Morgan Stanley has hired a huge Merrill Lynch Private Wealth Management team based in New Jersey and Florida as it adds to the list of multi-million-dollar hires from the rival wirehouse.
The group includes Lawrence W. Mercedes Fonte, Erik Beiermeister, Steven, his son, and Catena as well as 3 clientele associates. They had been generating $7.5 million in annual fees and commissions, in accordance with a person familiar with their practice, and joined Morgan Stanley’s private wealth team for clients with twenty dolars million or perhaps more in their accounts.
The team had managed $735 million in client assets from seventy six households which have an average net worth of $50 million, according to Barron’s, which ranked Catena #33 out of eighty four top rated advisors in Florida in 2020. Mindy Diamond, an industry recruiter which worked with the team on their move, said that the total assets of theirs were $1.2 billion when factoring in new clients and market appreciation in the 2 years since Barron’s assessed the practice of theirs.
Catena, who spent all but a rookie year of his 30 year career at Merrill, didn’t return a request for comment on the team’s move, which happened in December, based on BrokerCheck.
Catena made the decision to move after his son Steven rejoined the team in February 2020 and Lawrence began considering a succession plan for the practice of his, as reported by Diamond.
“Larry always thought of himself as a lifer with Merrill with no intention to come up with a move,” Diamond wrote in an email. “But, when his son, Steven, came into the business he started viewing his firm with a brand new lens. Would it be good enough for the life of Steven’s career?”
The move comes as Merrill is launching a brand-new enhanced sunsetting program in November that can add an additional seventy five percentage points to brokers’ payout whenever they consent to leave the book of theirs at the firm, but Diamond said the updated Client Transition Program wasn’t “on Larry’s radar” after he’d decided to make the move of his.
Steven Catena started the career of his at Merrill in 2016 but sojourned at Prudential Investment Management from 2017 until 2020 before rejoining, according to FintechZoom.
Beiermeister, which works separately from a part in Florham Park, New Jersey, started his career at Merrill in 2001, based on BrokerCheck. Fonte started the career of her at Merrill in 2015.
A spokesperson for Merrill didn’t immediately return a request for comment.
The group is a minimum of the fifth that Morgan Stanley has hired from Merrill in recent months and also appears to be the biggest. Additionally, it employed a duo with $500 million in assets in Red Bank, New Jersey last month in addition to a pair of advisors producing about $2.6 million from Merrill in Maryland.
In December, Morgan Stanley lured a solo producer in California which had won asset growth accolades from Merrill and in October hired a 26-year Merrill lifer in a Chicago suburb who was generating more than two dolars million.
Morgan Stanley aggressively re entered the recruiting market last year after a three-year hiatus, and executives have said that for the very first time recently it closed its net recruiting gap to near zero as the amount of new hires offset those who actually left.
It ended 2020 with 15,950 advisors – 482 more than 12 weeks earlier and 481 higher than at the conclusion of the third quarter. A lot of the increase came out of the inclusion of around 200 E*Trade advisors that work primarily from call centers, a Morgan Stanley executive said.
Merrill Lynch, that has stood by the freeze of its on veteran broker recruiting put in place in 2017, no longer breaks out the number of its of branch-based wealth management brokers from its consumer-bank-based Edge brokerage force.