Investment Management Articles and News

Mortgage Broker Sales Commissions - A Primer - Article 

After getting business in the door and completing the funding of a loan, the third most difficult job for the average Mortgage Broker could very well be the task of calculating and paying commissions for the agents involved in the transaction and other relevant parties.

Sales Commission and Spreadsheets - A Calculated Disaster 

Most companies, who have been affected by problems due to spreadsheet errors, are not keen to make the information public. They fear the negative publicity associated with the issue. There could also be potential legal and financial consequences of making the information public.

Sales Commission Applications - Build vs. Buy

Sales commission, unlike many other applications tends to be fairly unique from company to company, though there is significant commonality within an industry. The other unique aspect of sales commission is the flexible nature of customer needs. It is fairly common for a company to change its commission plans year to year or even within the year.

QCommission and Sarbanes - Oxley Compliance 

The U.S. Congress passed the Sarbanes-Oxley act in 2002, in response to multiple accounting scandals and collapses of major companies such as Worldcom, Enron and Arthur Anderson.  The primary goal of this act is to protect investors by improving the accuracy and reliability of corporate financial information. It has done this by specifying new standards of accountability, needed controls, disclosure requirements and it is enforcing it by new penalties for acts of wrongdoing and non-compliance

Who's the Fairest of Them All? A Comparative Analysis of Financial Advisor Compensation Models

There are three primary modes by which investors pay for financial advice: commissions, asset-based fees, and flat fees. This paper examines the economic incentives at work in each and suggests that the debate over which model is "fairest" is flawed because all three models contain incentives that can lead to conflicts of interest and each may also represent an optimal choice for certain investor circumstances.