Brooke’s Note: LPL is going through a head-spinning world of executive changes that seem to continue to lead in the RIA direction. So I had to ask Mark Casady, as the last man standing in a sense, whether he, too, is plotting a next move or succession. His answer is at the end of this article. A previous version of this article had information about LPL’s new “Happy Meal” marketing agency that has been removed for now. After talking to Casady, I decided that deserved its own little article and here it is: LPL’s marketing destiny got reshaped by a dark horse in a dark room
LPL Financial LLP’s president of national sales and marketing, Bill Dwyer — long an aquiline figurehead of sorts for his company — is leaving it. See: What LPL’s Bill Dwyer had to say about recruitment, and pressure from custodians.
LPL’s managing director and chief risk officer John McDermott is also leaving and his replacement is being sought.
Replacing Bill Dwyer at the Boston-, San Diego- and Charlotte-based company is Robert Moore who is already president of the firm and now has the title, president of advisor and institution solutions. See: What LPL’s pick of a new CFO says about how strategic — and RIA oriented — the company plans to be.
“I have known Robert my entire business career. He is a dynamic leader with a deep knowledge of our business and a successful track record as our CFO and as the head of our Advisor and Institution Solutions business unit,” said Mark Casady, chairman and CEO of LPL Financial, in a statement.
Dwyer, who rose in the ranks at LPL from the position of recruiter in 1992 to being a top exec hauling down $2.7 million in salary and greater wealth from the company’s IPO, is becoming chairman of the Invest in Others Charitable Foundation later this year. Invest in Others is a registered 501©(3) public charity, established through the leadership of LPL Financial in 2006.
Dwyer’s position will no longer exist — an outcome that Casady credits to Dwyer’s ability to create such a great team headed by Derek Bruton, Andy Kalbaugh and Bill Chetney. See: LPL Financial names a strategy czar. “It’s a great story. Bill’s built a great team and he’s been instrumental in bringing them in.”
Sad to see him go
John Hyland, co-founder of Private Advisor Group in New Jersey, says he is sad to see Dwyer leave. He and Dwyer chatted on Thursday.
Hyland has worked with Dwyer for 15 years, since back in the days when Dwyer was a recruiter at LPL. Private Advisor Group has its own RIA and is known as a super OSJ and recruited 150 new LPL advisors last year. His firm has more than $12.2 billion in assets with about $2.4 billion of those assets in PAG’s RIA. See: How LPL’s biggest branch office added $3.5 billion this year by beating LPL itself with a key service.
“I worked very close with Bill,” Hyland says. “He’s one of those people who has made a huge impact on my success personally and at the firm level. He’s always been someone who has helped us. He’s one of those people I can point to in the success of my firm.”
Hyland says he learned from senior management that Dwyer’s decision was his own choice, and Dwyer echoed those sentiments.
“He seemed very at peace when I talked to him and he seemed very upbeat,” Hyland says. “He’s taking this opportunity to look at his life and other aspects of his life. Personally, I’m sad to see him go. He’s helped a lot of people over the years. If you look back on his history he’s done a lot for the firm in tremendous ways.”
Another advisor Jim O’Shaughnessy of Sheridan Road Financial, says he felt Dwyer was supportive of LPL’s build-out of its retirement practice since LPL bought NRP. O’Shaughnessy is one of the former NRP advisors who joined LPL and has a niche in retirement. He too was disappointed to hear of Dwyer’s departure.
He feels that even with Dwyer’s loss, LPL is still positioned for strong growth.
“I am confident though, the management team (specifically the Retirement Producer Group led by Bill Chetney) will be able to keep the positive momentum going and continue to make great strides integrating the vast resources and capabilities of LPL’s Wealth Management business with the Retirement Business model we are part of,” he says.
“I can honestly say I have never been more excited about the future of our firm at Sheridan Road than I am today,” O’Shaughnessy adds. “ LPL has helped us grow our practice by providing resources that NRP tried to make available but never had the scale or resources to do so. LPL has listened to our needs every step of the way.
Dwyer, a former chairman of the Financial Services Institute Inc., serves as a director of Securities Industry and Financial Markets Association and holds a Bachelor of Arts degree from Boston College. He is a certified management accountant. Prior to joining LPL in 1992, Dwyer spent eight years as an investment representative at various firms.
His departure is part of a series of moves in the top ranks including the poaching of a top Dell exec, Victor Fetter, 44, in December. See: LPL poaches top Dell exec to rewire outsourcing and head hundreds in new technology 'town’.
Also, Robert Moore became president and Dan Arnold succeeded him chief financial officer. See: What LPL’s pick of a new CFO says about how strategic — and RIA oriented — the company plans to be.
The company continues to veer toward the RIA business as its hybrid platform represents a rich area of growth. See: LPL’s RIA assets skyrocketed in 2012.
But it also continues to become a supporter of advisor platforms known as offices of supervisory jurisdiction. See: LPL adds a $1-billion firm with a family-office mindset and CPA rep base to its growing list of OSJs.
LPL also sacrificed one of its best business development minds, Esther Stearns, to head up NestWise, a new mass-market venture. See: NestWise is starting to take shape and take flight under LPL’s wing — and from under Schwab’s shadow.
In addition, managing director and chief risk officer John McDermott has decided to retire after almost 40 years in the broker-dealer business, including four years with LPL Financial. The company is initiating a search for his replacement. McDermott will continue in his role until a new chief risk officer has been named.
With all the departures, observers close to the company have floated the idea that Mark Casady may be laying the groundwork for his own succession.
But Casady says that such a move simply isn’t yet in the cards.
“I’m a vital 52-year-old…I’m not ready for the retirement home.”
He went on to add that the challenge of bringing advice to Americans on a large scale across America is more than enough to get him up in the morning.”