Wells Fargo Shuts Down International Wealth Management Business

Posted on January 25th, 2021 at 4:02 PM
Wells Fargo Shuts Down International Wealth Management Business

From the Desk of Jim Eccleston at Eccleston Law LLC:

Wells Fargo no longer allows customers who do not meet residency requirements to open a brokerage, Wells Fargo Private Bank, or Abbot Downing account. The move was reported earlier in January by AdvisorHub. Wells Fargo explained that the move to pull out of the international market was motivated by the regulatory requirements facing Wells Fargo, as well as a desire to manage risk and simplify its operations. Wells Fargo is facing increased regulation as a result of the fake account scandal that came to light in 2016.

It will likely take until fall 2021 for Wells Fargo to completely wrap-up its international operations. The shutdown of this line of business will affect approximately 330 advisors based in Florida, New York, Texas and California. The majority of the international wealth unit’s assets came from clients from Latin America. This decision will not affect accounts held by active duty U.S. military or U.S. government employees stationed abroad.

While Wells Fargo is alone in completely shutting down its international operations, other firms have reduced international operations following increased regulation. Morgan Stanley, Merrill Lynch and UBS have all decreased their international wealth management business.

Eccleston Law is assisting Wells Fargo advisors by reviewing Wells Fargo agreements related to the discontinuation, and by advising Wells Fargo advisors as to their transition options. Call us today.

 

Tags: eccleston, wells fargo, shut down, international wealth management

Return to Archive

TESTIMONIALS

Previous
Next

Fantastic news!!!!  Your professionalism, support and expertise were greatly appreciated.  You made a difficult situation much more bearable.

Marci M.

LATEST NEWS AND ARTICLES

May 17, 2024
Fidelity Advisor Files Lawsuit Alleging Wrongful Termination Over Whistleblowing

A former Fidelity Investments advisor, Michael Maeker, has initiated legal action against his former firm, alleging wrongful termination in response to his reporting of anti-investor sales tactics.

May 16, 2024
CFTC Investigates Banks for Potential Whistleblower Suppression

The Commodity Futures Trading Commission (CFTC) has initiated inquiries into several banks, including JPMorgan Chase, Bank of America, and Citigroup, regarding potentially hindering whistleblowers from disclosing information, as reported by Bloomberg News.

 

May 15, 2024
NFA Issues Order Against 50.ai Investments LLC

The National Futures Association's (NFA) Business Conduct Committee (BCC) has taken action against 50.ai Investments LLC, a former NFA Member commodity pool operator and forex firm, for violating multiple NFA compliance rules.