Perils of acquisition

Will brain drain get worse at U.S. Trust? asks Investment News. Some high-profile talent has already left, and headhunters for private banks evidently consider Bank of America's U.S. Trust division to be a target-rich environment.

Advisers leaving U.S. Trust “are looking for a high-end service model they can provide their clients,” said Scott Chaisson, a Boca Raton, Fla.-based managing director for Stanford, which to date has hired at least 20 U.S. Trust professionals for offices in Florida and North Carolina who have brought with them clients estimated to have close to $6 billion. Stanford is “actively seeking” to expand its presence in the Southeast, he said.

Apparently the service offerings are weakest for your $10 million+ client who expects truly personal service. The article concludes that B of A remains confident that it can retain 80% of the account assets of U.S. Trust, which seems like a lot to lose.