C Baillieu two years ago will be put to the test, as rival brokers feel around for any disgruntled revenue writers.C Baillieu brokers will have to decide whether they’re happy to work for standard commission rates, after a sweetheart two-year deal with their new employer Ord Minnett ended this fortnight.When Ords took the keys to Baillieu two years ago, the Melbourne broker’s 70-odd advisers were promised an 15 per cent extra brokerage for 12 months in a bid to keep them in their seats.
As an example, an ex-Baillieu broker writing $1 million of business for the firm in the year to November 2021 would end up taking $500,000 from the usual grid commission, and another $150,000 from the earn-out.That extra $150,000 was paid monthly in the period between December 2021 and November 2022.
The 70-odd Baillieu advisers were understood to have written about $40 million in commissions in the 12-month sweetener period. which meant an additional $6 million was split among them on top of their usual commissions.