Where do top advisors earn the most?
Financial Planning helps FAs find the answer with the final component of our four-part analysis of core compensation at wirehouses and regional and national broker-dealers.
Though not many components have changed in 2021 from 2020, the industry has evolved in recent decades.
“There’s so much competition, and it’s not even just the independent channel. It’s also all the new fintechs,” says compensation consultant Andy Tasnady.
Scroll through to see where your firm stacks up. To see last year’s data,
Data was collected by Arizent and analysis conducted by Tasnady and his firm, Tasnady & Associates.
A note about this year’s analysis: A number of special policies are not included here because they do not affect 100% of the advisor population evenly and therefore are more haphazard to compare. Individual results can vary dramatically, based on the mix of business and policies at each firm. For example, pay can rise from special bonuses and fall from penalties such as discount sharing, small client limits and ticket charges.
Assumptions for basic pay (prior to special policies/contingent bonuses):
- 25% in individual stocks; 25% in individual bonds; 25% in mutual funds; 25% in fee-based (wrap accounts, managed accounts, etc.)
- Year-end basic bonuses are shown in deferred totals.
- Length of service is assumed to be 10 years.
- Assumes no impacts from bonuses based on growth, asset-based bonuses or other behavior-based awards.
- Excludes voluntary deferral matches, 401(k) matches or profit-sharing contributions, unless otherwise noted.
- Does not include: T&E expense allowance, discount sharing or ticket charge expense assumptions, small household or small ticket policy assumptions, or value of any options awards.
