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Originally Posted by Roaddog53
I agree with you. The book describes all of that. I was amazed on how many reps had the package for a client already in place before they talked. They basically went through the motions. And the profits for the firm? wow? The book was written by a guy like you who actually CARED about his clients and couldn't tolerate what financial companies were telling them to sell so he quit the industry. If nothing else, it's a good quick study for people that want an understanding on how annuities and other investments work,and prepare them for what to ask.
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Not all companies operate like that, so he must not have been affiliated with one of the good ones. Many people suggest that one should only deal with an independent broker who can deal with many companies, and therefore offer them the best possible product. Many independent brokers are ethical and responsible, however many I have seen are really looking for the product that pays them the highest commission. In my professional opinion, when it comes to commissioned salespeople in the financial services industry, your best bet is to stick with a "captive agent" with one of the major companies, such as New York Life, Mass Mutual, Principal Financial, Northwestern Mutual for example. They are held to very high standards by thier Principals and they are well trained and closely supervised. Independent brokers are much more on their own. Non commissioned salespeople with discount brokerages are not really trained to give much advice or counsel, and stock brokers are often not well versed in annuities. Fee based planners are usually able to give good advice and counsel, but you will end up paying the fee, usually on an ongoing basis for account management, AND paying a commission for the product(s). And while there are low and no load financial instruments out there, someone is paying for the big buildings, the advertising, and the call centers.