Are you dense?  People have responded multiple times to your question.

Did you not search for "Steven Sawtelle"?  It's pretty obvious you didn't.  If you had, you would stop asking the same question over and over again.   For the love of all that is holy, search on the internet for Steven Sawtelle.  Report back to us what you find.  Then ask us what we think of W&R.

Hope this helps

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Joined: May 01 2008
Location: United States
Posts: 6    Quote  Reply Topic: Waddell & Reed
    Posted: May 16 2008 at 3:39pm Can someone give me the truth on this outfit for someone entering the business?  Anyone ever worked for them?  Other then being a 1099 emplyee and receiving a $2,000/month 'salary' for first 6 months I can't see any other benefits because I don't how their product offering is different then a wire house or EDJ?   I appreciate the feedback.......either good or bad.     avise Members Profile Send Private Message Find Members Posts Add to Buddy List
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Joined: Dec. 11 2007
Posts: 27    Quote  Reply Posted: May 16 2008 at 3:50pm Don't know how it works today. I understand from ex WD'ers that you went out and sold WD funds, which at the time (this guy's retired so probably 80's-90's) were really pricey. IsOldSpiceRightForMe Members Profile Send Private Message Find Members Posts Add to Buddy List
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Joined: April 14 2008
Location: United States
Posts: 81    Quote  Reply Posted: May 16 2008 at 5:39pm I did an internship there in college and it was kind of a joke.  I went to all the FA meetings and the training meetings.  The training meetings were nothing but people sitting around talking about who sold what insurance that week, no training at all.  The branch manager bragged about working 20 hours/week and making over $200k.  They sell these "Focus Plans" for a decent price, starting at about $1,000.  It's basically a print out of info typed into a computer.  The branch manager came to me one day and said "Hey, is going to be here in about 20 minutes, can you do this focus plan for me real quick."  I typed the info in and had the print out in about 5 minutes.  He presented it without having looked it over and the client paid for it.  I really felt like that was taking advantage of his client.  I actually quit a few weeks later because the whole place seemed totally unethical.    Another thing that was unethical there was this annuity this guy wanted to buy.  The FA told him he could buy it by putting $2,500 down up front and not make payments on it for a few years if he didn't have the money.  He told him this just to sell him this one that was something like $10k/year (the guy had about a $60k/year income).  Then after signing up the guy realized he was over his head, stopped making the payments, the policy was canceled, and the FA denied ever telling him any of that.  I was sitting in on the appointment and knew for a fact that he told him that.  The client was irate when it got canceled and he couldn't get his $2,500 back, the manager and FA both basically told him he's SOL and should have known better (which he should have, but that was his FA giving him the advice).    Long story short, stay far far away from them. deekay Members Profile Send Private Message Find Members Posts Add to Buddy List
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Joined: May 15 2007
Posts: 200    Quote  Reply Posted: May 16 2008 at 7:47pm Product line means absolutely nothing when it involves W&R.   Google "Steven Sawtelle" and you will see what I mean. pghkid Members Profile Send Private Message Find Members Posts Add to Buddy List
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Joined: March 27 2007
Posts: 26    Quote  Reply Posted: May 17 2008 at 8:57am

Ed Jones or a wirehouse would be a better place to start in the business.  Or a bank program.

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Posts: 6    Quote  Reply Posted: May 17 2008 at 1:28pm pghkid,   Any particular reason why a wirehouse, bank, or EDJ would be better? What does a firm like Waddell & Reed lack?  I wish I could talk to a former W&R person or have them post their experience on here.  iceco1d Members Profile Send Private Message Find Members Posts Add to Buddy List
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Joined: Dec. 04 2007
Location: United States
Posts: 496    Quote  Reply Posted: May 17 2008 at 3:14pm Originally posted by PraiseHim

   What does a firm like Waddell & Reed lack?  Ethics? Agent Members Profile Send Private Message Find Members Posts Add to Buddy List
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Joined: July 19 2007
Posts: 1    Quote  Reply Posted: May 17 2008 at 4:38pm PraiseHim,

I formally worked, and actually started out at W&R prior to going the insurance BD route.  Feel free to PM me with your questions about W&R and I will do my best to answer them.

EDJ would probably be most comparable to W&R as the prospect base is nearly identical (size of assets, income etc,..).  However EDJ, would have a better track, as I understand it, to run on.  A bank would have a salary, captive clients, a comfort that the other options would not provide, but with that comes an ever decreasing payout.  W&R sells "financial plans" (which are cookie cutter plans) and then their MF's to implement said plan (although I understand they may be just allowing large producers to sell individual stocks, though I cannot be sure if this is accurate). In my experience insurance was rarely sold at W&R - and if it was, it would have been term with a non-mutual ins. company. The wirehouses would also rarely sell insurance, as your primary concern is in asset gathering.

Where do you want your practice to go?  What are your strengths?  My wife had a patient the other day who is an EDJ broker going on 12 years.  Naturally, he asked what her husband did. She told him that I worked for an Insurance company.  He said that he "Couldn't imagine selling insurance ALL DAY".  Well, I couldn't imagine knocking on doors to open a Roth or searching for assets all day!  The point is, it depends on what gets you going and what best compliments your strengths.

If what you want to do is gather serious assets and have a sophisticated platform for the Investments - then ML, SB, Morgan Stanley might fit your bill. EDJ would differ with the wirehouses in that they deal more with middle America and thus have a less sophisticated platform.  Obviously, their approach is unique as is their office setup. However, if what you want to have is more of a focus in Life Insurance & financial planning, with the ability to place securities business then NYL, MassMutual, NWMFN or Guardian may suit you better. There again, if you wish to sell overpriced financial profile MODIFIED plans called 'focus plans' that are not worth the paper they are printed on 5 min. after the ink dries - then perhaps W&R is your flavor.

At the end of the day there are people successful and rather happy at all of the above mentioned outfits.  Even W&R, I think.

FWIW, If I were to start again and all the choices were before me - the companies that would be on my short list would be:

Middle income investment management
1. EDJ
2. AGE (Only second because of the recent change)
3. Any Bank Program
4. W&R

Insurance & Financial Planning
1. NYL
2. Guardian
3. MassMutual
4. NWMFN

Wirehouses
1. ML
2. Wachovia/AGE
3. SB
4. MS
5. UBS

IMHO, Insurance & Financial Planning route gives one the most liberty, prospects and future options.  Of course that is what best compliments my strengths.

Agent

DK,

  Look at the date I posted that question.  No one responded so I tried in another forum.  freaking relax.  And if it bothers you just ignore it.  Yes, I have read the results of the Sawtelle lawsuit.  Yes W&R screwed him and he won.  You saying not one other firm in the history of this business has ever made an unethical decision?  Or emplyed unethincal FA's like Old Spice talked about?    I was asking for actual experiences from those who had worked there regarding training, platform, structure, etc..  Did you work there?  For crying out loud they have 2,000+ FA's you would think one or two are on here with either good or bad testimonies.   Agent finally found one of the posts and gave me more details in a reply just the other day......hence the reason for posting similar question after not getting response in other forum earlier.......are you so dense you can't figure that out?   It's not like there is a lot of info about W&R on here like there is for EDJ or others.  You would think that if W&R is the great evil they would take more of a beating then EDJ.        

[quote=PraiseHim]DK,

    It's not like there is a lot of info about W&R on here like there is for EDJ or others.  You would think that if W&R is the great evil they would take more of a beating then EDJ.        [/quote]   It's kind of like beating up on a retarded kid.  It's unfair and just isn't right...hence why we don't beat up on W&R.

My mistake on the date posted.  I realize you re-posted the question one day after you posted your original inquiry about W&R.

That said, if you still don't get it after I've referenced Steven Sawtelle TWICE (!), you should work for W&R.  Or EJ.  Or whoever you can get an offer from.  'Cause people with no common sense don't survive in this business.  It won't matter what firm you work for.

[quote=PraiseHim]DK,

  Look at the date I posted that question.  No one responded so I tried in another forum.  freaking relax.  And if it bothers you just ignore it.  Yes, I have read the results of the Sawtelle lawsuit.  Yes W&R screwed him and he won.  You saying not one other firm in the history of this business has ever made an unethical decision?  Or emplyed unethincal FA's like Old Spice talked about?    I was asking for actual experiences from those who had worked there regarding training, platform, structure, etc..  Did you work there?  For crying out loud they have 2,000+ FA's you would think one or two are on here with either good or bad testimonies.   Agent finally found one of the posts and gave me more details in a reply just the other day......hence the reason for posting similar question after not getting response in other forum earlier.......are you so dense you can't figure that out?   It's not like there is a lot of info about W&R on here like there is for EDJ or others.  You would think that if W&R is the great evil they would take more of a beating then EDJ.        [/quote]     Touchy, touchy.   Naturally, I looked first at your moniker and then read your post, and it reminded me of those folks who put the Christian "fish" (Ichthys) on the backs of their vehicles and then shoot the bird at anyone and everyone who cuts them off in traffic.

I don't think I'm the touchy one.....I was attacked and referred to as dense and retarded for searching additional information beyond the Sawtelle deal, not to mention not having any common sense.  I like the application of broad generalizations based on such little knowledge of me.

That woud be like me saying you were a complete dumb ass for not knowing the differences if you asked who the best golf instructor would be to learn from.  I use this analogy because I was a PGA golf pro and tournament mini-tour player for 7 years.  Each major instructor has a different approach to developing a golf swing/player and if the beginner can't discern the difference who woud be best then I could just chalk it up to them not having any sense.  If that's the case, 99% of the smartest and successful people who are trying to learn the game of golf would be considered dense because I can guarantee they will not be able to determine who the best teacher is based on the success of their students. 

I don't have any fish or lame dove stickers on the back of my car for that very purpose.....I enjoy telling people to f--- off when they cut in front of me.....or anytime and any reason for that matter.....it makes me feel good about myself to belittle and be condescending to others.  Actually, this might help all the dense people to identify with me and think it's Ok to be a Christian and tell others to F--- off and then want to make a decision to accept Jesus as Lord & Savior.  (Ok....a hint of sarcasm there)   So now that I know about Sawtelle, DK told me to ask what everyone thought of W&R......your thoughts?  Just kidding.  Agent gave me the scoop based on his actual employment with W&R.   I appreciate the enlightenment through all the detailed feedback on W&R.    

[quote=PraiseHim]

I don't think I'm the touchy one.....I was attacked and referred to as dense and retarded for searching additional information beyond the Sawtelle deal, not to mention not having any common sense.  I like the application of broad generalizations based on such little knowledge of me.

That woud be like me saying you were a complete dumb ass for not knowing the differences if you asked who the best golf instructor would be to learn from.  I use this analogy because I was a PGA golf pro and tournament mini-tour player for 7 years.  Each major instructor has a different approach to developing a golf swing/player and if the beginner can't discern the difference who woud be best then I could just chalk it up to them not having any sense.  If that's the case, 99% of the smartest and successful people who are trying to learn the game of golf would be considered dense because I can guarantee they will not be able to determine who the best teacher is based on the success of their students. 

I don't have any fish or lame dove stickers on the back of my car for that very purpose.....I enjoy telling people to f--- off when they cut in front of me.....or anytime and any reason for that matter.....it makes me feel good about myself to belittle and be condescending to others.  Actually, this might help all the dense people to identify with me and think it's Ok to be a Christian and tell others to F--- off and then want to make a decision to accept Jesus as Lord & Savior.  (Ok....a hint of sarcasm there)   So now that I know about Sawtelle, DK told me to ask what everyone thought of W&R......your thoughts?  Just kidding.  Agent gave me the scoop based on his actual employment with W&R.   I appreciate the enlightenment through all the detailed feedback on W&R.    [/quote]   Nobody called you retarded.  I know of a wirehouse guy that played on the PGA Tour, now he's got a $100MM+ book.  It beats getting drunk in trailers and trying to make it through Q school every year.  

Jannie,

  I started with W&R before they even approved my application, did my 52 hours for insurance, went to a few weekly meetings and then found out the real truth.  They said they would pay me $2,000/month salary after licensing.  Turns out this is not a salary but rather a loan against my future commissions.......basically what we refer to as a forgivable draw.  Plus, their approach requires you to initially solicit your close friends and family.  I wasn't comfortable with that approach.  I would rather walk up to a complete stranger and have them spit in my eye.   Plus, you are stuck selling only W&R funds.  Their mutual funds and brokered life insurance is it.  I'm not in the business yet but it feels a bit limited to me.    Their training process is very shoot from the hip approach compared to Jones from what I can tell.

Hello,

  I was also offered a job from Farmers Insurance any advice?

BullBroker:

The Ivy Funds Wholesaler was in our office last week and I was asking him about his parent company Waddell & Reed.  He said that W&R has some good funds and good management but terrible Advisor Platform.  He said based on what he saw at their annual meeting he would be surprised if W&R kept the Advisor Platform open through 2008.  I don’t think W&R makes any money off their advisor platform, I think IVY funds and particular IVY asset strategy makes them pile of money every year. 

  Yeah, but they make a good amount of money on Fred's Natural Resources fund too.  A lot of advisors are going to be dissappointed in the Asset Strategy fund when it returns 7% in a 15% year.  They're still selling it as this fund that did 40% in 2007.   I personally like the IVY Asset Strategy/Blackrock Global Allocation mix as a part for many of my accounts.  Good track records and it's something the EDJ/Primerica/Ameriprise/and other clients aren't hearing about.    

I presently work at W&R and may not be pleased with many things, but I’m happy with many of the resources available to me, the flexibility (we don’t have to sell W&R funds), and the fundamental approach.

[quote=PraiseHim]

 Plus, their approach requires you to initially solicit your close friends and family.  I wasn't comfortable with that approach.  I would rather walk up to a complete stranger and have them spit in my eye.[/quote]

I don't know what your local office recommends, but obviously most new advisors will have to find a market somewhere. A lot of sales organizations recommend contacting your "natural" market rather than cold-calling, which I have found to be the best way for me to build my practice.

[quote=PraiseHim]Plus, you are stuck selling only W&R funds.[/quote]

Absolutely false. W&R has selling agreements with many mutual fund companies, including the darling of EDJ - American Funds.

[quote=PraiseHim]Their mutual funds and brokered life insurance is it.  I'm not in the business yet but it feels a bit limited to me.[/quote]

Most W&R advisors are unable to directly purchase stocks, derivative contracts, and bonds. I am not a stock picker and do not feel that I have the time or expertise to do so. I feel mutual funds and indexes suit most average investors.

[quote=PraiseHim]Their training process is very shoot from the hip approach compared to Jones from what I can tell.[/quote]

I don't have any experience with Jones, so I can't comment. Every W&R office is going to have different training procedures. My office's training is horrible, for example, but if you're ambitious enough to be in this type of career, you can find your own resources and training within the organization or without.

While W&R may not have a great reputation here, I believe there are lots of bad apples within every financial organization. I know that I am an ethical advisor that seeks to always do the best for my clients. I have taken accounts away from Jones and wire houses alike, because I'm providing service above and beyond what an asset-gatherer typically does.

Hope this helps. I'll do my best to be an unbiased perspective.