Bonus Watch '13: Merrill Lynch

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Seems the wily and parsimonious Brian Moynihan has found a new way to "squeeze more revenue" from ML branch managers.

In January, Merrill Lynch branch managers saw a new variable in the formula that determines their yearly bonus: how much money brokerage clients have in checking and savings accounts at parent Bank of America Corp.

And there was another surprise: If customers buy stocks or bonds using a bank account, the purchase counts as a "negative deposit" for the Merrill branch manager, possibly hurting the bonus. Such bonuses can range from $25,000 to $300,000 out of total pay that can exceed $1 million for some managers.

The move is one of the latest wrinkles in Bank of America Chief Executive Brian Moynihan's strategy to squeeze more revenue and profit from "cross-selling" everything from stocks to mutual funds to credit cards to mortgages….

Other brokers say customer service at the bank isn't reliable enough for them to feel good about encouraging clients to do business there.

Other brokers say customer service at the bank isn't reliable enough for them to feel good about encouraging clients to do business there.

Bull Sees Red Over BofA Cross-Sales [WSJ]

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