Brokers say they are happier today than they were last year, especially in terms of compensation. Many, though, would switch the type of firm they are affiliated with, if they were to change firms. Meanwhile, the stocks of many large brokerages — as tracked by the Amex Broker Dealer Index (XBD) — have risen considerably in the past few months, as the markets have strengthened and lifted BD results.
Now in its second year, results collected as part of the National Financial Broker Sentiment Index reveal that brokers are slightly more satisfied in '06 than in '05: the index — which gauges the views of more than 1,000 reps — stands at 7.7, up from 7.5 a year ago. Most say they are committed to their present BD.
Nonetheless, 60 percent express a desire to move to another type of firm in the event that they exit their current firm. One-third would rather work for an independent firm, 18 percent for an RIA and 11 percent for a wirehouse.
