Edward Jones Business Model

Financial Adviser (FA) runs branch like an independent entrepreneur

Local market focus

Focus on long-term investments & diversified holdings

Small office size provides flexibility to establish in rural & suburban areas with little competition

Local FA’s website has information for local stocks of interest

St. Louis HQ provides support functions

HQ provides IS infrastructure

FAs have access to local database on the distribution of household net financial assets

Extensive training for new FAs

New FAs receive HQ assistance in setting up new location

Community presence through advertising, networking, & educational seminars

All clients treated the same and with same access to service (regardless of investment size)

Focus on individual customers only

Personalized customer service

Focus on building relationships

Various incentives, including eligibility for partnership

Discourage competition; encourage cooperation & volunteerism

Experienced FAs provide moral support to new FAs

Central belief in delivering value to clients

“Prospecting”=Pounding the pavement to gain new customers

Each location has one FA & one BOA