Merrill Edge Goalpost Moves Again: 160 More Reps To Serve 8 Million Clients?

Tuesday, December 13, 2011 08:58
edit
Merrill Edge Goalpost Moves Again: 160 More Reps To Serve 8 Million Clients?

Tags: bank of america

The proposition for Bank of America's "Merrill Edge" program is getting a little murkier as the company hires more people to serve a vast captive mass affluent market.

This Website Is For Financial Professionals Only


 

Bank of America says it is hiring 160 customer service reps for Southern California and Arizona.

 

These people are tasked to help upper-middle-class banking customers buy mutual funds and other investment products.

 

Interestingly, Bank of America says it has 8 million accounts that qualify for the service and so can already be considered "inherited" Merrill Edge customers.

 

That's a lot of people with $50,000 to $250,000 to invest. 

 

In theory, even if Merrill Edge never prospected a single client outside the bank's customers, it could capture $400 billion or more just from those customers.

 

But in practice, the economics are still mysterious. Can a few thousand telephone service reps and bank-stationed personnel serve 8 million people who want a bit of the "Merrill Lynch" experience?

 

How much of that $400 billion can they capture? 

 

 

 

Comments (0)

Write comment

You must be logged in to post a comment. Please register if you do not have an account yet.

busy