Blog: Bearmoor Notes

Thursday, December 25, 2008

Is the Grinch Lurking Within Your Wealth Management Business? Asset Management Firms Announce Layoffs.

The financial environment in which we currently operate has been turbulent to say the least. Reactions to this wild ride have varied and we may not know the results of the decisions until some time has passed. While the act of making a decision is better that not making one; laying off quality individuals within the Wealth Management business may not always be the best long term solution. In the December 15, 2008 edition of FundFire there is discussion on the recent layoff announcements at UBS, Bank of America and several firms.

Perhaps additional focus should be placed on top-line revenue as well. The Bearmoor process continues to identify and implement top-line revenue opportunities that generate annual revenue lifts in excess of 15% (excluding market appreciation/depreciation). In addition, a recent report outlined in Fiduciary Earnings & Expense (FEE), a publication of TRN, indicated that the revenue gap between bank trust divisions and independent trust companies is widening.

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