Commonwealth Financial Network is on a record hiring spree this quarter. The fourth largest independent broker-dealer just recruited four advisors with $186 million in assets from SII Investments.
Mark Miehe, Matt Cuplin, Brandon Masbruch and Tony Pochowski of Midwest Financial Group joined their new BD on Monday, according to FINRA BrokerCheck. The practice, which Miehe says is turning into an office of supervisory jurisdiction with the move, includes three locations in Wisconsin.
The shift marks at least the third grab by Commonwealth from one of the four BDs owned by National Planning Holdings after rival LPL Financial acquired NPH’s assets in August. Commonwealth has added at least 12 advisors with more than $2.1 billion in client assets from the NPH BDs since LPL’s mammoth purchase.
“We came from a smaller broker-dealer firm,” says Miehe, 61, when asked why the practice opted for another firm over LPL. “They’ve got their fingers in everything, so that might be a good fit for some people. It didn’t make sense for us.”
Commonwealth’s private ownership structure, technology and focus on advisory business also aligned well with Midwest Financial, he says. The firm will change its custodian from Pershing to Fidelity as part of the move.
A spokeswoman for NPH and a spokesman for LPL declined to comment on the practice’s departure. LPL plans to provide an update in the next several days on the first half of the transition of roughly 3,200 advisors and $120 billion in client assets from NPH.
Miehe and his wife Krisann launched the firm, which has offices in Madison, Platteville and Horicon, in 1997. The practice spent eight years with SII Investments, and Miehe says they wouldn’t have left the 530-advisor firm if LPL hadn’t acquired its assets.
Commonwealth expects to bring on a record $30 million in production this quarter, with roughly 70% coming from NPH firms, Managing Principal for Business Development Andrew Daniels has said. The firm disclosed 2016 revenue of $1.07 billion from 1,710 producing representatives.
Commonwealth’s competitors have also successfully poached advisors from LPL’s incoming crop. Ladenburg Thalmann’s Securities America and Advisor Group’s Woodbury Financial Services have each added at least three ex-NPH firms following the acquisition.
More than 270 advisors have left NPH firms since the LPL deal.