The Protocol for Broker Recruiting, which has about 1,700 members, has a new administrator — Capital Forensics.
Since May 2015, the Broker Protocol was administered by the law firm Bressler, Amery & Ross. However, in November — when Morgan Stanley left the pact — questions were raised about the firm’s handling of information. Bressler, Amery & Ross counts Morgan Stanley, UBS, Wells Fargo and several other large firms among its clients, according to industry sources.
UBS and Citigroup also left the pact after Morgan Stanley did so. Merrill Lynch, however, has stayed in it.
“We’re honored to have been selected for this role, and CFI views it as an opportunity to demonstrate our support for the continued success of the securities industry,” said Capital Forensics’ Chairman and CEO, Vadim Khavinson, in a statement.
In its role, the Palatine, Illinois-based firm says it will maintain and distribute lists of protocol signatory firms and their contact information. It will not provide legal advice related to the protocol or “police signatories’ conduct as it relates to the protocol,” it said.
“Our immediate goal is to ensure a smooth transition of those responsibilities,” Khavinson explained.