BISA Magazine - Quarter 3, 2017 - 15

long hiatus, said Mummau. The Morgan
Stanleys of the world, after all, want
to grow, and that means training new
advisors. Mummau said he believes this
is a cyclical phenomenon, though one
with a broad periodicity - those programs were severely cut back a long
time ago, and they are just beginning
to grow again.
Vosen, for his part, does not agree with
all of the consulting firm's premises.
"[Recruiting is not a problem for bank
programs] that are structured correctly
and know how to recruit from independents and wirehouses," he said.
On the contrary, "Banks are in the best
position to recruit financial advisors,
and there are three reasons why,"
Vosen said.
i. They develop their own financial
advisors through aforementioned LBE programs.

Changing onboarding packages
may be a good tactical solution, but
a longer-term answer is to develop
advisors from within the financial
institution, suggested Mummau.
is not necessarily a good mentor; it's
a different skill set. So CFS has also
implemented training for senior advisors on how to mentor or train associate advisors, said Mummau.
Internal development often begins
with licensed bank employee (LBE)
programs, or platform programs, which
can serve as an institution's financial
advisor farm team for new FA talent,

said Marc Vosen, CEO, Key Investment
Services, the retail B/D affiliated with
Ohio's KeyBank. He used a baseball
analogy: LBEs are playing in the Double-A minor leagues, junior brokers are
competing in Triple-A ball and senior
FAs are performing in the major league.
Interestingly, in the last few months
there have been signs that wirehouses
are reviving training programs after a

ii. They can recruit good advisors
from wirehouses. "Those who
don't succeed there because
they don't get enough at bats,"
Vosen said. (i.e., they don't see
enough prospects.) Prospecting is usually not a problem at
banks and credit unions because
of those institutions' unique
referral streams: Banks can
introduce their financial advisors
to lots of potential new customers.
iii. Depository institutions can
recruit successful independent
financial advisors who have big
books of business but for whom
the burden of compliance and
technology has become overwhelming (the bank will handle
that for them).
On the issue of the fiduciary duty
rule, "DOL is a big problem, but
mostly for independents," said Vosen,
referring again to independent brokerage firms. The bank channel has not
historically sold investment products
with unreasonable compensation, and
the industry was already acting with
something approaching the fiduciary

15
BISA Magazine



Table of Contents for the Digital Edition of BISA Magazine - Quarter 3, 2017

Table of Contents
BISA Magazine - Quarter 3, 2017 - Cover1
BISA Magazine - Quarter 3, 2017 - Cover2
BISA Magazine - Quarter 3, 2017 - Table of Contents
BISA Magazine - Quarter 3, 2017 - 2
BISA Magazine - Quarter 3, 2017 - 3
BISA Magazine - Quarter 3, 2017 - 4
BISA Magazine - Quarter 3, 2017 - 5
BISA Magazine - Quarter 3, 2017 - 6
BISA Magazine - Quarter 3, 2017 - 7
BISA Magazine - Quarter 3, 2017 - 8
BISA Magazine - Quarter 3, 2017 - 9
BISA Magazine - Quarter 3, 2017 - 10
BISA Magazine - Quarter 3, 2017 - 11
BISA Magazine - Quarter 3, 2017 - 12
BISA Magazine - Quarter 3, 2017 - 13
BISA Magazine - Quarter 3, 2017 - 14
BISA Magazine - Quarter 3, 2017 - 15
BISA Magazine - Quarter 3, 2017 - 16
BISA Magazine - Quarter 3, 2017 - 17
BISA Magazine - Quarter 3, 2017 - 18
BISA Magazine - Quarter 3, 2017 - 19
BISA Magazine - Quarter 3, 2017 - 20
BISA Magazine - Quarter 3, 2017 - 21
BISA Magazine - Quarter 3, 2017 - 22
BISA Magazine - Quarter 3, 2017 - 23
BISA Magazine - Quarter 3, 2017 - 24
BISA Magazine - Quarter 3, 2017 - 25
BISA Magazine - Quarter 3, 2017 - 26
BISA Magazine - Quarter 3, 2017 - 27
BISA Magazine - Quarter 3, 2017 - 28
BISA Magazine - Quarter 3, 2017 - 29
BISA Magazine - Quarter 3, 2017 - 30
BISA Magazine - Quarter 3, 2017 - 31
BISA Magazine - Quarter 3, 2017 - 32
BISA Magazine - Quarter 3, 2017 - Cover3
BISA Magazine - Quarter 3, 2017 - Cover4
https://www.nxtbook.com/nxtbooks/bisa/2017q4
https://www.nxtbook.com/nxtbooks/bisa/2017q3
https://www.nxtbook.com/nxtbooks/bisa/2017q2
https://www.nxtbook.com/nxtbooks/bisa/2017q1
https://www.nxtbook.com/nxtbooks/bisa/2016q4
https://www.nxtbook.com/nxtbooks/bisa/2016q3
https://www.nxtbook.com/nxtbooks/bisa/2016q2
https://www.nxtbook.com/nxtbooks/bisa/2016q1
https://www.nxtbook.com/nxtbooks/bisa/2015q4
https://www.nxtbook.com/nxtbooks/bisa/2015q3
https://www.nxtbook.com/nxtbooks/bisa/2015q2
https://www.nxtbook.com/nxtbooks/bisa/2015q1
https://www.nxtbook.com/nxtbooks/bisa/2014q4
https://www.nxtbook.com/nxtbooks/bisa/2014q3
https://www.nxtbook.com/nxtbooks/bisa/2014q2
https://www.nxtbook.com/nxtbooks/bisa/2014q1
https://www.nxtbookmedia.com