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Should I join New York Life?

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D.H.K. View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote D.H.K. Quote  Post ReplyReply Direct Link To This Post Posted: Apr/21/2018 at 7:51pm
Mutual Funds, Variable Annuities (what you'd generally be allowed to sell at NYLIFE Securities) are all registered products (meaning registered with FINRA/SEC and can only be sold by those licensed and registered with a broker/dealer).

The broker/dealer has a payout grid.  They keep some of the Gross Dealer Commission (GDC) and you get the rest.

Let's suppose that you sell a Prudential Variable Annuity for $100,000 and a 7% GDC.  $7,000 is paid to your broker/dealer, and you get a piece of that - according to your payout grid.

Generally, the more you produce, the higher your payout.

At Merrill Lynch, if you do over $1,000,000 in GDC, then you get about a 50% payout (last I remember reading) or $500,000 per year.

At New York Life, since the broker/dealer isn't their primary business, I bet you could do only $250,000 in GDC and earn an 80% payout.  Similarly, you'd get the majority of the asset management fees for any Series 65 business with Eagle Strategies.

However, you'd have to also be doing well with your in-house life insurance and/or in-house annuity sales.  I've seen it at MassMutual where the investment guys do very well, but they didn't sell enough in-house life insurance or annuities, and their contracts were cancelled (terminated).  The General Agent got them re-contracted again, but it's still important to remember that you're still working for a life insurance company.


Now, don't compare this payout to other independent broker/dealers, because they almost ALWAYS want to see a history of production first.  Some can do a payout as high as 95% (I think)... but you have to have prior experience before they'll let you join them.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Blackjackds Quote  Post ReplyReply Direct Link To This Post Posted: Apr/23/2018 at 12:44am
What office are you in?
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helado View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote helado Quote  Post ReplyReply Direct Link To This Post Posted: Apr/23/2018 at 12:49am
A shitty one.
My posts are for abrasive entertainment only. Nothing posted is investment, legal, tax or any type of advice, nor is anything mentioned true or even based on real events. Posts are complete fiction.
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Originally posted by D.H.K. D.H.K. wrote:

Mutual Funds, Variable Annuities (what you'd generally be allowed to sell at NYLIFE Securities) are all registered products (meaning registered with FINRA/SEC and can only be sold by those licensed and registered with a broker/dealer).

The broker/dealer has a payout grid.  They keep some of the Gross Dealer Commission (GDC) and you get the rest.

Let's suppose that you sell a Prudential Variable Annuity for $100,000 and a 7% GDC.  $7,000 is paid to your broker/dealer, and you get a piece of that - according to your payout grid.

Generally, the more you produce, the higher your payout.

At Merrill Lynch, if you do over $1,000,000 in GDC, then you get about a 50% payout (last I remember reading) or $500,000 per year.

At New York Life, since the broker/dealer isn't their primary business, I bet you could do only $250,000 in GDC and earn an 80% payout.  Similarly, you'd get the majority of the asset management fees for any Series 65 business with Eagle Strategies.

However, you'd have to also be doing well with your in-house life insurance and/or in-house annuity sales.  I've seen it at MassMutual where the investment guys do very well, but they didn't sell enough in-house life insurance or annuities, and their contracts were cancelled (terminated).  The General Agent got them re-contracted again, but it's still important to remember that you're still working for a life insurance company.


Now, don't compare this payout to other independent broker/dealers, because they almost ALWAYS want to see a history of production first.  Some can do a payout as high as 95% (I think)... but you have to have prior experience before they'll let you join them.

I really appreciate you taking the time to write this. Definitely learned something. Which has the highest income potential? Insurance or investment firms?
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Post Options Post Options   Thanks (0) Thanks(0)   Quote PEACH_cm Quote  Post ReplyReply Direct Link To This Post Posted: Apr/23/2018 at 1:48pm
Originally posted by ozilgoff ozilgoff wrote:

Originally posted by D.H.K. D.H.K. wrote:

Mutual Funds, Variable Annuities (what you'd generally be allowed to sell at NYLIFE Securities) are all registered products (meaning registered with FINRA/SEC and can only be sold by those licensed and registered with a broker/dealer).

The broker/dealer has a payout grid.  They keep some of the Gross Dealer Commission (GDC) and you get the rest.

Let's suppose that you sell a Prudential Variable Annuity for $100,000 and a 7% GDC.  $7,000 is paid to your broker/dealer, and you get a piece of that - according to your payout grid.

Generally, the more you produce, the higher your payout.

At Merrill Lynch, if you do over $1,000,000 in GDC, then you get about a 50% payout (last I remember reading) or $500,000 per year.

At New York Life, since the broker/dealer isn't their primary business, I bet you could do only $250,000 in GDC and earn an 80% payout.  Similarly, you'd get the majority of the asset management fees for any Series 65 business with Eagle Strategies.

However, you'd have to also be doing well with your in-house life insurance and/or in-house annuity sales.  I've seen it at MassMutual where the investment guys do very well, but they didn't sell enough in-house life insurance or annuities, and their contracts were cancelled (terminated).  The General Agent got them re-contracted again, but it's still important to remember that you're still working for a life insurance company.


Now, don't compare this payout to other independent broker/dealers, because they almost ALWAYS want to see a history of production first.  Some can do a payout as high as 95% (I think)... but you have to have prior experience before they'll let you join them.

I really appreciate you taking the time to write this. Definitely learned something. Which has the highest income potential? Insurance or investment firms?
Do you want to make money? Do you want to help people? Or, do you want to make money while helping people?
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Post Options Post Options   Thanks (0) Thanks(0)   Quote missionshooter Quote  Post ReplyReply Direct Link To This Post Posted: Apr/23/2018 at 1:53pm
Originally posted by ozilgoff ozilgoff wrote:

Originally posted by D.H.K. D.H.K. wrote:

Mutual Funds, Variable Annuities (what you'd generally be allowed to sell at NYLIFE Securities) are all registered products (meaning registered with FINRA/SEC and can only be sold by those licensed and registered with a broker/dealer).

The broker/dealer has a payout grid.  They keep some of the Gross Dealer Commission (GDC) and you get the rest.

Let's suppose that you sell a Prudential Variable Annuity for $100,000 and a 7% GDC.  $7,000 is paid to your broker/dealer, and you get a piece of that - according to your payout grid.

Generally, the more you produce, the higher your payout.

At Merrill Lynch, if you do over $1,000,000 in GDC, then you get about a 50% payout (last I remember reading) or $500,000 per year.

At New York Life, since the broker/dealer isn't their primary business, I bet you could do only $250,000 in GDC and earn an 80% payout.  Similarly, you'd get the majority of the asset management fees for any Series 65 business with Eagle Strategies.

However, you'd have to also be doing well with your in-house life insurance and/or in-house annuity sales.  I've seen it at MassMutual where the investment guys do very well, but they didn't sell enough in-house life insurance or annuities, and their contracts were cancelled (terminated).  The General Agent got them re-contracted again, but it's still important to remember that you're still working for a life insurance company.


Now, don't compare this payout to other independent broker/dealers, because they almost ALWAYS want to see a history of production first.  Some can do a payout as high as 95% (I think)... but you have to have prior experience before they'll let you join them.

I really appreciate you taking the time to write this. Definitely learned something. Which has the highest income potential? Insurance or investment firms?



Fuckin A....


This right here is why I haven't posted anything helpful here. God damn millenials
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D.H.K. View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote D.H.K. Quote  Post ReplyReply Direct Link To This Post Posted: Apr/23/2018 at 2:01pm
I'm going to answer your question in a very different way than you're expecting.  It's not about the products you sell, but the solutions you offer for a given market profile or demographic.

Read the article on page 19: "Are you pursuing the wrong market?"  

It was written 12 years ago, but it's a great article and may help "ground you" as you are making your career plans and setting a direction for yourself.

When you're getting started, I think it's important to have a lower client profile to help you build up momentum and a rhythm of the business.  Then you can increase that profile over time.  Insurance sales and solutions is a great way to start.  Of course, I'm the "insurance guy" on the forum, so I suppose I have a certain bias.
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D.H.K. View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote D.H.K. Quote  Post ReplyReply Direct Link To This Post Posted: Apr/23/2018 at 2:17pm
But if you want some real numbers behind various products:

The #1 insurance producer I've heard about... references someone else who earns 10x as much as he does.  She did over $70 million in commissions in Japan in one year.  However, she is well connected with all the right people, so I wouldn't expect to duplicate her success.

I heard about her from Mehdi Fakharzadeh - a guy who is 95 and STILL producing and the MDRT says is the #1 insurance producer in the world.  He primarily does estate and business planning - probably a lot of joint work, client reviews, and referrals.  He reportedly turned down his $700,000 per year pension to keep working and doing what he's doing.




The #1 producer on the broker/dealer side has been Ron Carson - he and his huge team used to generate $10 million per year in GDC.  He has transitioned to his own RIA because you can earn compounded income for your time in managing assets.

Lots of RIA firms and advisors you can model and emulate.  Fischer Investments, Ric Edelman, and many others have Billions under management.


The question isn't "how much can you make?"  The questions is: Will you earn enough to survive, grow, and prosper to become functional and thrive in this business?  Once you have the right skills, you can head in many different directions.

This business is backwards to many other jobs and careers.  This industry is EASY to get in, but HARD to stay.  Everything else out there that is just as meaningful as what we do... is HARD to get in, and EASY (or easier) to stay.

But will you be one of the ones that stays, grows, and prospers?  Or will you fail out within a year?
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Post Options Post Options   Thanks (0) Thanks(0)   Quote bc2051 Quote  Post ReplyReply Direct Link To This Post Posted: Apr/23/2018 at 2:35pm
Originally posted by PEACH_cm PEACH_cm wrote:

Originally posted by ozilgoff ozilgoff wrote:

Originally posted by D.H.K. D.H.K. wrote:

Mutual Funds, Variable Annuities (what you'd generally be allowed to sell at NYLIFE Securities) are all registered products (meaning registered with FINRA/SEC and can only be sold by those licensed and registered with a broker/dealer).

The broker/dealer has a payout grid.  They keep some of the Gross Dealer Commission (GDC) and you get the rest.

Let's suppose that you sell a Prudential Variable Annuity for $100,000 and a 7% GDC.  $7,000 is paid to your broker/dealer, and you get a piece of that - according to your payout grid.

Generally, the more you produce, the higher your payout.

At Merrill Lynch, if you do over $1,000,000 in GDC, then you get about a 50% payout (last I remember reading) or $500,000 per year.

At New York Life, since the broker/dealer isn't their primary business, I bet you could do only $250,000 in GDC and earn an 80% payout.  Similarly, you'd get the majority of the asset management fees for any Series 65 business with Eagle Strategies.

However, you'd have to also be doing well with your in-house life insurance and/or in-house annuity sales.  I've seen it at MassMutual where the investment guys do very well, but they didn't sell enough in-house life insurance or annuities, and their contracts were cancelled (terminated).  The General Agent got them re-contracted again, but it's still important to remember that you're still working for a life insurance company.


Now, don't compare this payout to other independent broker/dealers, because they almost ALWAYS want to see a history of production first.  Some can do a payout as high as 95% (I think)... but you have to have prior experience before they'll let you join them.

I really appreciate you taking the time to write this. Definitely learned something. Which has the highest income potential? Insurance or investment firms?
Do you want to make money? Do you want to help people? Or, do you want to make money while helping people?


I like this
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Post Options Post Options   Thanks (0) Thanks(0)   Quote RickRoss Quote  Post ReplyReply Direct Link To This Post Posted: Apr/23/2018 at 7:31pm
Join VALIC.
"Act as if you are the MF bomb..... even if you are one of those snap pops you throw on the ground."
-gotplanning, 2/9/12
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Post Options Post Options   Thanks (0) Thanks(0)   Quote helado Quote  Post ReplyReply Direct Link To This Post Posted: Apr/25/2018 at 11:26pm
...if your only other option is Primerica.
My posts are for abrasive entertainment only. Nothing posted is investment, legal, tax or any type of advice, nor is anything mentioned true or even based on real events. Posts are complete fiction.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote ebg18t Quote  Post ReplyReply Direct Link To This Post Posted: Apr/26/2018 at 9:14am
There are tons of options out there. If you want to be more securities oriented visit one of the big firms. You could always do a Schwab, ML or Fido to get licensed, learn and then do something else. 
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Post Options Post Options   Thanks (0) Thanks(0)   Quote ozilgoff Quote  Post ReplyReply Direct Link To This Post Posted: Apr/26/2018 at 9:12pm
Originally posted by ebg18t ebg18t wrote:

There are tons of options out there. If you want to be more securities oriented visit one of the big firms. You could always do a Schwab, ML or Fido to get licensed, learn and then do something else. 

Fido is Fidelity?
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Iamlegend Quote  Post ReplyReply Direct Link To This Post Posted: Apr/26/2018 at 9:30pm
Originally posted by ozilgoff ozilgoff wrote:

Originally posted by ebg18t ebg18t wrote:

There are tons of options out there. If you want to be more securities oriented visit one of the big firms. You could always do a Schwab, ML or Fido to get licensed, learn and then do something else. 

Fido is Fidelity?

Yes
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Post Options Post Options   Thanks (0) Thanks(0)   Quote MichaelBurton Quote  Post ReplyReply Direct Link To This Post Posted: May/31/2018 at 2:32pm
So what did you end up doing, OP?

I started with NYL through a District Agent who ended up being one of NYL's top producers. . . before getting canned for all the crazy shit he was doing to sell big insurance policies.  Moved back to the GA and worked with Eagle Strategies.

Once I started shopping product competitively for my clients, my career as a NYL agent was doomed.

There is just too much arbitrage in underwriting and product pricing - even for things that seem like commodities (term life) - to have one mother ship where you push all your product.

I just swiped a 15K commission case on a buy-sell from a Mass Mutual guy down here because he was feeding his mother company at the expense of the client.  I showed the guy he could save nearly 80% and he ripped the deal from his partner's own nephew and gave it to me.

Whatever you end up selling, I would definitely find a way to get into the business through an independent approach.  That's what people want and need.

Good luck!
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Post Options Post Options   Thanks (0) Thanks(0)   Quote spudpotato Quote  Post ReplyReply Direct Link To This Post Posted: Jun/08/2018 at 11:49pm
I hate NYL. Put me in an annuity at 24 years old - and I’ll never forget it. Never called it an annuity either. 🤯
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Iamlegend Quote  Post ReplyReply Direct Link To This Post Posted: Jun/09/2018 at 8:07am
Originally posted by spudpotato spudpotato wrote:

I hate NYL. Put me in an annuity at 24 years old - and I’ll never forget it. Never called it an annuity either. 🤯


Crazy! If all you have is a 🔨, everything looks like a nail!
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Post Options Post Options   Thanks (0) Thanks(0)   Quote nacho Quote  Post ReplyReply Direct Link To This Post Posted: Jun/19/2018 at 7:28pm
Originally posted by ozilgoff ozilgoff wrote:

Originally posted by D.H.K. D.H.K. wrote:

You probably won't beat the broker/dealer payout anywhere else (probably tops out at about 80%). 


Thanks for the advice. I sincerely appreciate it. What do you mean by this?

as you increase your business, your payout will increase. when you get a boatload of business built and reach your peak payout, it will be around 80% of your gross production revenue. 
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