Equitrust

[wln417]

The client has all the say. They can say "I will buy your alternative annuity", they can say "I'm not going to buy anything", or they can say "I will find another advisor who will sell me Equitrust."

 

[DHK]

Suitable for who? You or the prospect? Are you saying anything less than A rated isn't suitable for anyone? There's a market for nearly everything.

You realize that municipal bonds typical carry much more risk, yet billions of BBB rated are sold every year due to demand for what they offer. Don't be afraid to disclose risk. Your closed minded mentality will only limit your paydays.

I never said there wasn't a market for it. I only said that until I'm comfortable with something, I am not selling it. Just because there's a market for the Brooklyn Bridge doesn't mean that I'm going to sell it. Just because billions of muni bonds are sold every day, doesn't make them suitable for everyone.

Do you remember your insurance license training? Insurance is designed to MITIGATE and TRANSFER risks, so you don't have to own the risk yourself.

Why transfer a risk to an insurance company that "is less sound" than others... and won't be covered under my E&O? Unless you can specifically DOCUMENT how you disclosed the additional risk... that will hold up in court... I'm not doing it.

Muni bonds are securities... remember? Fixed indexed annuities are NOT securities, and I don't want to introduce a level of risk that shouldn't have to exist on a principal-guaranteed contract.

My "closed mind" my limit my payday income today... but my license and my E&O will allow me to sell again another day, and be protected for the sales I recommend.

I suppose that's the difference here. I consider myself an advisor. I only recommend things that are good for my clients. You must think of yourself as a broker with a "You want it? I got it!" mentality. I hope you're documenting everything, because one day, that mentality will bite you in the ass.

 

[KRobby]

Just because billions of muni bonds are sold every day, doesn't make them suitable for everyone.

Why would it have to be suitable for everyone when the point is that they are suitable to sell? Your either/or mentality is astonishing.

Do you remember your insurance license training?

Was your licensing last week? Be honest.

Muni bonds are securities... remember? Fixed indexed annuities are NOT securities

Bic Mac's and Burger King are fast food, Fixed indexed annuities are NOT fast food...remember? So your little Bic Mac and 'have it your way' analogy must be void too.

 

[AnonymousOne]

Technically A is "less sound" than A+, have you ever sold an A?

 

[DHK]

Yep, and I've sold A- too. Those are both covered for insolvency on a standard E&O contract.

 

[SanDiego619]

EmptyEternity started this thread in March and had no replies. My post was a continuation on the subject.

My question wasn't about the commission. It was about how to justify representing a B++ rated company and how to present it ethically and justify the recommendation.

Since you couldn't comprehend that EITHER... any response you could've had, has no credibility.

Our Equitrust internal used to always tell us how much they were held back after the sale from FBL. They have been operating the way any A rated company has since that sale went through (and prior to it) but have not had the upgrade yet. I suppose it's like Athene buying Aviva, Athene does not get to carry that A rating over from Aviva and they are aware it may take a little while to get that upgraded.

 

[gflo]

I would not use B rated companies for EIA. I do use B rated companies for MYGA. If the company goes insolvent, the DOI can easily administer the terms of MYGA. EIA can be complex and a client's funds and income can become inaccessible.

So, who has a good contract for Equitrust? They have nice MYGA rates going on.

 

[DHK]

PM Tahoe Ray. He can get you a good contract.

 

[KRobby]

I would not use B rated companies for EIA. I do use B rated companies for MYGA. If the company goes insolvent, the DOI can easily administer the terms of MYGA. EIA can be complex and a client's funds and income can become inaccessible.

So, who has a good contract for Equitrust? They have nice MYGA rates going on.

If you're going to work for 3% you might as well use Guggenheim.

 

[gflo]

If you're going to work for 3% you might as well use Guggenheim.

3% of something is better than 7% of nothing. So, what is Guggenheim MYGA at? And why do you recommend them over Equitrust?