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Worst Thing You've Seen By Another Broker

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Jun 26, 2007 4:00 am
you guys have way too much time on your hand.  Wow, We have a guy decribing a case in this forum,  Do you get any help from the back office?.  I think if all of you spend less time in the forum  and more time taking care of your clients you would actually do pretty well in this bus.     
Jun 26, 2007 4:00 am

[quote=AllREIT] [quote=FreeLunch]Annuities are __________[/quote]

Annuities are very profitable for everyone except the client.

Where are the annuitant's yachts?
[/quote]

You are ASSUMING that all VAs are sold.  Perhaps in Bobby Hull's practice, that's all he sells.  Not me.

I give the client a choice.  The client chooses between 3 different "platforms" to work together.

#1 - Mutual Funds (A la Carte) - this is a bucket of stocks, bonds, mutual funds, treasuries, ETF's - whatever.  Annual costs run about 1.25% per year depending on WHAT we choose to put in the bucket.

#2 - Mutual Funds w/portfolio insurance.  You have the same expenses of the mutual funds, but we put an insurance wrapper around your portfolio.  You insure your car, life, house, health, why not your portfolio?  Expenses run about 2.5% per year.  You enjoy the peace of mind knowing that you won't lose what you put in this account because it's insured by one of the largest insurance companies in the world.  This option works well if you have a hard time sleeping at night that your portfolio may be at risk.  But that peace of mind does cost extra, and you can't take out all your money at one time.  Otherwise, you're assessed a penalty from the insurer.

#3 - Mutual Funds "Pay as you go".  This is typically known as a fee-based, wrap or managed money account.  This is where we hire a team of strategists to manage your portfolio.  These expenses run about 1.75% per year (including portfolio mangement expenses).

Of these 3 platforms, which do you think might make the most sense for you?

Over time, we'll hone in on exactly which will work out the best given your circumstances and your plans.

When I sell a VA, it's in a way that the client sees an extra value in having portfolio insurance.  It's not the only way to sell VAs.  I don't sell THAT many of them, but it's another way for the multiple-disciplined advisor to discuss them.

Jun 26, 2007 4:05 am

[quote=skbroker]

you guys have way too much time on your hand.  Wow, We have a guy decribing a case in this forum,  Do you get any help from the back office?.  I think if all of you spend less time in the forum  and more time taking care of your clients you would actually do pretty well in this bus.     

[/quote]

My back office doesn't help with ANY planning or case presentation ideas.  Sometimes, they can barely process the papers I send them properly.

I'll get input on any case that I want, on whatever forum I want.  I'll spend my time any way that I see fit.  I don't need some "online babysitter" to tell me what to do and when to do it.  Got it?

Why don't you ADD something constructive to the conversation? 

Jun 26, 2007 4:06 am

[quote=skbroker]

you guys have way too much time on your hand.  Wow, We have a guy decribing a case in this forum,  Do you get any help from the back office?.  I think if all of you spend less time in the forum  and more time taking care of your clients you would actually do pretty well in this bus.     

[/quote]

Well, I can't speak of other reps on the boards, but I've only been posting here after hours. 

Jun 26, 2007 4:09 am

[quote=skippy][quote=FreeLunch]

Annuities Are Not easy to sell

because they are too complicated for me to explain in terms that my clients can understand.

[/quote] [/quote]

Then you are not a very good salesman and probably not too smart either if you can't explain a product to your clients.

Jun 26, 2007 4:23 am
Here is an advice.  Find a new firm with some backoffice help.  LOL
Jun 26, 2007 5:17 am

Here is some advice: Learn some grammar and you might not sound like such a complete and total douchebag.

Jun 26, 2007 5:23 am

Ferris

Grammer looks pretty good.   Ok, I leave now.  All you big producers have a great time in this forum.  I have never heard so many 200k producer sound so important.  Get on the phone and make some outgoing call and stop bitching about your life. 

Go Wachovia 

Jun 26, 2007 5:27 am

Are your eyes narrow slits?  You sound like it.

Jun 26, 2007 5:27 am
I saw a guy from pru when it was pru sell 100g in a new dividend closed end issue and than calls the client to sell after 3 months because he expects the fund to go down in  price.  Now he is with merrill. 
Jun 26, 2007 5:30 am

[quote=skbroker]


Here is an advice.  Find a new firm with some backoffice help.  LOL
[/quote]

Ok I think I've figured it out.  It's all about the new economy.  You're not actually the million dollar producer you say you are, you're obviously an "outsourced poster" that the million dollar producer hired to keep his presence on the RR board because he's too busy doing business.  So you're sitting in your cubicle in Mumbai writing posts based on the outline he gave you, and in light of that we should certainly understand your grammar and spelling.

Very impressive!
Jun 26, 2007 5:32 am

Ferris,

What's a eyes narrow slit?  you mean epicanthic eyefolds?  You mean chink, jap, and nips?  Don't be afraid to say it.  You can hide your racist feeling on the internet.  No one will report you to your manager.  Its ok.  you can say it.

I never heard anyone say eyes narrrow slit?  I heard slanted, chinky, toothfloss but never eyes narrow slit.  You are too dumb enough too be racist.  LOL  

Jun 26, 2007 5:35 am

Your last post just proved my point.

Outsourced Poster, courtesy of Joe, you will now be called.

Jun 26, 2007 5:36 am

[quote=Ferris Bueller]

Your last post just proved my point.

Outsourced Poster, courtesy of Joe, you will now be called.

[/quote]

Let's name him "Habib, the guy from the Mastercard call center".
Jun 26, 2007 5:40 am

[quote=joedabrkr] [quote=skbroker]

Here is an advice.  Find a new firm with some backoffice help.  LOL

[/quote]

Ok I think I've figured it out.  It's all about the new economy.  You're not actually the million dollar producer you say you are, you're obviously an "outsourced poster" that the million dollar producer hired to keep his presence on the RR board because he's too busy doing business.  So you're sitting in your cubicle in Mumbai writing posts based on the outline he gave you, and in light of that we should certainly understand your grammar and spelling.

Very impressive!
[/quote]

Joe, Mumbai?!?! That is some funny sh*t!  I just can't understand why he is the only one on this RR forum that writes in such big letters...kinda like my 8 year old nephew...I thought you had to be at least 13 to get on this board anyways...

Jun 26, 2007 5:49 am

[quote=wallstreeter][quote=joedabrkr] [quote=skbroker]


Here is an advice.  Find a new firm with some backoffice help.  LOL

[/quote]

Ok I think I've figured it out.  It's all about the new economy.  You're not actually the million dollar producer you say you are, you're obviously an "outsourced poster" that the million dollar producer hired to keep his presence on the RR board because he's too busy doing business.  So you're sitting in your cubicle in Mumbai writing posts based on the outline he gave you, and in light of that we should certainly understand your grammar and spelling.

Very impressive!
[/quote]

Joe, Mumbai?!?! That is some funny sh*t!  I just can't understand why he is the only one on this RR forum that writes in such big letters...kinda like my 8 year old nephew...I thought you had to be at least 13 to get on this board anyways...

[/quote]

::Takes a bow::  Thank you sir.

If you look at the 'Font Size' toggle above, you too can write with big letters.  But you still won't sound  stoopid like skbroker!
Jun 26, 2007 6:02 am

[quote=joedabrkr] [quote=Ferris Bueller]

Your last post just proved my point.

Outsourced Poster, courtesy of Joe, you will now be called.

[/quote]

Let's name him "Habib, the guy from the Mastercard call center".
[/quote]

I just ordered a new Dell computer for the office and I swear I spoke with Habib and his ENTIRE freaking family, but I'm not sure because I couldn't understand him. 

I am glad he found this board because I have to ask him a question:

Hey skbroker (Habib) - Should I go with Vista or stick with XP???

Jun 26, 2007 1:52 pm

Sheeeee’s baaaaaack.

Jun 26, 2007 2:39 pm

As to the question of anyone ever having lost money when an insurer goes belly up.

The answer is YES! YES YES YES and YES some more!

Anybody remember Executive Life? This guy was in bed with Junk Bonder Milikin and would use funds from the annuity company to buy the bonds of leveraged buyouts...

One example that I remember was a company named (IIRC) Pacific Lumber. The buyer went to Milikin and said "They have an overfunded pension fund."  Well it all depended on how you looked at it, if the company assumed a 3% return, the pension plan was funded conservatively, but if you assumed a 15% return, there was way too much money in the plan.

Milikin calls Carr and sets up a $600,000,000 financing deal. Buyer buys Pac Lumb, takes 600,000,000 and funds the pension with an Executive Life Annuity (which was "paying" around 15%) pocketted the difference (which would have been several hundred millions of dollars) and pretty much shut down the company (who wanted to be stuck running a lumber company on the left coast afterall?).

Junk Bonds tanked, companies went out of business at rates never seen before and Executive life's portfolio was all of a sudden worth spit! It went out of business... guess what? The retirees of Pacific Lumber now held worthless annuity policies with a company that was out of business.

In NY, when Exewcutive Life of NY went under, the policy holders were shifted over to Met Life and got a minimal payout (used to be that 3% was seen as an impossibly low rate) and a HUGE surrender fees for about 7 years (regardless of how long they had held the ELoNY policy) and so their income went from 13,000 per year (on a 100,000 policy) to 3,000.

Be careful when you see things like "A dividend every year since 1831" in that they may have paid on in January of 1929 and then a penny in December of 1930 and they still can claim the "uninterrupted" dividend. (IIRC, Con ED was one like this, and during the 60's they were really really close to breaking the string. Not that it is a bad company today, but just be aware that there are ways to make disaster look like a happy ending.

Jun 26, 2007 2:51 pm

[quote=Whomitmayconcer]

As to the question of anyone ever having lost money when an insurer goes belly up.

The answer is YES! YES YES YES and YES some more!

Anybody remember Executive Life? This guy was in bed with Junk Bonder Milikin and would use funds from the annuity company to buy the bonds of leveraged buyouts...

One example that I remember was a company named (IIRC) Pacific Lumber. The buyer went to Milikin and said "They have an overfunded pension fund."  Well it all depended on how you looked at it, if the company assumed a 3% return, the pension plan was funded conservatively, but if you assumed a 15% return, there was way too much money in the plan.

Milikin calls Carr and sets up a $600,000,000 financing deal. Buyer buys Pac Lumb, takes 600,000,000 and funds the pension with an Executive Life Annuity (which was "paying" around 15%) pocketted the difference (which would have been several hundred millions of dollars) and pretty much shut down the company (who wanted to be stuck running a lumber company on the left coast afterall?).

Junk Bonds tanked, companies went out of business at rates never seen before and Executive life's portfolio was all of a sudden worth spit! It went out of business... guess what? The retirees of Pacific Lumber now held worthless annuity policies with a company that was out of business.

In NY, when Exewcutive Life of NY went under, the policy holders were shifted over to Met Life and got a minimal payout (used to be that 3% was seen as an impossibly low rate) and a HUGE surrender fees for about 7 years (regardless of how long they had held the ELoNY policy) and so their income went from 13,000 per year (on a 100,000 policy) to 3,000.

Be careful when you see things like "A dividend every year since 1831" in that they may have paid on in January of 1929 and then a penny in December of 1930 and they still can claim the "uninterrupted" dividend. (IIRC, Con ED was one like this, and during the 60's they were really really close to breaking the string. Not that it is a bad company today, but just be aware that there are ways to make disaster look like a happy ending.

[/quote]

Whomit said "happy ending."