Bank of America-Merrill Lynch is working on new pay incentives to further motivate its advisers to zoom in on wealthier clients, according to a Dow Jones blog released Monday.
Plans for a new enhanced grid were described in an internal company document obtained by Dow Jones. “The proposal is under review, and we decline to comment further,” a Merrill spokesperson said in a statement.
The new incentives aim to support both advisors and teams who, for instance, have 80% of their business with clients that have $250,000 or more in investable assets. Merrill now has some 15,700 advisors and is led by Sallie Krawcheck.
In addition, advisors’ books of business should include 150 households or less, according to Dow Jones. Other objectives reportedly require that advisors have at least 98% client retention, 35% of client assets in fee-based accounts and clients using several products, such as both retirement planning and bank products.