Interesting time to be an annuity agent, for sure. Just five or six years ago, no agent had ever heard of a volatility-controlled index. Now, they are becoming the norm. These indices made a ton of sense when they were first introduced to our world – but for pure accumulation, are they really the best way to go? Let’s take a brief look …
 
Back in 2011-2012, we first started seeing volatility-controlled indexes on FIA products. Carriers smartly started adding these to the strategy mix on FIAs because they had more attractive crediting rates (higher participation rates, lower spreads and better caps) than traditional strategies. The options that support these strategies were far cheaper for the insurance company to purchase than non-volatility-controlled options. These options are cheaper because the volatility index only allocates some of the client’s money into the actual index component. The other portion goes into a T-bill account with low interest. 
 
A nice example might be that carrier A had an annual point to point cap of 2.50% on the S&P 500, and carrier B might have had a 6% cap on an annual point to point on a volatility index. Naturally, the 6% cap looks better. During this time period, when we learned about the “new normal” from Ben Bernanke, these volatility-controlled indices truly were the smart way to go inside an FIA. Today, however, interest rates are rising – and it is worth taking a look at non-volatility-controlled indices as well. 
 
Here is a great example of the power of using a non-volatility controlled, traditional index in today’s rate environment … Let’s say we are using an S&P 500 annual point to point strategy with no cap, no spread and a 55% participation rate. Sure, it doesn’t sound as enticing as a 100% or 140% participation rate – but let’s check some stats.
 
If we look back at the actual S&P 500 over the last ten years, on its own, it returned 5.14% from 2007 – 2017. During that same time period, the 55% participation rate on an annual point to point strategy would have netted 5.29%! How about the best ten-year history, when the S&P returned 9.19%? With the 55% participation rate, and no risk of loss, we still net a highly respectable 8.68%. 
 
We can contrast that with a popular volatility-controlled index, with no cap, no spread and a 100% participation rate. Even with almost doubling the “perceived” participation rate, the annualized hypothetical return here is 5.31%. Just a smidge better than the real, historical return of 5.29% that the S&P actuallyreturned over the last ten years with a 55%. Which would you choose, with full information?
 
Certainly, we sell a ton of FIAs with volatility-controlled strategies. These are still really viable and can net really great results! However, many clients like to see how an index actually fared over a ten year plus historical period. Most volatility indexes were created within the last five years, so for most illustrative quotes, we can only hypothetically say what the index could havedone. 
 
Many times, for me, the simple approach often works best: show them a good rate on a household index that has actual history – and you can take away much of the “complexity” of the FIA sale.

Well, I hope that you are because that will be great news for both of us.  But, you might be asking, what is a "nominator," and what does the nominator get for nominating? 

Whew. Let's first take a look at one definition of the word "nominator" in the Cambridge English Dictionary:  "someone who officially suggests that a person should be considered to do a particular job.” 

Okay, so what's the deal? You might not know that The Ohlson Group pays a nominator fee. Yep, you refer an agent to us, open the door for a conversation, and we present to the "nominated agent" The Ohlson Group success story.  If he she/buys into our value proposition and starts selling annuities and life through us... we pay you. Yes, we pay you.  So, you might be asking, what else do you have to do to get the nominator fee every quarter?  Please read on…
 
You do nothing.  That is right... nothing.  He/she produces and we pay you. You might have another question, "Is there a limit to the amount of bonus/fee that you will be paid?”  The answer is no.  I hope that you break the bank.  Limit on the number of agents you nominate?  No, bring as many as you can.  You see, we want to grow and you can help us.  Plus, you should be paid for your efforts.  

Want to learn more about our "Nominator Bonus?"
Call 1-877-844-0900 and speak with one of the marketers today.
 
Until next time... good selling!

Yes, when most of you are reading this commentary, I will be on the road fishing.  Nope, not in the traditional way, as I really don't know how to fish. I am spending the next several months out on the road "fishing" for quality agent /advisors and singing The Ohlson Group song. 

​You see, our industry "fishing pond" is shrinking.  It seems to be working closer to low tide each and every month.  Some IMO's are selling out to bigger organizations as they aren't sure that they can continue to "fish" as they did in the past. Well, I have two sons that will be taking over The Ohlson Group ,and I am on a mission to bring new blood into the company.

So, what (who) am I fishing for?

1. First, I am looking for a producer doing around $1 million in annuity premium or $75,000 in target premium. Of course I look for "the whale" (that $10 million person), but I know that I can get the $1 million producer to $2 million and above.
2. I want to recruit producers that have a solid attitude and great aptitude regarding what we do for a living.
3. I want the honest person. The person who is honest with friends and family will usually always be honest and fair with his/her clients.
4. I want the producer that believes in the "rich get richer" concept. Why?  Because we pay a handsome quarterly allowance based solely on your production. That is why we pay out hundreds of thousands of bonus dollars each year.

 
I guess we want a person that still wants to be in the business. 

1. One that realizes that the opportunity could not be greater.
2. A producer that embraces change and technology.
3. And finally, a producer that is ready to put some fun back in his practice .

 
So, a good fisherman (from what I have been told) wants to know where the fish are biting. So, help me out. If you fit the above description and are up to hearing the story, give us a call at 1-877-844-0900 and we will let you know why this company, that's been around since 1975, continues to be referred to as… a different experience. 
 
Thanks for your time, and  until next time... good selling!

I am sure many of you remember that was the line used by Columbo (played by Peter Falk) right before he cornered the bad guy. That would eventually lead to the successful arrest of the criminal. Well, it also has a lot of relevance to our business. Yep, and in a couple of ways. Let's examine…
 
Right before you leave the prospects'/client's office or home you would want to use this line.  And, it would be for a couple of different reasons. First, if the prospect has stated that he/she is not going to buy, accept his decision but turn and say..."just one more thing". Then you give one more benefit to your proposal and keep the dialogue going.
 
There is another reason we should all be using the "Just one more thing" line. That is when we ask for referred leads. After you have thanked the client for the business, congratulated them on the wise decision, it is now time to get the leads. So, on your way out the door, "Just one more thing Mr./Ms. client, who do you know that would appreciate the work I have done for you? Would you mind making an introduction?" This should also be done after conducting a periodic client review. 

I hope these simple tips help you. I do thank you for taking the time to read this commentary.  "Just one more thing," Mr./Ms. Advisor, if you aren't doing business with The Ohlson Group, can you tell me what I would have to do to earn your business? Give us a call at 1-877-844-0900 so we can chat about this.
 
Thanks for your time and until next time... good selling!

But now, there is an additional  reason people are buying life insurance...because they might get sick.  I know what you're thinking, Ray has been out in the sun too long.  He thinks we're talking Medical Insurance. Okay, let me be more clear.  People are also buying life insurance because they night have a "chronic illness."  You know, the inability to perform 2 of the 6 activities of daily living.  So, why would they buy life insurance? Thought you would never ask... read on.
 
People are buying life insurance because the death benefit can be accelerated.  In other words, you don't have to die to collect.  Here’s an example: a 62 year old female places $100K in a Single Premium Life policy (this is for simplified issue... full underwriting gives a larger benefit) would have a death benefit of around $200k.  And yes, because she "loves her heirs," she doesn't want to be a burden in the event of a chronic illness.  What a great product.  Plus, some have return of premium. and, if the insured doesn’t get sick?  Beneficiaries get $200 tax free instead of $100k that could be subject to taxation.  Plus... there are continuous pay products for those that don’t want to do a single premium.

Financial Veg-A-Matic Increases Cross-Sell Opportunities with Current Clients

Need some help? Want to see some proposals? Give us a call at 1-877-844-0900 to learn more about Single Premium Life because someone that we love will continue to live.
 
Until next time... good selling!

You've probably heard this quote by Mignon McLaughlin before. But, what about the continuation of the quote?  "But, they're sometimes so bad that they can't get better.”  I am again focusing on your business.

Are you ignoring trends, experiencing lower sales, lower profit margins and feel as though you don't know what to do next?  If this describes you. no need to worry. You are already doing something. You are doing nothing and eventually, without change, it could get so bad that it can't get better. 

Now, I know that the majority reading this are doing just fine and are very happy with their success and income level.  To you, I say congrats and I hope that you are working with The Ohlson Group and we are becoming more prosperous together.  But, if you’re not in the "financially happy club,”  would you like to learn how to get yourself out of the rut and be financially happy again? If so, please read on.
 
Maybe you need a little "re-do" on your business. A little face lift. A new approach, and a whole bunch of fun thrown in as well. You know, it's a lot easier and a lot more fun when you are making these changes with someone else. That is where we step in.

We are not going to give you "our plan". Why?  It is not our plan. It is "your plan" and let us help you tweak, re-write or assist you in wholesale changes. This is not brain surgery, and you can make the balance of this year the best finish that you have ever had. And, the end of this year will dictate how next year kicks off.  

Since 1975, The Ohlson Group of companies has been helping agents and advisors reach new heights. Yes, I have walked a mile in your shoes, and have the MDRT Badges to prove it.  So, what do you have to lose? Call the office at 1-877-844-0900 and line up a consultation with one of our marketing experts. Or you can schedule a chat using our booking calendar below.
 
Until next time... good selling!