Morgan Stanley has hired a big Merrill Lynch Private Wealth Management team based in New Jersey and Florida

Morgan Stanley has hired a huge Merrill Lynch Private Wealth Management team based in Florida and New Jersey 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 and also 3 customer associates. They had been generating $7.5 million in annual fees and commissions, based on a person familiar with their practice, and also joined Morgan Stanley’s private wealth group for clients with twenty dolars million or more in the accounts of theirs.
The team had managed $735 million in client assets from 76 households that have an average net worth of $50 million, based on Barron’s, which ranked Catena #33 out of eighty four top rated advisors in Florida in 2020. Mindy Diamond, an industry recruiter that worked with the group on their move, 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 but a rookie year of his 30-year career at Merrill, didn’t return a request for comment on the team’s move, which occurred in December, based on BrokerCheck.

Catena decided to move after the son Steven of his rejoined the team in February 2020 and Lawrence started considering a succession plan for his practice, based on Diamond.

“Larry always thought of himself as a lifer with Merrill-with no intention to make a move,” Diamond wrote in an email. “But, when the son of his, Steven, came into the business he soon began viewing the firm of his with a whole new lens. Would it be good enough for the life of Steven’s career?”

The move comes as Merrill is actually launching a unique enhanced sunsetting program in November which can add an extra seventy five percentage points to brokers’ payout once they consent to leave the book of theirs at the firm, but Diamond said the updated Client Transition Program was not “on Larry’s radar” after he had 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, which works individually from a branch in Florham Park, New Jersey, began his career at Merrill in 2001, based on BrokerCheck. Fonte started her career at Merrill in 2015.

A spokesperson for Merrill did not immediately return a request for comment.

Morgan Stanley has hired a significant Merrill Lynch Private Wealth Management team based in Florida and New Jersey
Morgan Stanley has hired a significant Merrill Lynch Private Wealth Management team based in New Jersey and Florida

 

The group is a minimum of the fifth that Morgan Stanley has hired from Merrill in recent months and appears to be the largest. It also employed a duo with $500 million in assets in Red Bank, New Jersey last month in addition to a pair of advisors producing about $2.6 million from Merrill in Maryland.

In December, Morgan Stanley lured a solo producer in California that had won asset growth accolades from Merrill and in October hired a 26-year Merrill lifer in a Chicago suburb that was producing much 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 very first time in recent times it closed its net recruiting gap to near zero as the amount of new hires offset those who actually left.

It ended 2020 with 15,950 advisors – 482 more than 12 months earlier and 481 higher than at the end of the third quarter. Much of the increase came out of the addition 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 its number of branch based wealth management brokers from its consumer-bank-based Edge brokerage force.

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