New EDJ GP's coming in Dec?

34 replies [Last post]
EIAdvisor's picture
Offline
Joined: 2005-08-30

Has anyone heard the news that the firm will be offering "new GP" in December or January?  Apparently, some GP's have retired and their positions have not been filled, so the firm will be announcing these GP's very soon.  While it may be completely necessary to fill these positions, is the knighting really necessary?  Couldn't the "GP" crown be given AFTER the LP offering is completed?  Perception is reality...this strikes me as tacky....a bit like volunteers going to Timbuktoo to feed the hungry and eating filet mignon while they wait for the rice to arrive....
I don't think I misunderstood the announcement--has anyone else heard about this?  Please clarify and correct if I am stating this incorrectly.... 

BullMarket's picture
Offline
Joined: 2005-08-22

I haven't heard anything about this, but honestly I don't really
understand what the big deal is about the hold off on the LP offering.

From what I understand, they already set aside how much everyone would
get and it has been accruing interest or whater it is.  If I am
understanding correctly, the only thing that will happen once the
offering is made is you will have to cough up your 25% payment. 
To me you are making money without having to pay anything.  How is
that a bad situation?

Maybe I am misunderstanding something and if that is the case, please let me know.

Bill Fakkland's picture
Offline
Joined: 2005-01-18

There is no misunderstanding. Zack and his fellow ex-Jones types blame
Edward Jones for the common cold, world hunger and everything in
between. They will turn over every stone to find fault with Jones...and yet,
surprisingly, we continue to prosper and flourish. It gets tired after a while,
guys.

Starka's picture
Offline
Joined: 2004-11-30

Bill, I expect it to continue as long as the ever-dwindling number of Jones apologists continue to defend the nefarious business practices of the firm, all the while proclaiming that Jones is the only honest and moral firm in the brokerage industry.

EIAdvisor's picture
Offline
Joined: 2005-08-30

Bill,
I wasn't blaming anyone for anything....just trying to see if I was understanding a statement made by a home office GP.  Do you know if my post is correct?  If it is, don't you find it a little odd?  Doug fights to keep his Mng Partner, new GP's are crowned, and we shovel them the money to fund it?  Seems a little careless to me...but I could be overreacting......wouldn't be the first time!

zacko's picture
Offline
Joined: 2004-12-01

I have NEVER mentioned the 2 year delay on the LP offerring in any of my posts Bill.  Go back and search...i know you will.  Lp was always a non-issue with me.  Not really the carrot everyone portays it to be.
In fact, I really don't blame Jones for anything.  Their actions as a firm and the way they run their business speaks volumes.  I have merely helped others see things how they really are.  I don't lie.  It is....what it is.  It's also your firm not mine. 
 
 

compliancejerk's picture
Offline
Joined: 2004-12-03

Bill Bill Bill
You are still one of the funniest posters on this forum, I'm the one that always going on about the delayed "bond in drag" as for the common cold and world hunger now Bill aren't stretching the truth just a bit there ....but you're still funny!!!
Anyword on who will replace Mr. Hill? The GP from Canada or the UK GP? 

zacko's picture
Offline
Joined: 2004-12-01

Notice how Bill says "we" continue to flourish?  Keep drinking the kool aid...your one of many in the collective.

7yrvet's picture
Offline
Joined: 2005-02-08

Zacko-
You are so much better than to stoop to the Jonestown tragedy in relation to EDJ. 
The question of the day....
Why is it that this very magazine who has a survey of all financial firms continuously (I think it's 9 or 10 years in a row) ranks EDJ above all other full service firms?
Isolationsists (no longer called indys) say it is a conspiracy. I and probably Bill too see it as a trend.
Can't wait for the responses...
 

moneyadvisor's picture
Offline
Joined: 2005-08-02

Bill Fakkland wrote:There is no misunderstanding. Zack and his fellow ex-Jones types blame Edward Jones for the common cold, world hunger and everything in between. They will turn over every stone to find fault with Jones...and yet, surprisingly, we continue to prosper and flourish. It gets tired after a while, guys.
 
BF - That's just it......Jones is NOT flourishing and prospering! 

exdrone's picture
Offline
Joined: 2005-07-01

7yrvet wrote:
Zacko-
You are so much better than to stoop to the Jonestown tragedy in relation to EDJ. 
The question of the day....
Why is it that this very magazine who has a survey of all financial firms continuously (I think it's 9 or 10 years in a row) ranks EDJ above all other full service firms?
Isolationsists (no longer called indys) say it is a conspiracy. I and probably Bill too see it as a trend.
Can't wait for the responses...
 

Here's an theory. 
Most people buy the Jones BS for 3-5years. Then they stick around for another 1-2 years untill they decide which direction to take their business(another firm, or ind.). 
For 3-5yrs almost everyone believes what they tell you.
Now, what is the average tenure of a Jones broker?
I don't know, but I'm betting its around 5 yrs give or take a couple.  That's why you guys do so well in polls.
There are lies, damn lies, and statistics. 
Jones loves to make a big deal on the net flow of accts over acat from Merrill.  I would love to see the numbers on the net flow of brokers from Jones to Merrill.

zacko's picture
Offline
Joined: 2004-12-01

7year,
That comment was meant more for Bill than anyone else.  He makes for a very easy target by evidence of his posts. 
As far as Jones raking #1 in RR survey...it was the brokers who ranked them--not clients or an independent authority.  There is no doubt that Jonesers love their firm.  It is very evident in they way they rank everything from technology to research. 
There are pros and cons to every working enviornment no matter where you are.  If you want to do another survey--ask the two leading indy's LPL and RJFS who by far their biggest draw is.  It's not ML or SSB.  It's a firm with far less advisors.  It's Edward Jones. 
Furthermore--talk to a few of the vets and find out what it's really like being indy.  Judge for yourself if they are truly happy.   Ask them if they could go back in time and remain at Jones and reverse their decision--would they?  Ask them why they left and you will find a wide variety of reasons--and very few will be because they "had compliance problems"   Education is a dangerous thing when you work for Edward Jones.  They do everything they can to prevent it from occurring.

Guest1's picture
Offline
Joined: 2005-01-16

In our newsleter this month:
% change in sales force 2000-2004
ML -30%
MSDW -21%
UBS -13%
AGE -2%
AMEX -2%
SSB -1%
RJFS +16%
Jones +27%
WB +41%*
merger with Pru, little to no growth at WB
All numbers from the SIA website
 
This is in response to MoneyAdv comments

moneyadvisor's picture
Offline
Joined: 2005-08-02

Guest1 wrote:
In our newsleter this month:
% change in sales force 2000-2004
ML -30%
MSDW -21%
UBS -13%
AGE -2%
AMEX -2%
SSB -1%
RJFS +16%
Jones +27%
WB +41%*
merger with Pru, little to no growth at WB
All numbers from the SIA website
 
This is in response to MoneyAdv comments

 
I think we are all in agreement that Jones wastes a lot of money training newbies (which is an awesome training program) for the rest of the industry. It's a fact, I agree 1000 percent, Jones loves to hire people and train them. They are just not very good at running offices, and incenting their troops.
Are you telling me that because  AMEX is only down 2% in their sales force that.......they are good investment firm???? I'm not sure that the size of sales force is a good indicator of performance or respectability,.....now, market share and name recognition.....help.
Regardless of the fact that the Jones model is so ridiculously flawed, they keep on pursuing the same ineffective plan. Plain and simple, they do not put their reps in a position to win.

exEJIR's picture
Offline
Joined: 2005-05-12

No, no, no, don't tell me...
All of the ML, MSDW, & UBS brokers are going to EDJ?
 

exdrone's picture
Offline
Joined: 2005-07-01

Guest1 wrote:
In our newsleter this month:
% change in sales force 2000-2004
ML -30%
MSDW -21%
UBS -13%
AGE -2%
AMEX -2%
SSB -1%
RJFS +16%
Jones +27%
WB +41%*
merger with Pru, little to no growth at WB
All numbers from the SIA website
 
This is in response to MoneyAdv comments

This is classic Jones dribble.  Jones hires thousands of brokers per year, throws them at the wall to see how many stick.  If you stick that's great. If you stick too long you are a sucker.
Jones will never publish numbers on how many brokers leave to go to other firms, like Merrill. They will only use anecdotal evidence to scare the "Greatest Salesforce" into thinking that all other firms are evil.
Guest1 heres a suggestion:
To avoid looking brainwashed in the future, please respond with information not provided to you by your firm.  The words "In our newsletter this month" add no credibility to your statement.  I would no sooner believe Jones dribble that I would something published by the Flat Earth society.  I hear their numbers are growing too.

exdrone's picture
Offline
Joined: 2005-07-01

SonnyClips wrote:Hey don't forget the Smart Money Poll where Jones got numero uno and AGE got 2. I think St Louis is just better at serving customers. f**king East Coast based firms like to kick out Bateman clones that worry more about their shoes and hair than working hard. Best, Sonny
How hard do the non-producing GPs work?

Guest1's picture
Offline
Joined: 2005-01-16

Hey EX, do some reading. Second line from the bottom. You have heard of the SIA, yes?

Starka's picture
Offline
Joined: 2004-11-30

Guest1, the larger question here is this:  Accepting your figures as gospel, how does that help you, personally, make more money?
I went indy.  I don't care how many brokers in a given year do the same.  I enjoy my career far more now than before, and that on every level.  So why would I care what choices anyone else makes?

Guest1's picture
Offline
Joined: 2005-01-16

Starka, I am happy you enjoy your career as much as you do. I too am at a place where work is more fun than well, work. Is it all about money? I hope not at this level (mine at least).

Starka's picture
Offline
Joined: 2004-11-30

Actually, money really wasn't a consideration for me until after I made the move.  Clearly, money alone is a lousy reason to do anything.  The question stands, however.  How does a net increase over the last four years help you?

Guest1's picture
Offline
Joined: 2005-01-16

The 10/17 deposit of my LP earnings of over 14k does not hurt one bit. (here it comes, the bond in drag people) More IRs in town = more visability for us. I am not ABC Investments, like it or not the name has recognition. (can't wait for that argument) P/S sharing was quite generous last year, a result of more IRs. (here we go about owning and paying you own bonus)
So, you are now saying that money IS a big motivator for you? It will change..

Starka's picture
Offline
Joined: 2004-11-30

No, that's not what I said, although I'm not going to give it back!
Look, I'm not one to fault you for believing in the LP.  All I'm asking is how does having more and more brokers help you personally?

Guest1's picture
Offline
Joined: 2005-01-16

The return of the LP is a direct function of the saleforce. The value of the P/S contribution is also directly related to the salesforce.  That gets pretty personal.

Starka's picture
Offline
Joined: 2004-11-30

What is the P/S contribution?
Well, whatever it is, if it's worth it to you, then you're where you belong.  However, that doesn't make everyone else wrong.

Guest1's picture
Offline
Joined: 2005-01-16

Where did I say everyone was wrong? Someone commented that Jones was losing ground. I think that the SIA survey disbanded that thought. (PS was a good amount plus payout on income over the 200k+/- limit)

Starka's picture
Offline
Joined: 2004-11-30

The return of the LP is a function of the salesforce, but on it's profitability, not it's size.  Pushing unprofitable offices in lowers LP payout.
When I was with Jones, I always asked at regional meetings if the focus of the growth of the firm shouldn't have been more focused on retention of veterans primarily, and expanding the number of offices secondary.  The question was usually brushed off, and we were encouraged to recruit more brokers.  Do you think that makes any sense?
A poster earlier made the observation that Jones seems to lose brokers at the 5-7 year mark.  Well, I can't speak firmwide, but it certainly seemed to be accurate in the region I was in. 

exdrone's picture
Offline
Joined: 2005-07-01

Guest1 wrote:Hey EX, do some reading. Second line from the bottom. You have heard of the SIA, yes?
Guest,
That's nice.  I did see that.  I was pointing out your source of the information. I doesn't surprise me that Jones decided to spin some stats to make their point. 
The counter point has already been made ad nauseam on this site.  Who is Jones hiring? newbies Who are they losing? vets. Who cares about the headcount?
 

zacko's picture
Offline
Joined: 2004-12-01

It's always about the money to some degree. 
But I am ALL 'bout the happiness.  I'm happy to run my own business and have my own S corp.  I'm happy to have more products..especially fee based.  I'm happy to be compensated at the same level on A B C shares as far as payout.  I'm happy I don't have to pay any of my net for national advertising.  I'm happy to get free stock options.  I'm happy to get better tax breaks.  I'm happy to have my own retirement plan where my wife is now a participant.   I'm happy I don't have mandatory meetings about hiring and training noobs and have to watch stupid corporate videos.  I'm happy I still take two trips a year paid for by my firm (production related) And yes....I'm happy to take home more money when the day is done and not be tied to a bonus bracket.
I guess I'm just a happy guy?

csmelnix's picture
Offline
Joined: 2005-06-01

Some people like being employees and some people like being employers. 
What's the turnover rate on advisors at Jones?  The firm I am with sits at 97% going on 6 years now.  It's not about the money?  It is for somebody - if it isn't for you then it is for your b/d.  Content to pay them 60% v yourself and hope to get L/P offerings or profit sharing?  Some people believe big brother can control their margins better than they can that's why they remain employees.  In the end, maybe it isn't about the money for you but undoubtedly it becomes a quality of life issue for all of us and when you can only grow by adding more and more accounts v working under a business model that provides payouts that allow you as an advisor to specify the type of client you wish to work with I will take the latter everyday.  There's more to doing what's right for your client when their money dues hit and I know I can service my clients better when I hold 200 on my book v 600+ accounts on yours.  The funny thing about that is I net more too and have an exit strategy that I control!
Zacko keep preaching brother it's music to the ears of those who get it.
 
 

csmelnix's picture
Offline
Joined: 2005-06-01

Oh yea?  Speaking of big brother - how hard is it to do VA business now at Jones?  Have they hired their dedicated compliance department yet to review every VA application?
Hey kool-aid

BrokerRecruit's picture
Offline
Joined: 2005-04-19

Oh yeah!  (Breaks through EDJ office wall)

Player's picture
Offline
Joined: 2004-12-08

Does it really matter who follows Doug "3 Mil" Hill?
The big question is what is the net growth of the FIRM?  THAT'S WHAT MATTERS......................

Please or Register to post comments.

Industry Newsletters
Investment Category Sponsor Links

 

Careers Category Sponsor Links

Sponsored Introduction Continue on to (or wait seconds) ×