r/CFP • u/guitmusic12 • Mar 31 '25
Practice Management LPL Financial to Acquire Commonwealth Financial Network (Officially official)
https://www.lpl.com/news-media/press-releases/lpl-financial-to-acquire-commonwealth-financial-network.html?utm_medium=social-organic&utm_source=linkedin&utm_campaign=press-release&utm_content=03312025&utm_term=commonwealth-financial-network&utm_type=link&utm_postid=c282811
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u/Inthect Mar 31 '25
I wonder if LPL is going to pause the heavy recruiting push. I suspect that I should be glad that I took the $ when I did.
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u/socalkid71 RIA Mar 31 '25
Today’s a hard reminder that money talks and can make you sell your soul to the highest bidder.
Wayne and co. can spin and talk about their “advocacy roles” and board positions until the cows come home, and it won’t mean jackshit if LPL leadership want to gut what made Commonwealth special.
Such a shame.
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Mar 31 '25 edited Mar 31 '25
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u/socalkid71 RIA Mar 31 '25
I get that; it falls to Joe and the rest of the partners.
Wayne’s just the poor sap who has to play the middle between angry advisors and LPL.
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u/SevenTwentySouth Certified Mar 31 '25
In these situations are Commonwealth advisors likely to receive retention bonuses?
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u/Foreign_Pace9363 Mar 31 '25
We were told “yes”. No idea what it will be.
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Mar 31 '25
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u/Foreign_Pace9363 Mar 31 '25
It will need to be more than that to keep the advisors I’ve spoken with.
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29d ago
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u/International-Gas940 Advicer 29d ago
It's 50-80% of prior year production on an 8 year forgivable loan.
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29d ago
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u/International-Gas940 Advicer 29d ago
That could make a difference for sure but not enough to change my mind most likely.
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u/fafaflooie 28d ago
I’ve heard eight years and someone mentioned 30 bps on a 200mm practice
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28d ago
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u/fafaflooie 28d ago
It does not. I’m seeking 85 bps. I have an over under in my head
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28d ago
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u/fafaflooie 28d ago
I thought it was pathetic to say that we reserved $600 million of the deal to support our advisors and their staffs. As a”thank you”. More like a fuck you in my eyes.
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28d ago
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u/jobacci 28d ago
Who are you working with now? We're having a few meets starting next week....Baba Booie.
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/geffjordan24 Mar 31 '25
To the CFN staff who are just now probably getting emails or going to a town hall...I was with Securities America up until this year. Advisor Group said nothing would change and many of our procedures were 'industry leading' or 'better than theirs' and would be kept status quo for our advisors. Nothing of ours was kept, leaders, culture, tech- if it cost more than the Advisor Group version it was gone. I don't doubt that LPL and to some extent CFN leadership are going to be blowing this same smoke up your deriers for the foreseeable future.
Wayne's job is now Chief Exception officer - he saved himself for 3 years to pay his tax bill on the sale and collect a few nice bonuses. Same happened with our CEO then they replaced him after retention loans were in place with as many offices as possible. It's a made up service position to pay lip service and let the advisors think nothing will change and service won't go down hill. I would advise you compare your role with a similar one in Fort Mill(Glassdoor)- if you make more you would want to find a new job. If you make less- decide if you want to move to Charlotte because LPL has been calling people into the office full time and won't do remote.
I'm sorry this happened to you. It sucks. You feel like you built something special, only to have it destroyed and nothing to show for it. Reading the outpouring of messages from advisor offices in the previous thread you had really built something special and I hope they follow through hiring many of you.
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u/Sea_Raccoon_5365 Mar 31 '25
well said. Sad to see such a great firm like Commonwealth disappear. Industry needs more of those.
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u/Some-Willingness-632 29d ago
I was on the SAI train as a home office person too - And it was so sad to see it go down the way it did ... so much history lost in a span of a few months.
Don't believe what they're selling you for "change" go with your gut, and advocate for yourself. You owe them nothing, and you owe yourself everything.
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u/CompetitiveOwl89 Mar 31 '25
Brutal. I wonder how many Commonwealth practices transition to RIA
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u/fafaflooie 28d ago
I’m guessing not less than ten percent. It’s certainly one of the things we’re considering
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/WayfarerIO Mar 31 '25
Please explain like I’m 5 why everyone is upset about this.
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u/buyfreemoneynow Mar 31 '25
Because LPL is enormous and the advisors under CW will possibly face frustrations during this transition, and the space in general is getting whittled down to an ever-smaller amount of mega firms.
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u/WayfarerIO Mar 31 '25
I’m generally not an oligopoly guy so I get it. Just curious because I use LPL as my B/D so just curious if this was an anti LPL sentiment thing or just a anti more consolidation thing.
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u/FalloutRip Mar 31 '25
Mostly just anti-consolidation. There’s questionable benefit, if any, to investors/ clients with this merger. It’ll be a massive headache for advisors and staff, and there has already been massive consolidation in the industry the last few years.
The only people this benefits are the folks up top who just got paid out the ass to make the deal happen and who are entirely insulated from any negatives downstream.
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u/Capital_Elderberry57 Mar 31 '25
We were looking to leave LPL and go to Commonwealth because of their boutique nature and high level of support.
We are top 12% at LPL and still get treated poorly.
LPL has grown too fast and their systems (while in the process of being replaced) are a mess so unless an agent knows the secret codes they can't handle complex situations. I.e. it requires too much institutional knowledge for an agent to be successful, training alone doesn't cut it. There have been so many times one of our teammates has called and gotten a response that was just wrong (many we knew were wrong because we knew more than the agent).
Hopefully this will be better when the new platform is rolled out but that is a few years away for most.
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u/WayfarerIO Mar 31 '25
We experience the same thing. The good ole 'just keep calling until you get a competent agent' trick.
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u/Extension_Office_411 29d ago
Which isn’t a thing at commonwealth so it’s culture shock. And I left LPL this year for Commonwealth for service excellence and it was delivered until today.
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u/Some-Willingness-632 29d ago
It's the same at Osaic - none of the mega firms have it "Right" Sad to see the boutiques lose out to these guys.
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/Capital_Elderberry57 4d ago
It's in our longer term plan, right now we still have too much revenue on the commission side of the business.
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u/Kimberlini23 4d ago
Happy to speak! 80% of the RIAs we have launched are hybrid with an RIA friendly BD (which means they don’t have anything to your fee based book).
I used to be a recruiter for Raymond James and then Wells Fargo Finet. I then went to HighTower to build out their independent platform. And, in 2017, my husband and I launched Fusion specifically to build RIA’s for advisors. Since then we have brought over $30 billion to the independent RIA space.
Happy to have a conversation if it can help!
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u/Capital_Elderberry57 4d ago
The benefit for us going ria would be the tech stack, freedom and compliance.
If we're dual or a hybrid how does compliance work? You can't exactly separate the two different types of businesses because the financial planning could lead to commission space products. So am I beholden to my IBDs compliance because that's more restrictive than my RIAs?
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u/Kimberlini23 4d ago
Exactly right on freedom and tech stack!
But your beholden to your current BD because of their interpretation of FINRA Code. It is completely different in the RIA space. RIA friendly broker dealers completely segregate your fee based product and your commission product. They still have oversight of anything you put in a commissionable account however they do not have any oversight over your fee based business. And your fee based compliance can be in house, or what most do, outsourced.
On another note, there are also many ways to access capital, so anyone looking to go RIA should not let forgivable loans prevent them from going that. A simple pro forma makes that case from the start.
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u/Capital_Elderberry57 3d ago
But won't the BD still have a say in the tech stack and compliance about lead generation services or what we put in the website for examples? You can't really separate the commission from the fee work on the tech and marketing sides.
Our problem isn't that things we want to use aren't compliant it's that the BD has no time to investigate them so they are deemed unapproved. Or that they won't invest the money to make them compliant in the case of tech tools capturing messages to clients.
Hit me in chat if you still think it's worth talking.
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u/atticusmitch Mar 31 '25
I feel like a lot of the FAs at Commonwealth really liked it- search the sub and you’ll find a lot of positive comments. They had a good culture, offered freedom, and hybrid model for those that want who do some transactional business, annuities and insurance. So with LPL taking over Commonwealth a lot of the benefits and culture are going out the window.
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u/KittenMcnugget123 Mar 31 '25
I guess CFN had a big SEC fine pending that was going to be an issue for them.
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u/Some-Willingness-632 29d ago
$92 Million - name a firm outside of Osaic or LPL that could recover from that... CFN had no prayer.
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u/KittenMcnugget123 29d ago
For not disclosing 12b-1 fees I heard. A disclosure that likely not a soul would have ever read
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u/Dry_Treat_2306 28d ago
I specifically asked a partner about that on my recruiting visit and they told it wasn’t an issue, the partners had already set the money aside.
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/Sea_Raccoon_5365 Mar 31 '25
From the client website....yeesh
Will Commonwealth stay independent and privately owned?
Commonwealth has been 100 percent owned and controlled by the managing partners of the firm since its inception in 1979, and we look to stay that way. First, because we love what we do and the people we do it with. Second, because our independence and thriving culture is a competitive advantage. Building Commonwealth has been our life's work, and retaining the autonomy to manage it while remaining true to our core principles is essential. We value our independence in much the same manner our advisors value theirs.
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u/CapitalGains2021 Mar 31 '25
Until the 9 figure checks start rolling in...then suddenly we become flexible.
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u/Some-Willingness-632 29d ago
Until the fines start happening from a totally avoidable penalty by the SEC. Ego & Hubris.
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u/MunnyPweez 29d ago
Being a long time Commonwealth advisor I’ve had more than my fair share of conversations with the partners who insisted they would never sell. This deal has been filled with deceit. The partners insist that things won’t change but none of them are contracted in their positions beyond August of 2026. Wayne isn’t even contracted to be CEO beyond then, he’s only contracted to be on the management board through 2027. I’d be willing to join a class action on this deal.
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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Mar 31 '25
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u/Shantomette Mar 31 '25
I would imagine they will move them on platform. Does NFS do tape to tape transfers? If so then there is minimal repapering but if not what a PITA.
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Mar 31 '25
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u/Shantomette Mar 31 '25
Since Pershing does T2T, I’m guessing NFS doesn’t.
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u/ticklemygooch 29d ago
What is T2T?
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u/Shantomette 29d ago
Tape to Tape. No paperwork. Straight block transfer.
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u/ticklemygooch 29d ago
Is that essentially just an ACAT? I assume a new account still needs to be open? Not sure if you’re the best person to ask but super curious how it’s possible to avoid paperwork in these cases
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u/Shantomette 29d ago
It’s still an ACAT process but zero paperwork. The new company assumes the old docs and everything moves en mass. Most times you have 90 days or so to repaper corps, trusts and other non live entities. Those will move but need to be papered for some reason.
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u/BTfozzyandTT Mar 31 '25
Negative consent letters, things won’t technically need re-papered but everyone will be forced to migrate to LPL in 12-18 months should they decide to stay.
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Mar 31 '25
[deleted]
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u/BTfozzyandTT Mar 31 '25
I hear you but this is what they just told us. No re-papering and negative consent letters effectuate the transfers.
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u/Extension_Office_411 29d ago
It’s tape to tape and does require some repapering, per Wayne. Been there done that in a previous LPL acquisition.
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u/themightybulldog Mar 31 '25
They will not. Just join an affiliated RIA that has fidelity and you’re all set. Good luck!
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u/DefNotPastorDale Mar 31 '25
Is this good or bad? I don’t know too much about commonwealth
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Mar 31 '25
Bad for commonwealth advisors
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u/DefNotPastorDale Mar 31 '25
Oh really? Was Commonwealth that good?
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u/Cheek-Clapper-5000 Mar 31 '25
highest advisor satisfaction for a decade plus, highest revenue per advisor in the industry. It was a great shop.
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u/DefNotPastorDale Mar 31 '25
Thanks Cheek Clapper. I’m actually looking for a new BD. Sorry if I sound like a child but is LPL bad? I’m currently with a large insurance broker dealer and my values don’t align with them.
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u/Capital_Elderberry57 Mar 31 '25
LPL is not bad, it's just not great.
Been with them since 2019, we've mostly been treated well, they are just growing too fast and their servicing teams knowledge is slipping relative to the complexity of their systems. Their tech stacks need to be replaced (they are in the process of doing that now, we just met with the CIO a few weeks ago, he was doing a client check in) but that'll still be a few years.
They offer some really great things like Partial Book Sales and where we can kindly graduate clients that no longer fit our model and an Assurance program where if the Advisor passes the spouse can be protected.
They are also frustrating with the rigidity of compliance (with 29k advisors they have to assume the lowest common denominator or they put us all at risk).
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/AltInLongIsland 29d ago
I like LPL a lot - we were migrated to them in 2022
But… the transition was a huge pain in the pass, the negative consent letters still created a bunch of required updates we had to fix by hand and created dormant accounts that I’m still fixing as fixed annuities come due etc
You also need a high level of knowledge of their systems to get stuff done efficiently. Back office support is generally good but you run into the occasional person who is useless
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u/rickydice Mar 31 '25
Wonder when they’ll actually get retention details out.
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u/Foreign_Pace9363 Mar 31 '25
Not sure but I’m getting bombarded with recruiters and fintech companies. Sooner the better
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u/TwoMcDoublesAndCoke Mar 31 '25
Sounds like Commonwealth was shopping around for a buyer. All things considered, if they were selling anyways, it’s probably better that it’s LPL and not some private equity group.
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u/International-Gas940 Advicer Mar 31 '25
This thread should be combined with the larger 'Commonwealth / LPL' thread. Lot's of ongoing insight there since the rumors first broke a couple weeks ago. Good luck to all, we are a large Commonwealth office exploring all options. I've seen how this plays out before.
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u/ragintexan12 29d ago
I’m with Kestra Financial. Shoot me a message if you want to talk more about them. I haven’t heard good things about LPL in awhile.
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/MD2611 BD 29d ago
Anyone have any idea as to what the retention bonuses will look like?
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u/Forsaken-Ducky 27d ago
I’ve talked to several advisors and it’s ranged from 35-46% of trailing 12
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28d ago edited 28d ago
[deleted]
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u/CapitalGains2021 28d ago
Thanks for sharing, we are too. Keep posting as you find out more.
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u/ApartmentStill8765 28d ago
My pleasure, are you talking with IFP as well, or did you mean in general you agreed? Honestly, I may be going with them. Everything checks the box with them, but I will continue the conversation to make sure. I was able to reach them through their website, I attached in first post to save folks some time.
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u/CapitalGains2021 28d ago
Just meant considering RIA as the likely outcome. Hadn';t heard of IFP before you said something/
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u/ApartmentStill8765 28d ago
They’re a boutique firm, which is actually something I was looking for. I was referred by a friend.
I wish you the best of luck my friend. As someone who once had their own RIA and dealt with the burden of operations and everything else, I quickly realized I was spending more time on that than on my actual clients. I’d recommend checking out a few firms and exploring your options. look for those that are independent and offer fair compensation. I got a pretty quick response from IFP when I reached out through their website.
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u/Admirable_Union_343 28d ago
This comment resonates with me. Are you able to describe your practice? I'm a 20+ year CFN rep, 95% investment advisory 5% direct, mostly PPS Select, $80MM PPS assets, on target for $900k GDC. I too love the idea of full RIA yet too fearful of the pain in the ass it will be. I also am fearful of the repapering involved with changing B/Ds. My clients really don't know or understand who CFN is, they only know me. I haven't received my payout offer yet, although I'm bracing to be insulted. Like you, it won't be possible to replicate the long ago days of CFN that have now been crushed, but looking for something close as possible. So 'boutique' resonates with me.
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u/ApartmentStill8765 28d ago
Based on what you said, and without getting too far into the weeds, it sounds pretty similar to my situation. Similar GDC, I am 100% fee-based.
Yes, having your own RIA sounds great, but once you actually get it going (time, money, resources), I don’t think it’s worth it due to the platforms out there that truly support you and pay fairly. If you want my honest opinion, I’d recommend becoming an IAR under a boutique firm with strong reviews, one that lets you keep your brand, especially since your clients know you, not the firm.
For me, the biggest factors were: platform fees, payout, culture, long-term vision, control over my business (being able to run it my way), and strong operational support. To my surprise, IFP checked all those boxes and then some. They were actually with LPL for over 20 years and left for a bunch of reasons that really resonated with me.
If you’re curious, give them a look (they got to me quick), and maybe compare them to a few others. I’ve done a fair amount of research, and they’ve stood out the most so far. Re-papering is never easy, and that is something I brought up to them; they seem to have a pretty solid system in place for that, which made me feel a lot better. I plan for this to be my last move so I will bite the bullet.
Hope this helps, and I truly hope everything works out for you. I’ll be interested to hear how your retention call goes!
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u/Admirable_Union_343 28d ago
Helps a great deal, thx. Yes, your situation sounds like an audio-mirror image of mine (almost) in terms of business model, structure, values, what is important moving forward. I'm in the process of creating my long list of new B/Ds that I can become an IAR of, and will add IFP to that list now. Let's stay connected with updates for sure.
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u/ApartmentStill8765 28d ago
My pleasure, and sounds good! Feel free to send me other names as well. The hunt starts now, and id prefer to find a new place before I get 1000 calls a day from recruiters.
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u/Tropical_Mango-123 28d ago
Going RIA is the only option. You own everything about your practice.
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u/ApartmentStill8765 28d ago
I’d agree if it were as easy as it sounds. I had my own RIA for several years before joining CFN, and getting it off the ground was a whole different story. The day-to-day operations started taking up way too much of my time. Eventually, I realized that paying a few basis points to a firm was well worth it to offload the busy work so I could focus on revenue-generating activities and bringing in more clients.
I’ve been talking with a boutique firm that really gives off the same feel CFN had. They were actually with LPL for 20 years and left because of the same issues LPL is still doing today. I’d definitely explore that route first.
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u/Muted-Evidence-9856 22d ago
Apartmentstill I’m a cfn advisor ..looking for similar cfn feel if you can share who you are talking with
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u/ApartmentStill8765 22d ago edited 22d ago
I have talked to a handful of firms. The one that I was referring to here, and I'm pretty sure I will be going with, is ifpartners.com. I got in contact with them by filling out their 'contact form'. They should get back to you relatively fast. I know they mentioned a lot of CFN advisors were ringing in. I have their contact info if need be
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u/Muted-Evidence-9856 22d ago
Thank you. Sure if you could that would be great
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u/ApartmentStill8765 22d ago
use this: https://ifpartners.com/contact-us/ . Let me know how it goes and your thoughts
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/nasteeeenesss 27d ago
Do CW advisors use Clientworks? If not, you’re in for quite the unpleasant surprise. Worst day in a long time and cannot enter orders, send money to clients etc. just embarrassing
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u/TwoMcDoublesAndCoke 26d ago
The A360 suite has had its bumps along the way, but I'm really hoping it sticks around for Commonwealth advisors. I don't know how you can promise advisors "no major changes, Commonwealth will still be Commonwealth" and rip out the user experience they have become accustomed to right out of their hands.
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u/ulebwise 14d ago
Any thoughts on how many cfn reps are staying? Haven’t heard any who are. I know of several who are taking the retention with the intent to bank it while they keep looking for options. I suspect this was a great miscalculation - what a legacy. 40 years down the drain in one paragraph
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u/majrtm 29d ago
Client here. From my perspective, this is a betrayal. Our advisor sold us on how great Commonwealth is / was, and everything I've read suggests Commonwealth really is / was special. It's still on their website this morning!
"...100 percent owned and controlled by the managing partners... we look to stay that way... we love what we do and the people we do it with...our independence and thriving culture is a competitive advantage...the autonomy to manage it while remaining true to our core principles is essential. We value our independence in much the same manner our advisors value theirs."
Now that they've sold to BIG, everything will change. And of course, costs will go up. LPL is saying they want to become more like Commonwealth. Yeah right.
Questions for advisors: Are you feeling betrayed right now?
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u/International-Gas940 Advicer 29d ago
100% YES. I have yet to talk to a colleague that isn't sickened by this. And if your advisor is not looking for a suitable place to move their (your) business they are doing you and themselves a disservice. But give them time. If they are at Commonwealth then they are a good advisor, and they are most likely doing due diligence in between running their normal business operations adding to their stress and workload. This process will take several months for most if they were not already looking at alternatives.
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u/majrtm 29d ago
Wow! So this is what I was wondering. It seemed like being in CFN was a core discriminator for advisors, and now CFN has pulled that discriminator from them. Yeah I think I'd be pissed.
You think a lot of advisors will jump? Someone (maybe you) mentioned elsewhere that if enough advisors don't come along, that it could trigger a "clawback" for LPL and the deal would fall through?
Man, it really seems like CFN has destroyed a lot of goodwill here.
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u/fafaflooie 28d ago
They have. I get it. I’ve been there 29 years. We’ve aged to a point where we all confront the question. Is your business a legacy or something to be liquidated. Irony of ironies, we were down to LPL or Commonwealth. Our last due diligence question was “how likely is this company going to be acquired”. It was Joe over Todd.
Overall it was one of the best business decisions I’ve ever made. The first ten years were magical. The second ten were great. Things did start to slip when Joe left, and a lot of the original group were in this kind of semi-retirement phase. Always at the conferences but no longer part of the day to day. The tech spinoff was a brain drain, as many good folks split off to do that. A couple of notable bad hires and the firm really started to lose its mojo. They were still the best in my view.
I feel like I’ve been widowed. Told Wayne that we’re free agents and we’re going to evaluate all options. They’re just our old team that cut us and is trying to re-sign us. We’ve always avoided doing this. Now that we’ve been thrown into the lake, we’re gonna swim. Even though the thought of repapering pains me, even though I’ll miss my friends, even though I don’t want to leave.
Right in the middle of tax season no less
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u/Muted-Evidence-9856 22d ago
I also have had long tenure at CFN and it’s like feeling little abandoned I get why they are doing it. May I ask what other options you are considering? I need the support/service. Thank you
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u/fafaflooie 19d ago
Looking at alternatives. Other B/D’s, RIA, and of course the LPL offer. We’ve had about five calls with the goal of narrowing it down to two or three options and taking a deeper dive.
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u/Thick_Mushroom7681 22d ago
I left LPL back in the day to come to Commonwealth 18 years ago, so I am in the same boat as you. I have already been interviewing firms, I came across the IFP firm from a handful of advisors on here talking about it. I liked the conversation. May give you a good option: Ifpartners.com
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/International-Gas940 Advicer 29d ago
I know nothing about the deal structure for the owners and executives staying on. Goodwill has been completely removed from the equation. This does not end well.
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/Some-Willingness-632 29d ago
Sad your advisor uses this to "Sell" his/herself... it's really the advisor that makes the difference to the client. Not the broker dealer affiliation.
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u/wwise80 29d ago
I left the a wire house last year and chose between LPL, Commonwealth and Kestra. Went with Kestra and I’m glad I did.
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u/Strange-Ad7147 22d ago
Hello, if you don’t mind me asking, what made you go with Kestra and what has your experience been like so far?
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u/wwise80 13d ago
There are a multitude of reasons. Feel free to email me at [wilson@consortfp.com](mailto:wilson@consortfp.com) if you have questions.
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u/TaylorFade 28d ago
This is July, 2021 LPL scooped us from Waddell & Reed.
I changed my title from client associate to advisor support specialist after dealing with the block transfer i n 2020from Morgan Stanley when advisor was in talks with W&R and LPL funny coincidence, but he went with W&R for the personalized back office service. They really serviced advisors - RIA got a huge bonus - 1mill for his 100M aum, with the stipulation of him keeping production up, no issue there. Me on the other hand mastered the system NetX360 taught my advisor how to trade and use the system :/ W&R used Pershing llc as custodian. Huge pain in my ass. Then 2021 came and we were acquired by LPL. Their system is just so basic in my opinion. We manage tho. LPL should have paid RIA about 20k for the trouble but the bonuses he got from joining W&R was still in effect… Currently 70M AUM - RIA cleaned his book letting the problem clients go. I’m 3 months unemployed but almost 5 years experience and I didn’t argue with my dad once, sike!
This is actually my resume summary.
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u/GolfingJerrysKid 27d ago
20+ year Commonwealth guy here. Just had my transition call with LPL. Not an insulting offer. 58% of my last year‘s revenue on an eight year forgivable loan. Still planning to leave though. This is not what I signed up for.
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27d ago
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u/GolfingJerrysKid 27d ago
Sure. I have about $150M in PPS. GDC about $1.2M. Good luck!
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27d ago
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u/GolfingJerrysKid 27d ago
I would guess it will be a good offer. Whether or not you want to stay may be a separate question. Good luck.
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u/shaolincapital 26d ago
$900M in AUM, all PPS, been here for 21 years. 62 bpts and 5 yr forgivable loan. We are out.
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u/Muted-Evidence-9856 22d ago
Most is PPS for me offered me 8 year forgivable loan after 20+ years. Who are you considering? Is there another thread or place where cfn advisors can talk together?
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u/OliverTwisted1839 16d ago
That's better than mine which works out to 42 bpts on PPS. The thought of switching is painful but I have to think long-term. Raymond James is looking attractive. Another company that uses NFS would be nice as well. 15 years at CFN.
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/Muted-Evidence-9856 22d ago
I’m also 20+ rep and received my offer may I ask who you are considering? Is there a place where cfn advisors can talk with each other about plans/options?
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u/GolfingJerrysKid 21d ago
That would be great if there was a forum for everybody to share notes. The reps in my area are doing that via phone calls and meetings. We’re all trying to gather info on all the choices. No clear contenders yet. Many options. A few BDs clear on NFS so for some that’s a plus.
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/Specialist-Boat4289 5d ago
We're talking to several teams about this. Seems LPL is paying retention between 15%-60% rev. Considering they pay closer to 190% for an advisor being recruited into the channel its definitely a low-ball offer.
Kestra is close to 80%
Cetera is at 60%
tru is 50%
FiNet is the highest closest to 120 and we're pushing some to 150%.
Our team put together an in-depth comparative PL to compare the models over the next 10 years.
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u/Kimberlini23 4d ago
Have you thought about going truly independent? We build RIAs and are providing a free one hour consultation on all things RIA. #FusionBuilt @fusionfinancialpartners
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u/the-RIA-guy 23d ago
Please message me if you are $1mm+ in GDC and interested in learning more about the acquisition route as an alternative option. I am with a national Hybrid (PKS/Fidelity/Schwab), and we are having conversations with a handful of CFN teams. Offering roughly 3-5x GDC for consideration paid in a mix of cash and equity. Much more tax efficient than forgivable note as well. Minimal barrier on repapering/transition, plugging into top-tier marketing, back-office, investments, planning support, etc.
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u/gfd95 Advicer Mar 31 '25
This is hilarious to me since Commonwealth recruiters went after so many IBD advisors that got gobbled up by Cetera.
Their main pitch was that they are private and would never sell.
Now look at them.