UBS Wealth Management Americas (WMA) has revealed that it is changing its field structure and its compensation plans for financial advisors and field management, as well as reducing advisor recruiting by 40%.
The company also introduced a new operating model to move decision-making and resources closer to clients and drive organic growth through an increased focus on advisor retention.
Under the new model, WMA will now be reorganized into four units, 43 markets and 208 branches, as against its earlier structure of two divisions, eight regions, 63 complexes and 189 branches.
"By eliminating the regional layer and realigning into larger markets, WMA is giving field leaders broader spans of control and moving decision-making authority closer to clients," the Swiss banking said.
WMA also introduced a simpler advisor compensation model that includes increased payouts for advisors, incentives for advisors to form teams, along with an enhanced program for advisors looking to move out of the business and transfer practice to another UBS advisor.
The bank will also upgrade its compensation plans for field leaders to ensure that they are rewarded and held accountable for their decisions.
Following the restructuring, Brian Hull will continue in the role of head of the client advisory group, responsible for managing four divisions, led by Jason Chandler responsible for (Northeast), Bill Carroll (Central), Brad Smithy (Southeast), and Lane Strumlauf (West). John Mathews will continue in his capacity of head of private wealth management.
In addition, the bank will streamline home office management to reinvest in staff and resources that make a difference for clients and advisors.
UBS president Americas and WMA Tom Naratil said: "Together, these changes help minimize bureaucracy and eliminate obstacles that can distract us from improving our clients’ lives, while expanding our advisors’ capabilities and enhancing the client experience.
"UBS WMA has strong momentum and a unique opportunity to ‘feel small and play big’ by combining the client focus of a boutique firm with all the capabilities of the only truly global wealth manager. Coupled with the most productive advisors in the industry, this operating model will take us even further on our journey to being the firm of choice for ultra- and high-net worth clients and their advisors."