Wells Fargo Advisors is one of the leading financial advisory services, investments and brokerage services units of the banking firm, Wells Fargo. They have over 16 thousand advisors and manage over $1.6 billion in assets. The firm has recently launched a number of new investment practices and initiatives, as well as investing in campus expansion.
The recent launch of new investment practices and initiatives has been in response to the 2016 fake-account scandal that erupted at Wells Fargo. The financial services company has been under a cloud since then, and has been constantly looking for ways to improve its services and rebuild investor trust.
The new investment practices and initiatives include a practice concentration that focuses specifically on retirement planning, wealth management and asset protection. The practice will be headed by Kent Jackson Rhoades, who was ordered to pay more than $3.5 million to cover Wells Fargo's legal fees. Wells Fargo Advisors won more than $19.6 million in damages from Rhoades for his role in the 2016 scandal.
The firm has also been expanding its presence in the University area. They are in the process of filling the former Duke Energy building and will be investing in University-area campus expansion. The analysts also believe investor will be 'heartened' to see non-music initiatives finally drive margin expansion, and that industry fourth-quarter 2020 gross margin expansion bodes well for 2021.
In addition to the new investments and initiatives, the firm has also been focusing on improving the customer experience. They have been implementing new procedures and policies to ensure that their clients have the best experience possible. This includes improved monitoring for financial advisors and new protocols for customer complaints.
The firm has also been taking steps to ensure that their advisors are not misusing their position as an investment advisor to build “overly-personal relationships” with the clients, eventually convincing them to transfer funds to accounts not owned by them. This has been highlighted in a recent lawsuit brought against Wells Fargo Advisors and a senior investment strategist, Eric R. Pagel, by an unnamed accuser.
Overall, Wells Fargo Advisors is taking steps to improve their services and restore investor trust. They are launching new investment practices and initiatives, investing in campus expansion, and improving their customer experience.
