Another $8 Mln Walks Out the Door at Wells
Wells Fargo Advisors’ attempt to keep its brokers in place suffered an $8 million setback in recent days as teams in Texas and California left its private wealth branch network.
A three-broker team overseeing $700 million and generating about $2.3 million in fees in Austin, Tex., defected to a branch of Raymond James Financial’s employee channel, Raymond James Associates, in that city at the end of April.
The previously unreported move was led by John Martin, who had been with Wells and its A.G. Edwards predecessor since late 1989, and included advisors Ross Dowling, Josh Zeller, and two client service associates. The team operates as Sage Creek Wealth Management.
Reached by phone, Martin declined to elaborate on his reasons for the move, other than to say he is happy and to confirm the revenue and AUM numbers that sources shared with AdvisorHub. The broker began his 34-year brokerage career at Dean Witter in 1984 and also worked at former Dallas regional Rauscher Pierce Refsnes before joining Edwards in 1989.
Wells Advisors has been trying to dam the accelerating stream of brokers that have been leaving the firm since the outbreak of a fake bank account scandal at its sister bank in late 2016, and earlier this year leveraged recruiting packages and headhunter bonuses to attract some veteran advisers from UBS Wealth Management Americas and Merrill Lynch. But firms such as Raymond James and banks such as First Republic continue to lure advisers.
On Friday, San Francisco-based First Republic hired Wells Advisors’ Vincent Lovoy, Adam MacDonald, and Todd Halbrook to its private wealth management group, the bank announced. The brokers, who did not immediately respond to requests for comment, managed about $850 million in client assets and generated almost $6 million in annual revenue, said a person familiar with their move.
They had been with Wells Fargo since 2008, according to BrokerCheck. Lovoy, who spent almost half of his 34-year career at Smith Barney before joining Wells, also has worked at Kidder, Peabody & Co., Lehman Brothers and Crowell, Weedon & Co. in 1984. Halbrook was with Smith Barney for 12 years prior to joining Wells Fargo, while MacDonald began his career with Ameriprise Financial Services in 2006 before moving to A.G. Edwards and successor Wells in 2007.
A spokeswoman for Wells Fargo declined to comment on the departures.