Industry

Bank of America Merrill Lynch has promoted Keith Glenfield to head of the firm’s Alternative Investments Group, as the firm seeks to expand its growth when it comes to hedge funds, private equity and other alternative investments.

Morgan Stanley reported on Thursday that its global wealth management business saw it pre-tax income fall to $239 million, down from $356 million one year ago, and net revenue of $3.34 billion, up from $3.23 billion in the third quarter of 2011, as the firm closed its acquisition of the next stake in the Smith Barney joint venture.

Greg Smith, the former Goldman Sachs Group Inc. salesman who publicly accused the firm of ripping off its clients, was denied a raise and a promotion in the weeks before he resigned in March, documents provided by Goldman show.

Royal Bank of Canada will probably miss its 2015 target of C$2 billion ($2 billion) in annual earnings from asset management because of low interest rates, executive George Lewis said.

Compared to other types of advisors, 40% of wealthy investors in that range were likely to choose a full services brokerage (such as a wirehouse or regional broker-dealer) over another advisor such as an RIA or accountant.

“We see RIAs increasing market share by 0.5% to 1% a year,” said Scott Smith, an associate director at Cerulli. “as the full-service firms experience an erosive but not a catastrophic decline.”

A team of six financial advisors have left Prudential to form Capstone Affluent Strategies, an independent wealth manager that has partnered with LPL Financial.

The regional bank plans to substantially strengthen its western footprint with new advisors in Oregon, Washington, California and Nevada.

Bank of America Corp., the second- largest U.S. lender, said third-quarter profit dropped 95 percent on litigation expenses and an accounting charge tied to the firm’s debt.

Natixis Global Asset Management has agreed to buy McDonnell Investment Management, an Oak Brook, Illinois-based investment advisor with some $13.5 billion in assets under management for institutions and individuals.