Louis Diamond Quoted
By Danielle Verbrigghe
UBS has followed Morgan Stanley in exiting the protocol for broker recruiting, dealing a serious blow to the landmark agreement meant to limit litigation when advisors change firms.
“When one firm makes a big move like this, the other ones follow,” says Louis Diamond, V.P. of Diamond Consultants, an advisor recruiting firm.
It seems likely that Merrill Lynch, which has also made efforts to scale back recruiting, could be the next one to leave the agreement, Diamond says, noting that he doesn’t have specific knowledge of the firm’s plans.