Selecting a Dealer

Choosing a dealer is one of the most important considerations of managing your book. When you choose a dealer, you choose a partner.

Along with financial and compensation aspects, keep these other factors in mind when choosing a dealer:

  1. Evaluate how much support you want or need in running your business. Dealers can provide you with as much or as little back-office and support as you need.
  2. If you are going to become IIROC licensed, choose a dealer that operates dual platforms. That way, you'll have the flexibility to switch platforms.
  3. Evaluate the dealer's back-office system. Is it stable? Easy to use? Does it provide you with all the information you need to manage your clients?
  4. Evaluate the dealer's compliance and regulatory management. Ensure the dealer is proactive with regulatory changes, while still allowing advisors to operate independently within those regulations.
  5. If independence and personal branding are important to, choose a dealer who allows you that freedom.
  6. Choose a dealer who approves and licenses you for the types of products you wish to use.
  7. Determine the implications of leaving if you decide to change dealers at some point.
  8. Consider the reputation of the dealer and management. Since you are choosing a partner, their reputation becomes yours and vice versa.
  9. Ask your peers how satisfied they are with their dealers-peers can be an invaluable source of information.