Which licenses should I get?

Aug 26, 2008

  1. grincholis
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    grincholis New Member

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    I would like to start an insurance agency in Florida. I don't want to work for someone.

    I am thinking of starting an agency that sells life, health and variable annuties. After a few months, I would like to sell mutual funds and provide retirement planning for individuals and businesses.

    I would like to retain as much commission as possible.

    How much of the above would a series 7/63 accomplish?

    Will I be able to advertise under my firms name even though I use a broker/dealer to settle the transactions.

    I want to be a one man show, so becoming a member of FINRA does not seem practical, with all the compliance issues?

    So does this scenario create two companies? My insurance agency and me being an employee of a broker/dealer?

    I am still in the incubation stage, so your objective criticism is welcome.
     
  2. Paradigm
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    Paradigm Guru

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    6 not 7, 7 not needed for mutual funds or variable

    65 if yoiu wanna do fee based

    suggest a BD sponsor like an insurance company BD. since you dont have experience or abook of business.

    expect compliance, FINRA is securities buiness no way not to be under them as they are ur license *they were the NASD"

    Keep businesses separate- use separate business cards for securities business. Don't advertise securities persay compliance issues. Advertise you primary insurance business and cross sell variables and mf.

    You will be paid direct by BD to ur given name not to a company since you arent a broker dealer.
     
    Paradigm, Aug 26, 2008
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  3. xrac
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    xrac Guru

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    If you do this your broker dealer will have to approve your outside business activity (i.e. insurance). Some B/D's do not allow you to sell index annuities. Be sure that the B/D does not want non security products ran through their grid. The only other thing is that if one has a 7 they can advise someone of stock portfolio holdings. Like cashing in stock and moving the money to an annuity or a mutual fund or other non security instrument. If one only has a 6 they cannot review or comment on stock holdings without being guilty of a violation.
     
    xrac, Aug 26, 2008
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  4. Paradigm
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    Paradigm Guru

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    as far oba he is correct

    as far as index annuities go through an insurance carrier BD or one through index like allianz or usa financial and there will be no problems. If u sell EIA eventually you will need a sec license anyways
     
    Paradigm, Aug 26, 2008
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  5. Paradigm
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    Paradigm Guru

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    most of what ud be advising to go into annuities is var annuity or mf money anyways. Many people now think they can manage their own stcok portfolio through e trade they are wrong but they think they can

    A 6 will be sufficient for ur purpose
     
    Paradigm, Aug 26, 2008
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