Скачать или смотреть You As A Financial Advisor Just Got Terminated! Now What???

Financial Advisor: you’ve been terminated, now what?
Top tips for an advisor facing a termination

Navigating a termination is stressful and unsettling. We know just how difficult it can be, as we have helped advisors in these unexpected and challenging situations for over 30 years. The main point I like to make to advisors facing termination is there is reason to be optimistic, assuming you navigate the process correctly. Below are the most important steps to take.

1) Ask the right questions- when an advisor gets the call, informing them of a termination, it’s very common to freeze and not ask questions that will help them land with a new firm. Don’t get off that call until you ask this question! What will be marked on your record? There are four options firms have when filing a U5 (the form filled out when an advisor leaves a firm). Voluntary resignation, permitted to resign, full termination, and "other." If the firm is planning on checking the permitted to resign or termination box, they must disclose their reasoning. Find out which box they will check and the language to be used to explain the disclosure.

2) Seek legal counsel- if you are having a difficult time getting answers to the above questions or the language provided doesn’t represent the situation accurately or you are uncomfortable for any reason, you should immediately contact a securities attorney. Doing so will ensure you are represented fairly and that you have guidance on how to approach your clients.

3) Work with a third-party recruiter with experience- I can’t emphasize this tip enough. When time is of the essence, like it is with a termination, an honest and experienced recruiter can help you navigate your options. I have seen it all too often, an advisor is told they will be accepted by a new firm by the internal recruiter, just to find out weeks later the compliance department was unable to get comfortable. If you work with a top third-party recruiter, it assures you receive a realistic assessment of the type of broker dealer/RIA you can join, how to approach each firm, gives you an inside track with those options and provides an expedited process to get you back up and running.

4) Be transparent- I always council advisors to disclose everything they know about the situation. Discussing every detail ensures nothing will come up in the future to derail the relationship with your new firm. I have witnessed far too many situations where advisors fail to disclose everything with the new firm, resulting in mistrust and the possibility of being asked to leave the new firm.

While a termination can be a challenging experience, it doesn't have to define your career. I have the experience to know bad things happen to good people and that with the right resources and information, there is hope of joining a firm that’s an even better fit.


Jodie Papike is the CEO of Cross-Search, a third-party, independent broker dealer/RIA recruiting firm that connects advisors with the right broker dealers and RIAs. For more information visit www.Cross-Search.com
800-247-3272