Commonwealth Financial Network®

Our Story

The first ten years
Joseph Deitch founded Commonwealth in 1979 as an outgrowth of his retail financial planning practice, The Cambridge Group. Previously, he had been an advisor with another broker/dealer. When that firm’s credibility was undermined by conflicts of interest stemming from its own proprietary products, he decided to start a new broker/dealer.

Back in 1979, there weren’t as many viable independent B/Ds to choose from as there are today, so the original business plan assumed that other disenfranchised financial planners would see Commonwealth as a breath of fresh air.

It took a while. While a growth rate that doubles every year sounds impressive, it means little when you have only two advisors.

Eventually, the numbers became meaningful. We started to prosper, adopting the Commonwealth name in 1981 to reflect our desire to foster the common good of our employees and advisors.

1981		A Becker Research poll acknowledges us as the most prominent financial planning firm in the area.

1984		A pioneer in fee-based asset management, Commonwealth introduces its first mutual fund wrap program.

1985-1987		Inc. magazine recognizes us as one of the 500 fastest-growing private companies in the U.S. for three straight years.

But things screeched to a halt after the stock market crash of October 1987. B/Ds, banks, and real estate businesses across the country were forced out of business. At Commonwealth, we tightened our belts and worked diligently to survive this severe down market.

Older, wiser . . . and on the right side of the street
The smoke eventually cleared and the financial markets began to sort themselves out. And an amazing thing happened as money returned to the stock market: Commonwealth was perfectly positioned for growth.

1989		We introduce Practice Management assistance. We’re one of the first firms to acknowledge that our representatives aren’t salespeople; they’re small business owners. We begin offering courses on everything from hiring and managing staff to effective communication skills and disciplined strategic planning.

1991		Investment Advisor magazine presents Commonwealth with its first Broker/Dealer of the Year Award. We were pleased to receive our second award in 1994.

1992		We make our first (and only) acquisition: Kavanaugh Securities. With its national presence, Kavanaugh establishes Commonwealth as a national broker/dealer.

1996-2002		Onward and upward—Investment Advisor magazine names us Broker/Dealer of the Year six of the next seven years.

And it seems to work. Commonwealth is the second largest, privately held independent broker/dealer in the United States. Since 1979, our revenues have grown at an extremely healthy pace. Our long-term record certainly rivals the best companies in the country.

2000 We open our San Diego headquarters to better service our West Coast representatives.

Service, service, and service
Ultimately, our success depends on our ability to satisfy the needs of the advisors who choose us as their broker/dealer. Over the years, we have consistently raised the service bar as we have grown in size and stature within our industry.

In the mid-90s, we officially changed our goal of "superior service" to "world-class service." We believed that we had reached the point where we could deliver service as good as, if not better than, anyone in the world—certainly as good as anyone in our industry.

The never-ending quest for excellence
Behind the awards stands our fanatical desire to be the best in everything that we do, and here’s a sampling:

Our industry conferences
Our practice management counsel
Our initiative to answer the phones in less than eight seconds
COMMunity Link^®, one of the most robust websites in the industry

To be the best is smart business sense, and it’s enormously satisfying.

2001

We choose to adopt a standard of excellence that no one else in our industry has yet to undertake. We have set our sights on becoming "Indispensable" to our representatives and our fellow employees.

2004

We celebrate our 25-year anniversary!

2004

Joe Deitch is featured among the leading CEOs of the world in the book Leadership Secrets of the World's Most Successful CEOs: 100 Top Executives Reveal the Management Strategies That Made Their Companies Great (Dearborn Publishing). Mr. Deitch is the only CEO from an investment brokerage firm featured.

2004

Commonwealth is honored as one of the 50 Best Places to Work in Massachusetts by the Boston Business Journal—a testament to our mission of creating a supportive environment where all employees can thrive.

Since this time, Commonwealth has been honored as a top place to work three more times. In 2005, Boston Business Journal named us the Best Midsize Place to Work in Massachusetts. We were again honored in 2006 and 2007 as a top Best Place to Work—making us the only midsize firm to be named four years straight!

2005

Investment Advisor magazine once again names Commonwealth Broker/Dealer of the Year, bringing our total to nine—an unprecedented record!

2005

Commonwealth’s San Diego office celebrates its fifth anniversary by adding the Commonwealth name in big, bold lights to the city skyline. This rooftop sign marks the location of the San Diego headquarters and supplements Commonwealth’s branding efforts.

2007

Commonwealth is honored by Computerworld magazine as one of the Best Places to Work for technology professionals. Nationally, Commonwealth ranked 12^th among other small companies and 76^th overall. Computerworld also ranked us 1^st in Best Places for Training, 2^nd in Best Places for Retention, and 6^th in Best Places for Career Development.

We’re constantly celebrating our achievements throughout the entire company. We’re only limited in the future by our imaginations and our resolve.