AllFreePapers.com - All Free Papers and Essays for All Students
Search

Citi Bank Case

Autor:   •  November 6, 2013  •  Essay  •  276 Words (2 Pages)  •  724 Views

Page 1 of 2

paper is about the citi bank and its rise The compensation of the FAs was decided through a "payout-grid" and the payout used to vary with the annual production. On an average he/she used to get 40% of the commissions generated by him/her and 5% in the form of deferred compensation and profit sharing, and 15% was retained by Raymond James to cover back office and clearing costs. Finally, they also received additional benefits like health care and life insurance, amounting to 5% of the generated commission.

The branch manager, who It employed FAs who served individual investors through traditional channel. 900 FAs sat in one of the 90 branches of Southeast, Texas and Midwest out of which 400 FAs and 60 branches were in Florida. Successful and experienced FAs used to produce an average of $300,000 annual commission. Productivity varied across branches. Some branches had 30 FAs while some had 3 or 4. A typical branch had 5 support people (3 sales assistant, 1 operation manager and 1 receptionist), and the other fixed costs together with this amounted to 25% of the commissions generated. The branch manager, who can be an active FA as well, was responsible for all the activities of the branch including hiring of new FAs. They received incentive compensation packages in addition the commission generated and on an average their compensation amounted to 4% of the branch's gross revenue. About 150 new FAs (half of which were experienced and half with little or no experience) were recruited each year. A total of $1.7 million was spent annually on training of new FAs. About half of top FAs of RJF were in RJA.

...

Download as:   txt (1.6 Kb)   pdf (46.1 Kb)   docx (10.1 Kb)  
Continue for 1 more page »