Lost a 300,000 Gul to a Mutual Fund

[marketing]

Go figure, had an appointment for this large commission so I thought. Client had already commited to a mutual fund at their credit union. Have this happen to anyone?

 

[Norwayguy]

Go figure, had an appointment for this large commission so I thought. Client had already commited to a mutual fund at their credit union. Have this happen to anyone?

I am confused..A GUL you mean a guaranteed UL policy essentially lifetime term vs a mutual investment...Sounds like you had your wires crossed as those 2 products accomplish different goals.

 

[DHK]

You never lose a product sale to another product.

You lost to another salesperson/advisor.

 

[Cornelius]

Did they need life insurance?

 

[marketing]

I met this client coming out of the market. Starting my normal pitch, seem to be working; ended with a qoute and appointment. Wanted the policy for the kids, four adults. Somewhere between the appointment decided to go another route. They explain how mutual fund way first. What can I say...

 

[Dan3211980]

First thing I'd do is ask how long the client thinks its going to take the mutual fund to accumulate $300k of growth... With the stroke of a pen (and underwritings approval) they have an instant estate. Not only that, the death benefit will be income tax free, and bypass the dreaded probate court system.

 

[mcouper]

Two opposite ends of the financial product spectrum...makes zero sense to compare.

 

[hammerken]

Huge disconnect here. Not only a vast difference in product but most people you run across in the parking lot at the market are either soliciting you to sign some petition or toting some knock off windex and some newspaper looking to wash windows. Not sure if it would be an ideal place but stranger things have happened.

 

[Tahoe Ray]

I met this client coming out of the market. Starting my normal pitch, seem to be working; ended with a qoute and appointment. Wanted the policy for the kids, four adults. Somewhere between the appointment decided to go another route. They explain how mutual fund way first. What can I say...

Was this a 300k single pay deposit into a GUL (and they put the 300k into mutual funds) or was that the proposed face on an annual pay (and they are now investing systematically at the credit union)?

I agree with the above comments...something doesn't compute here.

 

[TRSecurity]

Perhaps you can still salvage something here. Maybe suggest only $100,000 of the $300,000 into the GUL as a safety play? If you can show how the GUL offers other benefits (like a ADB rider to help with home health care events or tax free death benefit) the client might see value. Sometimes taking only a piece of the pie is better than trying for the whole pie. $100,000 may buy the death benefit the client wanted for the kids and the rest can stay liquid in the mutual funds - best of both worlds maybe?

But as the other posters mentioned, these seem like two very different solutions to an undefined problem.