Commonwealth Financial Network says it reached its highest level of new-advisor (or recruited-advisor) revenue in the firm's 30-year history. The independent broker/dealer-RIA "optimized a year of heavy movement between advisors and broker/dealers to hand-select the most successful advisors in the industry," it explains.
Commonwealth's average revenue per new, or recruited, advisor increased 40 percent year-over-year, reaching $350,000 in gross dealer concessions (GDC), which includes sales commissions. In total, the firm's 2009 new advisor revenue exceeded $60 million.
The Waltham, Mass.-based broker dealer says it requires one of the highest minimums in the industry, $200,000, for new advisors to join the firm.
"We appreciate that growth is critical, but we remain focused on the careful addition of quality advisors to ensure a positive influence on our culture and high-touch service model," shares Andrew Daniels, managing principal, field development.
In addition to bringing new advisors on board, Commonwealth says it increased its home office employee headcount by 13 percent in an effort to support its network of existing advisors during the economic recession.
"We wanted to ensure that our network of advisors received the highest level of support during one of the most challenging years in our industry," Daniels explains.
Founded in 1979, Commonwealth Financial supports more than 1,300 independent registered representatives nationwide.