Alliance Bernstein may be most well known for its asset management business, as it rivals some of the biggest names in finance. But less well known is the firm’s wealth advisors who manage billions for UHNW investors and families.
In the past two years, Bernstein advisors have become prime targets of wirehouse firms in money center cities. UBS, Morgan Stanley and RBC, have been active in grabbing big teams from AB.
So Bernstein thought it wise to try to lock in it’s best and biggest advisors. Lol, nice try. They put contracts (retention agreements) that added 2 bps to their measly 20 bps payout and a few extra dimes and dollars to their retirement package. Literally, pennies on the dollar compared to the likes of UBS.
Bernstein teams and some of their larger advisors haven’t slowed in taking calls from recruiters and rival managers offering deals that are 10x better than what their current firm is offering as an ‘upgraded’ retirement package.
The attempt to retain their best has all but backfired.
