Morgan Stanley has hired a huge Merrill Lynch Private Wealth Management team based in New Jersey and Florida as it contributes 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 in addition to 3 client associates. They’d been generating $7.5 million in annual fees and commissions, in accordance with a person familiar with the practice of theirs, and joined Morgan Stanley’s private wealth team for clients with twenty dolars million or even more in their accounts.
The staff had managed $735 million in client assets from 76 households that have an average net worth of fifty dolars million, as reported by Barron’s, which ranked Catena #33 out of 84 top rated advisors in Florida in 2020. Mindy Diamond, an industry recruiter which worked with the group on the move of theirs, said that the total assets of theirs were $1.2 billion when factoring in new clients and market appreciation in the two years since Barron’s assessed their practice.
Catena, who spent all however, a rookie year of his 30 year career at Merrill, did not return a request for comment on the team’s move, which happened in December, according to BrokerCheck.
Catena made the decision to move after the son Steven of his rejoined the team in February 2020 and Lawrence began considering a succession plan for the practice of his, according to 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 the son of his, 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 actually launching a different enhanced sunsetting program in November which can add an extra 75 percentage points to brokers’ payout whenever they agree to leave their book 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, based on FintechZoom.
Beiermeister, that works individually from a part in Florham Park, New Jersey, began the career of his at Merrill in 2001, according to BrokerCheck. Fonte started her career at Merrill in 2015.
A spokesperson for Merrill didn’t immediately return a request for comment.
The group is actually a minimum of the fifth that Morgan Stanley has hired from Merrill in recent months as well as appears to be the biggest. In addition, it selected a duo with $500 million in assets in Red Bank, New Jersey last month as well as a pair of advisors producing aproximatelly $2.6 million from Merrill in Maryland.
In December, Morgan Stanley lured a solo producer in California who had won asset growth accolades from Merrill and in October hired a 26 year Merrill lifer in a Chicago suburb that was producing 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 first time in recent years it closed its net recruiting gap to near zero as the number of new hires offset those that left.
It ended 2020 with 15,950 advisors – 482 more than 12 months earlier and 481 higher than at the conclusion of the third quarter. Much of the increase came from the inclusion of more than 200 E*Trade advisors who work largely 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.