Discussion has erupted after The Adviser revealed an ongoing legal battle over client ownership.
As reported last week, a brokerage has been embroiled in a legal battle after a former employee started their own competing business, and attempted to poach his former clients.
A number of brokers have expressed differing opinions on the topic. One broker said: “As an employer I wouldn't be to keen on a broker taking part of my asset off to another company. I'd rather give them a percentage of the client ownership and then when they go to start their own show they can buy the remainder and you just transfer the ownership across to the broker.”
Another said: “I am always intrigued when I hear mention of the expression "who owns the client"…If you are a broker, you would be crazy to sign such an agreement that you couldn't take your clients with you when you leave.”
This week you decide who ‘owns’ the client by CLICKING HERE.
