Public Finance Blog

For some reason over the last week, I have been told of more people than usual being released from their positions for reasons that are definitely not financially or performance-related.  Being released out of the blue can certainly be a major challenge and one that I want to explore in today’s blog.  It can happen to anyone for any reason, and one that you cannot prepare for but inevitably have to deal with.

First Things First…

First and foremost, you must deal with the coping of the emotional aspect of the action. Being released when it’s not performance-related clearly comes as a shock to your psyche.  It must be processed. However, the problem is that you have specific time frames that certain things have to be done to protect your future earning capabilities.  While licking your wounds, you must legally protect yourself from a major blemish on your record and that is what is recorded on your U4 and U5.  How your termination is explained on your FINRA documents is crucial and this has to be your major focus.  Now I am not going to give any legal advice in this blog; but this must be addressed quickly because once something negative is placed on these documents and records, it is extremely hard to expunge.  When separation agreements are being discussed and negotiated, do not forget to include whatever they are going to be legally reporting on your records as part of these negotiations.

Handling Compliance Reviews & Remaining Calm…

The next issue to be resolved is: where do you go from here? Depending on the reason being released, other firms might not be deterred from taking a serious look at you.  But how you present your past situation becomes crucial, and as crucial as who the firm is that is going to take a look at you.  Generally speaking, a traditional bank is going to have a more difficult time getting you past their compliance review as many have an extremely strict policy when it comes to any infraction appearing on your security background. As part of your background check a blemish on your U4 is going to be apparent.  An investment bank not affiliated with a traditional bank will be more understanding of disclosures and will tend to look at them on a case-by-case basis.  When you know you have disclosures on your record, the best policy is to be upfront about them during your initial interview.  How you handle the discussion of what happened is critical.  A non-emotional approach is the best.  Make it as factual as you can but contain any personal feelings.  This will become apparent to your prospective manager, and how the questions and circumstances surrounding your departure are handled will determine if you are invited back for a second interview.

Curb The Urge To Share…

Most people being released start immediately telling their network as they try to look for their next position, but I am going to share that is not the best solution.  Take time to process what has happened.  Then, and only then, strategically reach out to your contacts.  A blanket approach of telling everyone is going to backfire, but a calculated process well thought out with an end game in mind (not just getting another position) will be worth its weight in gold.  You should have a conversation with an expert in your field on the recruiting side to help you apprise the new situation.  During these calls, you must be completely honest and upfront with exactly what occurred so they can help you process your likelihood of securing a new position based on why you were released.  This conversation will definitely shed light on what you are going through and how likely you are to attain a new position.  Being released is an incredibly trying circumstance.  Your first step back is finding yourself the right team of professionals on your side (that is if you don’t already have some in your corner).  We are here to help you ascertain that likelihood.

Conclusion

You don’t need a resume to chat with us! If you would like to discuss your options, please reach out for a confidential conversation at 760-477-1284 or email at harlan@hfriedmansearch.com. He can also be reached on LinkedIn. Harlan publishes a blog every Thursday here. Subscribe to our monthly newsletter here, which is a compilation of our weekly blogs, so you never miss one. 

About Harlan Friedman, JD & Founding Member, H. Friedman Search LLC. Harlan is a thirty-year veteran Public Finance Banker turned recruiter who specializes in the placement of all levels Public Finance Bankers, Healthcare Bankers, Municipal Advisors, Compliance Officers, Issuers, and Bond Counsels.