View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
November 28, 2017

UBS to withdraw from pact on broker recruiting

UBS is set to exit a 13-year-old broker recruiting agreement that allowed brokers to switch firms without the threat of lawsuits by former employers.

The Protocol for Broker Recruiting, inked in 2004, allowed brokers to take certain client information with them when moving to other firms and use the information to call clients and ask them to move their accounts. Till date, over 1,600 firms have signed the pact.

The pullout from the agreement will be effective from 1 December 2017. Late last month, Morgan Stanley too announced plans to withdraw from the broker protocol.

“Our industry has evolved significantly since the initiation of the Broker Protocol in 2004, with changes in regulations, technology and a major shift towards wealth management and financial planning.

“As our operating model is more focused on retaining our existing advisors than recruiting to grow our business, UBS will no longer be subject to the Protocol effective Friday, December 1, 2017,” UBS Wealth Management Americas president Tom Naratil said in a memo.

Topics in this article: ,
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Wednesday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Private Banker International