75% of Client Managers laid off at B of A today
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In the immortal words of Bob Dylan:
How does it feel? How does it feel??? To be on your own...Perhaps they could bring back legacy SB boom boom rooms (one in each branch). CMs would them serve some kind of useful role, otherwise they are sale killers (yes, mr/ms client option arms are the best way to go). This was the biggest POS program ever dreamed up.
I agree with squid66 that CM's could offer some supporting role. I actually have some cases now that a CM would be helpful on. However, the program has been a disaster and a waste of money (acknowledged by inside managers and outside observers).
I have no idea what you two are talking about. Either you had crummy CMs or you have no idea how to work in a partnership. I referred what I could to them and got many times that in referrals back. Clients loved the model and my CMs absolutely helped seal the deal on some big clients. Admittedly management tweaks screwed this thing up almost from the beginning, but it was working and could have been huge. The manner in which they fired the CMs is unconscionable, I don’t know how these f**kers sleep at night. This company has sold its soul and completely abandoned any sense of right and wrong. Anyone remember our core values?
Many former “Premier” clients will be getting a letter soon explaining that their credit cards have been closed. Apparently, a “third party” got a hold of their account information and now they have to worry about unauthorized charges on their accounts.
As their new “wealth advisor”, I get the fun job of explaining this letter and answering any questions they have. Of course, I don’t have access to their accounts to see any charges so I will be no help to them.
Welcome to the new “post premier” world of BofA.
B0NEHEAD: The CM program may have been working for a handful of FA’s but that does not mean the program was successful:
1. No other bank program (large or small) utilizes a CM role to drive referrals to FAs. Wachovia has been at this longer than anyone else and they have toyed with the idea but in the end, they still utilize the FS's. 2. Every other large bank program has licensed platforms to convert the deposit base into investments (ironically, the direction that Fleet/Q&R was going prior to the merger). 3. CMs were overpaid based on every metric. Simply put, they did not bring in enough credit and deposits to justify their salary. That is why their comp plan was constantly getting worse. Remember when they were paid on moving money from a 6 month CD to a 9 month CD, as if they brought the money in from another bank? Or if they fixed the rate of a HELOC and that counted as new business? It's the stupidity of management that allowed that to happen. But CM's should be happy that they were able to get away with our equivalent of 8% commission fixed annuity sales. 4. After the Merrill Lynch merger, B of A could either hire more CMs or shut down the program. I realize the economy plays a factor but I have never seen B of A shy away from spending money. I think they realized it is one thing to make 2,000 bank brokers play nice with CM's vs. trying to get 16,000 ML advisors to "share" their clients. 5. Bottom line, it doesn't work and that's why nobody else does it and why B of A got rid of it. Don't get me wrong, I miss their help and service when I have mortgage or deposit needs. However, for a business, they were lottery winners. They shouldn't have been hired at their ridiculous salaries in the first place. It reminds me of the poor Texan farmers in the 80's that happened to live on oil-rich land so they became millionaires. When the price of oil dropped, they became broke, with no idea how they got rich or got poor. CM's should be happy that they made more money then they ever deserved and got a better severance package than most people out there.NONE, THE MODEL IS BLOWN UP. Thier new role is to work in Merril complexes and wholesale ML banking products…thet should work great.
badmove? is correct. The program has been officially terminated and they will be shoehorning the CM remnants ( I would guess 10% of the CM population at its peak) into Merrill offices. Their salaries and bonuses will be adjusted (probably downwards because the ML equivalent makes less money than the CMs). Zero guidance at this time because most of the market managers were also let go last week.
Strange, I have a few friends over there who are CM’s and they have no clue what will be.
[quote=BACFA]badmove? is correct. The program has been officially terminated and they will be shoehorning the CM remnants ( I would guess 10% of the CM population at its peak) into Merrill offices. Their salaries and bonuses will be adjusted (probably downwards because the ML equivalent makes less money than the CMs). Zero guidance at this time because most of the market managers were also let go last week.[/quote]
How much did a CM make?
Wasabi,
I know of a few CMs that made $100K if they hit bonuses. My guess that the average was around $75K. Not too shabby of a paycheck to service and sell bank products.
BACFA, Rumor has it that the rest of the CMs (or whatever their new title is) are gonzo by August.