Commonwealth, LPL Now Using Asset Levels, Not Production Rates, to Calculate Recruiting Deals
January 24, 2022 By Diana Britton, WealthManagement.com Commonwealth is now structuring its forgivable notes for new advisors as basis points on the advisors' assets, rather than their production—another sign it continues to see itself as a national RIA. Waltham, Mass.-based independent broker/dealer Commonwealth Financial Network has confirmed that it recently shifted the way it structures the deals it gives prospects as an incentive to join the firm. It now offers forgivable notes based on an advisor’s asset levels, rather than a percentage of production, which has historically been the norm. A third party recruiter, who declined to be named, said the deals range from 30 to 35 basis points on assets. “Commonwealth remains at the forefront of where the industry is going, which we believe is toward assets versus production,” said Andrew Daniels, managing principal, business development. “As...
