Morgan Stanley has taken over as the largest and most powerful wealth management name in the world. Merrill Lynch used to hold that venerable distinction, but they cucked it up during the financial crisis and have continued to do so ever since.
Morgan Stanley is now the 800 lb gorilla of the industry. The most advisors (EDJ doesn’t count), global reach, international platform, name, history, performance, big recruiting deals… its big boy wealth management and finance.
Which is why they seem to be emboldened when it comes to recklessly firing long-tenured advisors and scratching through the rubble after the fact. The play, if you will, is that the discharges brokers don’t have the means or long suffering to engage in a years long wrongful termination suit with a global financial institution.
Lately, the firings have had to do with the sun setting of retiring brokers accounts and how revenues were split between parties. Instead of speaking to the advisors that had retired regarding the arrangements that had been made, Morgan Stanley simply executed a ‘fire, ready, aim’ legal strategy.
The firm keeps the larger share of the assets, the agreement is nixed and they employ a ‘dare ya’ legal strategy betting that the parties won’t pursue damages to their career and earnings.
Sound like a firm you want to work for?? Listen, these aren’t the kind of indefensible crimes associated with stealing funds from customer accounts to bolster ones lifestyle; rather, agreements between advisors that have long since retired.
Compliance justifying their own existence, and management going along for the ride.
Instead of believing your firm thinks you’re the greatest thing since sliced bread… we’ve said it many times before; be vigilant in how you protect yourself legally.
