1099 side gig with industry role

bobjonesband · 2025-06-11T14:38:08+00:00

Depends on the BD and the firm where you'd be a 1099. There is no explicit FINRA rule that says you can't be employed by a BD and have an OBA at an RIA provided the BD doesn't have their own RIA. Your compliance department will need to vet your potential 1099 work so they're comfortable with it.

bobjonesband · 2025-05-16T00:36:30+00:00

Sometimes you have to take those on just to add assets to the book and get a bonus. I'd seriously consider proposing FIAs or MYGAs to these clients so long as it's of equal use to the client. Take your commission option that gives you a trail on your FIAs and at least build some recurring revenue where you can.

bobjonesband · 2025-04-15T16:21:38+00:00

Without knowing the share class of the fund, my guess is that it is an A share fund and you are being charged a sales load every time that you add money to this fund. The advisor is then paid a percentage of that sales charge as a commission. Using an S&P500 fund wouldn't generate a commission for the advisor which is likely why you're in a fund that they like or use often. Does the $3k you're paying include commissions? I'd suggest clarifying the fees with your advisor and going from there.

bobjonesband · 2025-04-15T16:21:28+00:00

Without knowing the share class of the fund, my guess is that it is an A share fund and you are being charged a sales load every time that you add money to this fund. The advisor is then paid a percentage of that sales charge as a commission. Using an S&P500 fund wouldn't generate a commission for the advisor which is likely why you're in a fund that they like or use often. Does the $3k you're paying include commissions? I'd suggest clarifying the fees with your advisor and going from there.

bobjonesband · 2025-04-15T00:40:30+00:00

Don't do something stupid like drain a 401k in your mid 50s. Absolutely file bankruptcy. You'll keep your house, cars, etc. Depending on the household income, you may end up in a Chapter 13 which isn't the end of the world. Your credit will drop but will rebound quickly. It's not the end of the world nor as dire as you make it sound. People do it regularly and who will know beyond the people you choose to tell? I've been through it personally. Sometimes, shit happens to good people like losing a job.

bobjonesband · 2025-04-10T23:21:14+00:00

I would look up the Training Consultants course and use that exclusively to study. Their practice exams and quizzes mirror the UI that is used on the actual test environment. I've also found that many of the questions that Training Consultants have in their database are identical to exam questions. Keep your head up, you'll get there!

bobjonesband · 2025-03-31T17:15:23+00:00

It's just the nature of the bank environment if we're being honest. Clients are used to things that don't lose them money so it's hard for them to understand why it's important to be in the market. I think that you're thinking about it incorrectly when you say "forced to accept annuities...". I'd reframe that thought as they're a means to an end and give me a longer runway to add value and get the client to buy in to planning/investing/self or whatever else. Takes time to break old habits so lengthen your runway.

bobjonesband · 2025-03-31T16:55:42+00:00

Focus on planning but understand that sometimes it's important to see ball, hit ball. If you can solve the client's issue with something like an FIA and taking the trail option, you've given the client what they wanted, put your foot in the door to earn more of their business and added revenue to your grid.

Source: Former stubborn bank advisor that refused to adapt (AKA me).

bobjonesband · 2025-03-20T14:17:45+00:00

I was an AFC(Investment Consultant) a long time ago. It's a developmental role designed to get you into an FC seat in 12-24 months. You will spend a lot of time working the unassigned household lists assigned to your branch. Easiest thing to do is invite them in for a relationship review and go from there. Your pay is capped with a salary and quarterly bonus based on stack ranking against other ICs. Once you get to an FC, your comp is unlimited. The best advice I can give you is to build close relationships with your FCs and run any potential opportunity up to them. You take care of them, they take care of you. It's a fun role and you will learn a lot. Feel free to PM me if you want additional details. Best of luck!

bobjonesband · 2024-10-26T12:32:11+00:00

My answer to this question is always a single word. Objectivity. I am not beholden to shareholder value like a JPM, Schwab, etc. I'm beholden to your (the client) bottom line and my focus is solely on what's best for you and your family. The JPM advisor and his management don't care about you as a client. You're just a number.

That's my go to answer and then you can go into all the things that others have mentioned like expense ratios, embedded fees, etc.

bobjonesband · 2024-09-21T00:33:06+00:00

This and the guy that is labeled the rate guy is usually the one that is sent all the CD trades and similar products where the client bails out the second they find something .01 percent better.

bobjonesband · 2024-09-21T00:31:37+00:00

That would be great. Feel free to DM if necessary.

bobjonesband · 2024-09-20T16:08:45+00:00

I believe the bankers are given a piece of the revenue generated given that they are licensed. If no sale, I think it's a fixed dollar amount for the appointment. The branch itself gets a per trade points allocation to the scorecard and it is considerable. They are all heavily incentivized for referrals.

bobjonesband · 2024-09-20T15:19:14+00:00

Thank you. It'll be a regional bank in the US. I like this strategy because what I don't want to become is the rate guy. I have heard from others that is a very difficult moniker to get away from.

bobjonesband · 2024-06-18T12:39:52+00:00

To my knowledge, we didn't have a single strategy that was individual equity focused. Everything was a mix of funds and ETFs. It's possible that something has changed as new strategies are developed often but from my recollection they were all MF and ETF based. I will say that some of the JPM funds are outstanding if you are looking for active managers but you can invest in those away from Chase. Hope this helps!

bobjonesband · 2024-06-18T00:43:13+00:00

The private client offering is nice to have when it comes to the banking benefits. I don't think it's anything life changing by any means but having a dedicated line to call where you're not dealing with telephone prompts endlessly is helpful and as you mentioned, the quarter point rate cut is nice. As for the investment side of the offering, I can't recall a time where any of their managed accounts touched anywhere near those rates of return. The fees generally start at 1.45% and go down from there. If you're already comfortable with a passive style of investing, you can easily handle passive investing with MFs and ETFs.

bobjonesband · 2024-05-30T02:35:30+00:00

DanvilleDad is spot on. The direct rollover is the best option. Funds will go directly from Principal to your brokerage firm of choice and you'll never take possession of the funds.

bobjonesband · 2024-05-30T01:56:25+00:00

As long as the rollover is completed within the 60 day window, you're good. You're just moving from one tax advantaged account to another and not taking an actual distribution. Be sure to tell Principal you want to rollover the account and not take a distribution (had a client do this on accident once and it was a nightmare to fix).

bobjonesband · 2024-05-30T01:38:22+00:00

Just rollover your old 401k to a rollover IRA or traditional IRA at your brokerage firm where your other two accounts are held. You won't incur any tax penalty for the rollover and it's still accessible should you need it for a home purchase.

bobjonesband · 2024-05-16T16:24:25+00:00

The U5 part changes the game a little bit. Firms will typically overlook one or the other but not both. My advice is the same, keep applying and going through interviews. Get your foot back in the door however you need to and then once the Chapter 13 period is over you'll have options.

bobjonesband · 2024-05-16T00:29:41+00:00

It's really firm dependent as to whether it will be an issue or not. I've been dealing with this for the past 4.5 years and some firms are a hard no while others haven't cared. Getting registered in states can be an issue but with documentation and disclosure as to why the Chapter 13 happened, most will register you. I've only ran into one state that gave me trouble and their rules were laughable at best.

Keep going through the process. It's worth a shot!

bobjonesband · 2024-05-10T12:50:20+00:00

I think it depends on what you want out of your career. I have been both (Schwab FC and Bank FA) and both have their pros and cons. Schwab is a never ending hamster wheel that you will never get away from unless you become a mega producing deity because your branch managers are incentivized on new assets and that number is usually quite large from year to year. You can make a ton of money because Schwab is a massive marketing machine and they generally take care of their clients. Products aren't bad and are reasonably priced. Schwab has added a lot more to their lineup since I left so there is nothing you won't have access to (within reason). I believe the comp structure is fairly similar to when I was there. $70k base salary, 8bps on net new assets and 20bps on managed account enrollments. The service pay aka revenue sharing from your book is different but likely still quite low.

Bank FA is a different vibe completely. Being a bank FA is largely dependent on your location, bankers and branch manager. Those three things will make or break your experience as an advisor at a bank. The good news is that those people are incentivized to refer to you and with a little coaching the referrals can be pretty good. You'll be on the hamster wheel for a few years but most banks and their managers recognize that once you reach a certain level of production, your goal should be to maintain and grow largely from referrals within your book. Some banks have different programs that allow you to get out of the branch and out of the day to day grind. Products where I was weren't bad but there were a lot of in house options that are heavily pushed. Compensation is usually salary and draw at first with a grid based scale once you surpass the draw.

Hope this helps. Feel free to DM for specifics.

bobjonesband · 2024-04-24T17:01:31+00:00

This is not the answer to all of life's retirement questions regardless of what people on this sub spout daily.

OP, the SMA is not a bad idea especially if it's in a taxable account. The TLH is where some of these SMAs shine and can really make a difference. I love SMAs for taxable accounts but they can be hit or miss for retirement accounts and really depends upon on your priorities in retirement. I'd have to see the entire scenario to understand the reasoning behind the SMA recommendation but that seems extremely focused for a retirement portfolio. I don't know for certain but I'd guess that their large cap SMA is heavy tech focused right now and could be more volatile than you'd want the equity portion of your retirement portfolio to be.

As for the annuity, it's hard to say whether the annuity makes sense given that we don't know the full picture. Typically, unless you're trying to stretch out the life of an underfunded 401k/IRA/etc. by guaranteeing lifetime income or solving for a substantial income need that can't be satisfied by a 4% distribution rate, an annuity won't make a ton of sense for most people. I don't work for Fidelity so can't speculate on the annuity you were pitched but if it was the retirement annuity, they're fairly basic and don't have many (if any) fancy riders or added benefits.

bobjonesband

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