Broker/Dealer Briefing: Commonwealth Takes the Top Spot

JD: Commonwealth was founded in 1979, even before the introduction of the personal computer, so the changes have been dramatic. But it's not just technology–business was so much simpler then. Investment management and wealth management are much more integrated and a long list of powerful applications can be performed in minutes. Both investors and advisors have access to pretty much the same technology so now advisors need to be much more capable and better versed. In 1989 we were the first independent broker-dealer to establish a practice management department. Today, that observation is taken for granted, but back then it was a major change. In a related vein, our Professional Development curriculum for the home office staff has evolved from just a handful of classes to a robust list of 339 distinct offerings. Compliance and regulatory requirements are another area that has exploded, and we have had to respond in kind there as well. But it's not simply about responding–rather, at Commonwealth we always want to be the premier provider of content and assistance for our constituencies.

IA: So why Commonwealth? What sets you apart?

JD: We simply don't have the conflicts of interest that most other businesses (and virtually all other broker/dealers) have. We're on the same side of the fence as our staff and advisors. We are not owned by some parent company with different objectives or proprietary product. We are not traded publicly and therefore don't concern ourselves with quarterly earnings in an unhealthy manner. We don't have corporate executives who are compensated in a way that is contrary to the rest of the staff or the needs of the clients. We also have over 30 years of experience and expertise, coupled with solid financials and healthy cash flows. We simply have the luxury and the ability to do it right. So… with all that in mind, we focus on making the experience rewarding and enjoyable for all of our constituencies: advisors, staff, industry partners and even regulators. All this plays out differently for everyone, depending on their needs and desires at the time. I would also add that each year we survey our advisors on our service ratings (as well as a host of other variables) and they have consistently improved with time, and today, they are at their historic highs.

IA: So how do you plan on sustaining your winning-streak?

JD: As I mentioned, it's all about quality and community. Just words until you know the people behind the accomplishments. And in the end, what I'm most proud of is the people and the relationships and how Commonwealth has become such an important and dependable factor in so many lives. We've been there through career and personal growth, marriages and divorces, births and deaths, and everything else imaginable.

Editor-in-Chief John Sullivan can be reached at [email protected].