It appears we are headed back to work. Our monthly podcast summary will give us items to put in our backpacks. So Heigh Ho ! Business Consulting Adam Grant teaches how to not make work suck. Work Life These two industry icons share their different opinions for independent wealth advisors. Kices and Carl Reid Hoffman is one of the most successful entrepreneurs who believes in giving back. Masters of Scale Educational This podcast will entertain and educate. Pivot The host is a law professor who shares insight on controversial issues. Deep Background While I don’t prefer Houston, this podcast makes me want to visit and attend class. Unlocking Us Hope you all listen to the podcasts and get vaccinated.
How much is Smith Barney worth, and why should advisors and their clients care? If Smith Barney-parent Citigroup and acquirer Morgan Stanley can’t reconcile a roughly $15 billion disagreement about price, advisors and their clients are likely to experience the fallout in the form of smaller recruiting checks and/or a less satisfying client experience. A Strategic Business, Convoluted Valuation Process It’s ironic that the retail brokerage made famous by commercials from the curmudgeonly John Houseman, “Smith Barney – they make money the old-fashioned way,” is caught up in an old-fashioned valuation dispute that may have significant adverse consequences. The price that Morgan Stanley will pay for 14% of Smith Barney will be established by what can only be described as a byzantine process. The first step was for Citigroup to declare a selling price for Smith Barney. The Citi number came in at $24 billion for 14% of the brokerage. Morgan Stanley then...
Our industry has always looked down on Wall Street’s recruiting checks. Last week there were numerous announcements that independent firms were offering advisors money to purchase their practice. The term for these transactions is inorganic growth. This week we will look at why these transactions are the new rage and examine if they are better than the old Wall Street checks. Wempy Popeye and financial advisors fall for the “I’ll gladly pay pay you tomorrow for a Hamburger today” pitch. Unfortunately Popeye and and most financial advisors provide their hamburger but seldomly get paid what the firms and Wimpy promise . Why? The advisors need the cash and Popeye is gullible. On Wall Street the deals adjusted when the advisors changed firms looking for a new deal every five to eight years. The recent Luminous departure shows that the advisory contracts need to be adjusted. The new contracts are written by experienced firm...
Comments
Post a Comment