Communication is key to developing a strong culture

Many advisors find the Win-nipeg-based firm appealing because it gives them the freedom to own and operate their own books of business. And, to top it off, Wellington West makes its advisors feel that their input counts. Last year, it implemented the Wel-lington Advisory Council, an advisory board that consults advisors for their opinions on the company’s direction.

“We have a voice and the firm listens to us,” says a Wellington West advisor on the East Coast.

As a result, says Charlie Spiring, CEO and chairman, these factors combined have “put us so far ahead of the Street.”

Even though the bank-owned brokerages dwarf the intimate boutiques in size, the former are recognizing that making advisors feel part of the decision-making process is a positive step.

For example, Toronto-based RBC Dominion Securities Inc. , which has 1,329 advisors, received one of the top performance scores among the bank-owned firms in the category with an 8.3 for developing a culture that has an ideal mix of small-firm feel with large-firm security. “It has a family feeling, and you can talk to everybody from top to bottom,” says a DS advisor on the East Coast.

David Agnew, DS’s managing director, stresses that staying connected to its advisors is one of the firm’s top goals. It has created its own advisory board, which enables DS to be “more nimble than some of the smaller firms,” by giving it the ability to make decisions quickly, react to changing conditions and “foster the entrepreneurial spirit within the structure of a large corporation.”

That entrepreneurial spirit is also a hallmark of many of the national independents, such as Toronto-based Raymond James Ltd. “Simply put, we value the independent spirit and we believe, fundamentally, that the advisor owns his or her own book,” says Peter Kahnert, the firm’s senior vice president of corporate communications and marketing. Raymond James’s advisors rated their corporate culture at 9.1.

“The firm takes care of everyone and supports your business as long as you keep your nose clean,” says a Raymond James advisor in Alberta.

The oldest independent firm, Montreal-based MacDougall Mac-Dougall & MacTier Inc. — which will be celebrating 150 years in the business in 2008 — must also be doing something right, as its advisors rated its corporate culture at 9.2.

“It’s pretty great,” says a 3Macs advisor in Ontario. “There are millions of benefits and it’s supportive — that’s why I’m here.”

Like many of the other firms that were rated highly, 3Macs has an advisory board that keeps everyone connected and helps with the exchange of ideas, says Tim Price, president and CEO.

Increased communication between advisors and executives has also done wonders for Toronto-based Blackmont Capital Inc. ‘s corporate culture rating. Advisors rated the firm’s culture at 7.3, a full-point higher than its 2006 rating of 6.3. Blackmont — which has gone through a lot of changes in the past two years — has created a number of avenues to keep everyone in the loop. And given the increase in the rating, it’s evident the general feel of the company has changed considerably. “We are a young firm heading in the right direction,” says a Blackmont advisor in Ontario.

Another firm that has seen a significant increase in its corporate culture score is CIBC Wood Gundy, which improved by 1.1 points, to 7.3 from 6.2 in 2006. The increase is significant because the firm has struggled to develop a unified corporate culture since its acquisition of Merrill Lynch Canada Inc.’s private client operations in 2002.

A reason for the increase is the firm’s approach to communication — it has a “connected leadership” program that brings small groups together for educational and team-building purposes.

“This strong network of support up through the chain — from regional and senior management to help build your business — is the most innovative on the Street,” says a Wood Gundy advisor on the West Coast. IE

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