Commonwealth Financial Network has added more production through recruiting in 2017 than any year in the firm’s nearly four decades, benefiting from a massive acquisition by one of its rivals.
Lead advisors Dan Taylor, Bill Markovich, Andy Haskell and Andrew Cloose of North Dakota-based Invest Forward, which has $309 million in assets under management, joined Commonwealth, the independent broker-dealer said this week. Nine advisors make up Invest Forward, which is the wealth management unit of Bank Forward.
Commonwealth competitor
The purchase also opened the door to competitors
“We’re going to have our record recruiting year this year and a big part of it came from advisors joining us from the four NPH firms, I think, in a flight to quality and community,” says Andrew Daniels, the Waltham, Massachusetts-based company’s managing principal for business development.
“Independent financial advisors by nature don’t want to have their lives, their practices and their futures dictated for them,” he says, adding that Commonwealth’s recruiting is “certainly a quality not quantity game.”
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In a concession to the advisor, he can still respond to client emails and calls, even though he may not initiate contact.
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The Invest Forward advisors officially joined Commonwealth in October, according to FINRA BrokerCheck. A spokeswoman for National Planning Holdings and a spokesman for LPL declined to comment on their move.
LPL has
The list followed an earlier group of four offices of supervisory jurisdiction joining LPL from National Planning, each with more than $1 billion in client assets. LPL
“We value each new relationship and are proud to have the opportunity to provide service and support to the many new advisors who have chosen to join LPL,” Bill Morrissey, the president of the firm’s business development division, said in a statement.
“As we welcome new advisors, we can leverage our scale to provide our advisors with the capabilities they need to stay competitive and be positioned for success today and into the future.”
Commonwealth appealed to NPH advisors as a smaller, private company, though, Daniels notes. The lead advisors at Invest Forward had each aligned with Investment Centers of America, the
Invest Forward’s bank parent, the former Security State Bank of North Dakota, launched the Grand Forks-based wealth management unit in 2012, according to the firm’s website. Prior to ICA, the four lead advisors worked for firms including Merrill Lynch and Raymond James, BrokerCheck shows.
Commonwealth has added around 125 advisors this year, a group Daniels says is more productive and more in number than the firm’s usual annual take of around 100 advisors. The firm’s 29 new ex-NPH advisors bring average production of $538,000 per year, the firm says.
Commonwealth’s revenue grew by 6% in 2016 to $1.07 billion, and Daniels has said it will