Fidelity Offers Advisors Manpower HR and Recruiting Help

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In response to demand from an increasing number of advisors looking to grow their businesses, Fidelity Investments announced Thursday that it had expanded its advisor practice management program through a new human resources and recruitment deal with Manpower Inc.

Under the new relationship, Fidelity’s 3,000-plus independent registered investment advisors (RIAs) can receive HR and recruiting help from Manpower Business Solutions (MBS), which is part of the Manpower Inc. group of companies.  MBS’ services include talent management, employee retention, organizational effectiveness and compensation.

Strikingly, the program is a response to the rising number of RIAs who are growing their businesses and creating new jobs—a positive sign that the economy will indeed follow a recovery path in 2011, according to David Canter, executive vice president and head of practice management at Fidelity Institutional Wealth Services.

“It seems like advisors are in hiring mode again, Canter (left) said in a phone interview with AdvisorOne. “In 2008 and 2009 they were cautious about stabilizing their businesses during the financial crisis, but now advisors are looking to strategically grow their businesses.”

Along with the growth comes RIAs’ growing demand for HR assistance. A recent Fidelity survey shows 60% of RIAs are actively looking to acquire new advisors and 73% say adding new advisors includes recruiting breakaway brokers.

The demand explains why Fidelity sought a relationship with Manpower Business Solutions, Canter said, adding that the program is available to RIAs who do business with Fidelity and that fees are negotiated depending on what HR services are used.

“I was up and down on the West Coast in the early part of December meeting with clients, and virtually to a firm, folks were hiring again in 2011,” he said. “I think that was a really positive sign.

They’re hiring for growth, and they’re hiring to have the right infrastructure to propel growth forward. It’s not just hiring folks from a business development perspective or folks with an existing book of business, but they also want folks who have good operational experience.”

The Fidelity-Manpower program includes:

HR Consulting Services:  MBS’ consultants focus on talent management in terms of employee retention and engagement, organization effectiveness, compensation, recruiting and HR administration, and executive coaching and management development. Recruiting Services:  MBS recruiters screen more than 50,000 wealth management candidates annually on behalf of their clients.  It has a special focus on recruiting business development professionals for brokerage firms and RIAs. HR and Talent Management Research:  MBS conducts research, provides insights and publishes research papers and articles on topics such as labor market trends, HR practices, recruiting and talent management.

One RIA who has used the program said it is helping his firm grow.

 “Our growth strategy is dependent upon the strong performance of our experienced team of investment professionals, client service representatives and advisors,” said Jerry Luff, senior managing director and chief operating officer at Baker Avenue Asset Management, in a Fidelity release.  “The practical resources we received from Fidelity and the HR consulting from MBS have helped solidify the talent management infrastructure we need to engage employees and continue our aggressive growth plans.”

Based in Boston, Fidelity Investments has assets under administration of nearly $3.4 trillion, including managed assets of over $1.5 trillion, as of Nov. 30, 2010.

Read how Fidelity is helping advisors navigate the SEC’s new Form ADV Part 2at AdvisorOne.com.