Earnings Regression Component. A Financial Advisor Class Member, including the Named Plaintiff, whose annual earnings in any year during the liability period fall below an annual earnings curve which is set at two standard deviations above the mean earnings curve for white Financial Advisors (controlling for registration date and branch/office location), shall be eligible to receive a monetary award from the earnings regression component for that year. Once it is determined that a claimant is eligible for a monetary reward from the earnings regression component for a particular year, the calculation of the monetary award will take into account the Claimant’s earnings during that year, and shall control for the following variables: a) the Claimant’s length of tenure at MS-GWMG as a Financial Advisor; b) the Claimant’s registration date; and c) the Claimant’s branch office location. A separate, comparable earnings regression model will be conducted with respect to Registered Financial Advisor Trainees. The earnings regression component will be developed by Class Counsel’s expert with input from MS-GWMG.
