Morgan Stanley to Curtail Its Recruiting of Brokers

Posted on May 25th, 2017 at 4:32 PM
Morgan Stanley to Curtail Its Recruiting of Brokers

From the Desk of Jim Eccleston at Eccleston Law LLC:

Morgan Stanley has recently announced that it is planning on significantly reducing experienced broker recruiting. Morgan Stanley is following the footsteps of other brokerage firms in cutting back its recruitment activities, which usually involved paying brokers with bonuses structured as loans forgiven over as long as 8 or 9 years. Such deals usually involved both up-front and back -end payments, which brokers could earn after hitting certain asset and revenue targets.

However, despite the recruitment policy change, Morgan Stanley will still to continue to honor the agreements it has with the brokers it recruited through June 16 and also have a start date no later than September 1. In the meantime, Morgan Stanley is developing new recruiting policies that will be revealed in the upcoming weeks.

Eccleston Law is prepared to assist advisors considering Morgan Stanley and their new firm in advance of the end of June deadline.

The attorneys of Eccleston Law LLC represent investors and advisors nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of practice for financial advisors including Broker Litigation & Arbitration, Strategic Consulting Services, Regulatory  Matters, Transition Contract Review, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

Related Attorneys: James J. Eccleston

Tags: Eccleston, Eccleston Law, James Eccleston, Eccleston Law LLC

Return to Archive



Jim, Stephany and the whole team were a God send.  We felt like we were put into a situation where we had no advocate. Jim’s team came in with a strong, well laid out strategy on how to get our story heard. Where our outside compliance company had no ability to help, our Broker Dealer was impenitent, and the regulators were aggressive pursuing vague rules, Jim came like a barricade against an assault we did not understand. Though you pay member dues to be affiliated with FINRA and a B/D, you have no voice. The only thing that is truly heard in this un-level playing field is a bulldog’s bark like Jim’s. I would encourage anyone to call Jim and his team to find a real ally in the tough and complicated world of securities regulation. They are truly the best.

Greg P.


October 20, 2021
5 First-of-Their-Kind SEC Enforcement Actions Announced

Securities and Exchange Commission (SEC) Enforcement Director Gurbir Grewal recently discussed notable first-of-their-kind enforcement actions that his division has pursued.

October 19, 2021
FINRA Targets SPACs in Most Recent Exam Sweep

The Financial Industry Regulatory Authority (FINRA) has begun an examination sweep of advisors’ involvement with special purpose acquisition companies (SPACs).

October 18, 2021
SEC’s Statement on Complex Exchange-Traded Products

The Securities and Exchange Commission (SEC) recently voted to approve a pair of rule changes proposed by Cboe BZX Exchange, Inc. to list and trade shares of new exchange traded-products: the 2x Long VIX Futures ETC and the -1x Short VIX Futures ETF.