Ex-UBS Broker with $7 Million Production Joins Connecticut RIA
A former UBS Wealth Management USA broker who left in May has reunited with former colleagues at a Connecticut advisory firm.
Steven J. Mitchell joined a New York City office of Procyon Partners, an RIA founded in 2017 by ex-UBS broker Phil Fiore, on Tuesday, following an 11-year UBS career that ended in May.
“I was always intrigued with the RIA and independent space,” Mitchell said in an interview, noting that he knew Fiore at UBS and was won over by his former colleague’s success in growing client assets to $3 billionover the past three years.
Both Mitchell and Fiore left their wirehouse careers after running afoul of UBS’s compliance department, according to regulatory records.
UBS discharged Mitchell on May 7 for violating firm standards, according to a CRD Snapshot Report maintained by state securities regulators. He failed to complete mandatory training modules, was late in submitting online disclosures and failed to “respond to clients and management in a timely manner,” according to the CRD report.
UBS discharged Fiore in 2016, in part for failing to inform the firm of client-related outside business activities, and also sought a restraining order against him when he and five associates launched his independent advisory firm in April 2017 .
A spokeswoman for Dynasty Financial Partners, which provides financing and operational support for Procyon and which publicized Mitchell’s arrival, declined to comment.
A UBS spokeswoman declined to comment.
Mitchell did not discuss his reasons for leaving but said he evaluated “many opportunities” before settling on Procyon.
At UBS, Fiore was a partner on a 14-person team in Stamford, Conn., that produced $6 million in annual revenue and managed around $8 billion in assets.
Large firms have intensified compliance oversight amid heightened regulatory scrutiny, dismissing even substantial producers over what some industry veterans consider peccadilloes and others say reveal ethical challenges. Merrill Lynch in June discharged partners on a private wealth team with at least $3 million in revenue for failing to personally complete mandatory compliance modules.
Mitchell’s BrokerCheck record has only one disclosure event, a 2002 client complaint over a margin call. The firm denied the complaint.
Procyon earlier this summer received a Payroll Protection Program loan of $320,600 from the government, according to its ADV brochure filed with regulators and customers. It said the loan would be used for staff payroll, which under terms of the program could make it forgivable.
“While Procyon deemed it prudent to apply for, and received, a PPP loan in order to ensure our ability to retain our highly skilled employees, there are no financial conditions that are reasonably likely to impact the firm’s ability to meet contractual commitments to clients,” it said in the disclosure brochure.