After setting a record in the first quarter, bank brokers' productivity declined in the second quarter, according to the Bank Securities Association's performance report.
The average bank's monthly gross revenue per series 7 investment specialist broker fell 12% from the first quarter, to $27,378. Revenue per branch broker fell 15%, to $2,028, which was still 26% higher than the second quarter last year. As productivity slipped, so did the rate of broker penetration in their banks' depositor bases, said Kenneth Kehrer, a principal at Kenneth Kehrer & Associates of Princeton, N.J., who prepared the report. According to the survey, the typical bank's rate of retail deposits spent on investment products fell 0.82% from the first quarter, to $2,169 per million dollars of deposits.