When it comes to layoffs, small RIAs feel worst pain

Financial advisers grapple with cutting loose employees who are like family members--

For some advisers in these small firms, even the mere thought is painful.

"It'd be terrible," said Marjorie Fox, an adviser and partner with Fox Jossb& Yankee LLC, a Reston, Va., firm that manages more than $200 million in assets and employs a staff of five.

"The three of us partners will cut our salaries before we let anyone go. We have such a terrific team," Ms. Fox said.

"We'd do just about anything not to let it happen," she said. "Our culture's extremely important; we are like an extended family."