone doing under 500k being “out of a job” People who have a book of business who have a clean u4 are NEVER out of a job they always have options and going independent, channel switchings is always an option. A guy who ended 2008 doing just under 500k probably did between 600-700k in 2007. Its not his or her fault the market collapsed at the end of 08. So you are going to now suggest that a guy doing 650 in 2007 is now “lucky to have a job” because of Q4 of 08? Dude, you have absolutely no clue.
You do not strike me as a legacy AGE or WS broker… Frankly, you sound like a ML broker
[quote=Hank Moody]
[quote=kowachovia]I produce between 1.5MM and 2MM, have 200 households and have never been given anything - I dont participate when other FAs leave …I worked my butt off from day one. I am always available to my clients. I know EVERYTHING about their lives.
I have never had to explain who I worked for until this year.
Most clients are down between 20% and 40%. I am 80% fee based. My t-12 is off about 10% from last year. I believe if there is any recovery in 09 my business will be up 25-30%
I am expecting a very nice retention package that I will use to market the hell out of my business and probably hire 1 - 2 more people to futher set myself from the competition.
If there is no retention I will leave. 2.5+ times my trailing twelve to move to another firm is stupid money I cant turn down, but I can for 1x my trailing 12 to stay.
The firm will spend triple to replace my gross, retention is a very good business decision by the firm - they know this.[/quote]You don’t even know what your production is? [/quote]
Spot on. He knows EVERYTHING about his clients but doesnt know what his production in 08 was??? Oh, and he NEVER participates in book distributions… Right