Merrill Lynch

Recruit Deal

(Note: Offer closes to new candidates as of June 1)

225% to 275%

Upfront payment: 150% to 175%

Back-End PAYMENT**:

**Excludes qualified non-qualified retirement assets

Transfer 65% of assets within six months to receive 25% bonus

Year 1: Hurdle – 75% of assets

Payout bonus: 50% of production (from same year)

Year 2: Hurdle – 95% of assets

Payout bonus: 40% of production (from same year)

Year 3: Hurdle – 115% of assets

Payout bonus: 30% of production (from same year)

Year 4: Hurdle – 125% of assets

Payout bonus: 25% of production (from same year)

Year 5: Hurdle – 155% of assets

Payout bonus: 25% of production (from same year)

PTA PROGRAM

Professional Transitional Advisors applies to new recruits with 3-8 years Length of Service

Includes three-year salary guarantee to supplement income during the transition plus a portion of grid-based compensation.

Comp/Payout

Incentive Cash Grid

Production	Payout
$5,000,000	50%
$3,000,000 – $2,999,999	48%
$2,000,000 – $2,999,999	47%
$1,500,000 – $1,999,999	46%
Retroactive Grid
$1,050,000 – $1,499,999	43%
$850,000 – $1,049,000	42%
$650,000 – $849,999	41%
$450,000 – $649,999	40%
$350,000 – $449,999	38%
$250,000 – $349,999	35%
$0 – $249,999	35%

*Hurdles increased by $50,000 for under $1,500,000 in production in 2016

**Merrill Lynch determines payout according to production “credits,” which may be less than the total revenue the advisor has brought in

Small Household Policy:

Generally, no payout for households under $250,000 although advisors with less than 20% of clients under $250,000 can earn 20% on revenue from those households.

Strategic Growth Award

Strategic Flows	Base Payout	New HH Enhanced Payout
<$10 million	10 bps	15 bps
$10 – $50 million	20 bps	30 bps