SB is out, that was a one shot deal.  Look indy…

You guys still talking about this BS? Citi isn’t taking anyone’s trails. They will be paid the same as fee income will. They may be dumb, but not that dumb. Don’t know what you’re smoking.

Mr Big is right.  In 2010 we are still receiving trails at 42%.  It was unclear back when this post started if trails would be paid or not of if they would be paid at 25% like transactional business.

In any case all the advisors I know think that the changes that are being discussed suck and I really do think that management is crazy.   The people making the decisions have no idea how things really work.  My business flourished while working with SB. Most advisors I know have built a good amount of recurring revenue using a combination of C shares, alternative investments, laddered bonds, annuities, and some managed money.

Not every client is wired for a fee.  It is behavioral finance.  The embedded fee in a operating expense of a fund is not staring them in the face during a market decline making them have additional stress.  Fee based business is great when the market performs but is a nightmare when all your clients start complaing after the market tanks on you.