Seek Professional Help
Meanwhile, firms say they are committed to better equipping their sales assistants to support their advisors but SAs' are quick to point out that it's not a very coordinated effort. According to Registered Rep.'s annual sales assistant survey, only 7.6 percent of the respondents say they receive formal, structured training. By keeping them from learning the nuts and bolts of the business, the firms can justify their lower pay, some SAs say.
Registered sales assistants tend to get a bonus or added pay from the reps they support — a median bonus of $6,704 last year — largely because they deserve it and their reps couldn't do business without them. But SAs biggest complaint remains that there are “too many responsibilities for too little pay,” as one survey participant said. “The firms that disregard the value of a sales assistant and put unrealistic demands on certain levels of compensation really hurt themselves,” says Mike Stern, a top-producing Wachovia rep in Vineland, N.J. who specializes in estate planning.
And if you, the advisor, find yourself running in place like Joe Sheehan was, maybe it's time to up the ante and get yourself a trained professional. “Don't look at it as a lump-sum payment. You're investing for the future,” he says. “If you want to work with high-end clients, you need an experienced person.” As the adage goes, you've got to spend money to make money. Why not spend your beans on someone trained to count them?
|
| Total Compensation | Bonus |
|---|---|---|
| Experience | ||
| 20+ years | $57,646 | $12,000 |
| 15 to 19 years | 54,545 | 11,250 |
| 10 to 14 years | 49,230 | 7,030 |
| 6 to 9 years | 44,999 | 6,041 |
| 3 to 5 years | 39,999 | 4,317 |
| Fewer than 3 years | 39,999 | 1,999 |
| Primary job responsibility | ||
| Client management | $52,333 | $8,928 |
| Client service | 43,333 | 5,714 |
| Series 7 | ||
| Yes | $49,736 | $7,356 |
| No | 41,000 | 4,642 |
| Type of firm | ||
| Wirehouse (more than 2,000 reps) | $49,999 | $7,291 |
| Regional (200 to 1,999 reps) | 47,307 | 7,499 |
| Type of practice | ||
| Fee-based using mutual funds | N/A | N/A |
| Commission-based on sale of individual securities | $42,500 | 4,624 |
| Separately managed accounts | 49,999 | 7,142 |
| Mix | 47,599 | 7,142 |
| Region | ||
| New England | N/A | N/A |
| Mid-Atlantic | $51,765 | $4,807 |
| East North Central | 44,999 | 5,750 |
| West North Central | 47,500 | 7,499 |
| South Atlantic | 49,230 | 8,125 |
| East South Central | N/A | N/A |
| West South Central | 49,999 | 7,499 |
| Mountain | N/A | N/A |
| Pacific | 51,667 | 9,999 |
| Involvement in rep goals/strategies | ||
| Not involved or aware | $42,741 | $3,055 |
| Aware but not involved in their development | 47,767 | 6,833 |
| Provide some input | 47,999 | 7,812 |
| Integral part of strategy development | 54,285 | 7,499 |
| Source: Prism Business Media Marketing Research | ||
|
| Respondents | Percentage |
|---|---|---|
| FA's production | 159 | 51% |
| Achievement of preset goals | 54 | 17 |
| The discretion of the FA | 128 | 41 |
| The discretion of the firm | 128 | 41 |
| Do not receive a bonus | 14 | 4 |
|
| Respondents | Percentage |
|---|---|---|
| Less than $20,000 | 3 | 1% |
| $20,000 to $24,999 | 8 | 3 |
| $25,000 to $29,999 | 15 | 5 |
| $30,000 to $34,999 | 28 | 9 |
| $35,000 to $39,999 | 37 | 12 |
| $40,000 to $44,999 | 41 | 13 |
| $45,000 to $49,999 | 41 | 13 |
| $50,000 to $54,999 | 61 | 21 |
| $55,000 to $59,999 | 0 | 0 |
| $60,000 to $69,999 | 29 | 9 |
| $70,000 to $79,999 | 23 | 7 |
| $80,000 to $89,999 | 10 | 3 |
| $90,000 to $99,000 | 3 | 1 |
| $100,000 or more | 10 | 3 |
| Median compensation: $48,170 | ||
|
| Respondents | Percentage |
|---|---|---|
| None | 25 | 8% |
| $1 to $999 | 24 | 8% |
| $1,000 to $2,499 | 33 | 11% |
| $2,500 to $4,999 | 46 | 15% |
| $5,000 to $7,499 | 44 | 14% |
| $7,500 to $9,999 | 30 | 10% |
| $10,000 to $14,999 | 38 | 12% |
| $15,000 to $19,999 | 25 | 8% |
| $20,000 to $24,999 | 14 | 4% |
| $25,000 or more | 35 | 11% |
| Median compensation: $6,704 | ||
| Source: Prism Business Media Marketing Research | ||
Outstanding Sales Assistants 2006
The brokerage industry is overflowing with sales assistants who go above and beyond to keep their practices running smoothly. Here are profiles of five such assistants.
The Partner: Susanne Chontos
J.B. Hanauer & Co.
Susanne Chontos is so good with Gregg Auerbach's clients that even his mother prefers to speak with her rather than her advisor/son about finance. It's no wonder Auerbach credits Chontos for helping to triple his production from $400,000 to over $1 million in the seven years they've worked together.
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