UBS Wealth Management Americas Introduces New Operating Model
June 08 2016 - 5:30PM
Business Wire
New field structure, FA compensation model designed to move
decision-making and resources closer to clients, increase advisor
retention, and drive organic growth.
Follows recent investments in technology and enhanced
partnership with UBS’s non-US Wealth Management business
UBS Wealth Management Americas (WMA) announced today it is
introducing a new operating model designed to move decision-making
and resources closer to clients and drive organic growth through an
increased focus on advisor retention. Specifically, WMA is changing
its field structure and its compensation plans for financial
advisors and field management, as well as reducing advisor
recruiting by 40 percent.
“With an enhanced operating model that builds on our success
over the past six years, we are positioning UBS Wealth Management
Americas to deliver an even better experience for our clients and
their financial advisors,” said Tom Naratil, President Americas and
WMA. “We are realigning resources and investing in our people and
platform, while putting a stake in the ground that relentless and
costly advisor recruiting is not sustainable as a growth strategy
in this industry.”
WMA initiated several changes as part of the new operating
model, including:
- Delayering the field structure:
WMA will now be organized into four divisions, 43 markets and 208
branches. Previously, its structure included two divisions, eight
regions, 63 complexes and 189 branches. By eliminating the regional
layer and realigning into larger markets, WMA is giving field
leaders broader spans of control and moving decision-making
authority closer to clients.
- Enhancing and simplifying FA
compensation: As part of a shift in focus from recruiting to
retaining and rewarding its best advisors, WMA has launched a
simpler advisor compensation plan that is easier to understand and
rewards productivity, growth and loyalty. The plan includes
increased payouts for advisors with the largest books of business,
incentives for advisors to form teams, which has been shown to
benefit clients, and an enhanced program for advisors seeking to
transition out of the business and transfer their practice to
another UBS advisor.
- Aligning Field Manager
compensation: WMA is modifying its compensation plans for field
leaders so that they are both rewarded and held accountable for the
decisions they make.
- Shifting home office resources to
the field: WMA is streamlining management in its home office in
order to reinvest in staff and resources that make a tangible
difference for clients and advisors.
Today’s announcement follows WMA’s recent investment and
strategic alliance with SigFig to develop financial technology for
WMA, and last month's announcement that WMA would collaborate more
closely with the UBS Wealth Management business outside the US to
achieve synergies and enhance services.
“Together, these changes help minimize bureaucracy and eliminate
obstacles that can distract us from improving our clients' lives,
while expanding our advisors’ capabilities and enhancing the client
experience,” said Naratil. “UBS WMA has strong momentum and a
unique opportunity to ‘feel small and play big’ by combining the
client focus of a boutique firm with all the capabilities of the
only truly global wealth manager. Coupled with the most productive
advisors in the industry, this operating model will take us even
further on our journey to being the firm of choice for ultra- and
high-net worth clients and their advisors.”
As part of the new field structure, Brian Hull will continue as
Head of the Client Advisory Group, overseeing four divisions, led
by: Jason Chandler (Northeast), Bill Carroll (Central), Brad Smithy
(Southeast), and Lane Strumlauf (West). John Mathews will continue
as Head of Private Wealth Management.
About UBS
UBS provides financial advice and solutions to wealthy,
institutional and corporate clients worldwide, as well as private
clients in Switzerland. The operational structure of the Group is
comprised of our Corporate Center and five business divisions:
Wealth Management, Wealth Management Americas, Personal &
Corporate Banking, Asset Management and the Investment Bank. UBS's
strategy builds on the strengths of all of its businesses and
focuses its efforts on areas in which it excels, while seeking to
capitalize on the compelling growth prospects in the businesses and
regions in which it operates, in order to generate attractive and
sustainable returns for its shareholders. All of its businesses are
capital-efficient and benefit from a strong competitive position in
their targeted markets.
UBS is present in all major financial centers worldwide. It has
offices in 54 countries, with about 34% of its employees working in
the Americas, 35% in Switzerland, 18% in the rest of Europe, the
Middle East and Africa and 13% in Asia Pacific. UBS Group AG
employs approximately 60,000 people around the world. Its shares
are listed on the SIX Swiss Exchange and the New York Stock
Exchange (NYSE).
Wealth Management Americas
Wealth Management Americas is one of the leading wealth managers
in the Americas in terms of financial advisor productivity and
invested assets. Its business includes UBS’s domestic US and
Canadian wealth management businesses, as well as international
business booked in the US. It provides a fully integrated set of
wealth management solutions designed to address the needs of ultra
high net worth and high net worth clients.
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version on businesswire.com: http://www.businesswire.com/news/home/20160608006485/en/
UBSMediaGregg Rosenberg,
+1-212-713-8842gregg.rosenberg@ubs.com
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