Morgan Stanley has hired a significant 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 and also 3 customer associates. They’d been generating $7.5 million in annual fees and commissions, in accordance with a person familiar with the practice of theirs, as well as joined Morgan Stanley’s private wealth team for clients with twenty dolars million or more in the accounts of theirs.
The staff had managed $735 million in client assets from seventy six households that have an average net worth of $50 million, based on Barron’s, which ranked Catena #33 out of eighty four best advisors in Florida in 2020. Mindy Diamond, an industry recruiter who worked with the team 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 2 years since Barron’s assessed the practice of theirs.
Catena, who spent all though a rookie year of the 30-year career of his at Merrill, did not return a request for comment on the team’s move, which took place in December, as reported by BrokerCheck.
Catena decided 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 objective to make a move,” Diamond wrote in an email. “But, when his son, Steven, came into the business he soon started viewing the firm of his through a whole new lens. Would it be good enough for the life of Steven’s career?”
The move comes as Merrill is launching a unique enhanced sunsetting program in November that can add an additional seventy five percentage points to brokers’ payout whenever they consent to leave their book at the firm, but Diamond said the updated Client Transition Program was not “on Larry’s radar” after he’d decided to make his move.
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, that works separately from a part in Florham Park, New Jersey, started his career at Merrill in 2001, as reported by BrokerCheck. Fonte started her career at Merrill in 2015.
A spokesperson for Merrill did not 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. It also hired a duo with $500 million in assets in Red Bank, New Jersey last month as well as 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 producing more than $2 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 times it closed its net recruiting gap to near zero as the amount of new hires offset those that left.
It ended 2020 with 15,950 advisors – 482 more than twelve weeks earlier and 481 higher than at the end of the third quarter. A lot of the increase came from the inclusion of around 200 E*Trade advisors who work largely from call centers, a Morgan Stanley executive said.
Merrill Lynch, which 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.