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Investments

Professional Financial Investment Advisor – Why Didn’t You Sell Me a Fixed Annuity Income?

A professional financial investment advisor sounds like a great title. Yet few “professional financial advisors” seek the right people to sell a fixed annuity income investment. To sell a fixed annuity income plan to an already qualified prospect is easy.

You did not ask me. Your guideline statistics ruled me out as being a fixed annuity income plan Your assumptions got you into trouble as you had no competition where spreadsheets and company comparison analysis was needed. You would not have had to fight off any objections to making a decision. You cannot have a sales opportunity when you do not know how to spot one. After all this, can you still call yourself a qualified professional financial investment advisor?

Your first wrong assumption   When you decided or were directed by your sales manager to sell financially related products, you were told the style of people not to waste your time on. Almost all true advisors to investors, along with agency crowned financial representatives are headquartered in the more prosperous suburbs of large metropolitan areas. This way the rep is in close proximity to where their key clients work and live.

WRONG   Pounding out freezer burned cold calls and mailers could provide a steady stream of willing investors with sizable assets. However, representative after representative is virtually knocking down their doors. Did ever think that the more unique businesses owners can choose to operate out of any location in the United States. To get away from the concrete jungle, their business is easily located in a smaller town, and still easily accessible. As their business location avoids rush hour traffic, likewise the home is also in a less populated zip code. You want to go by the teachings of your predecessors so you avoid prospects in more remote as they do not appear to fit the mode.

 

Your second wrong assumption    As an advisor selling financial investments you want to work exclusively with executives, and business owners of a certain asset level. A list broker gets instructions by you to target zip codes where the average income is over $100,000, the house worth more than $500,000 and personal liquid assets a similar amount. Zip codes can be very deceiving for giving pinpointed fixed income information. Averages can be misleading, as a $50,000 income and a $200,000 income average out to be $100,000. There could be a large number of manufactured home communities with residents averaging $25,000 income hiding higher earning individuals. You might be wrong that using zip code selection is a good fixed annuity income strategy.

Your third wrong assumption   You receive purchase a guide or lists showing the highest income workers in an area. Attorneys, physicians, and physical store owners would be among the top prospects listed. It is natural to assume that not anyone not on your occupational list or wealthy senior over 65 is worth pursuing. The non-workers as they must be bums, stuck in the middle class, or sliders on other people’s income. What about people that are social security disabled or who inherited money? You completely ignore that possibilities exist.

I failed all your assumptions – I do not live or work in a large affluent metropolitan suburb. My zip code contains a few manufactured homes, many hometown USA houses, along with an abundance of beautiful lakefront small lake homes. Since I am on Social Security Disability, my income puts me in a lower bracket.

How you could have wisely spotted me   My homestead is on 55 acres in a zip code of lots averaging a half to full acre. From the county office, you could have located me on a plat mat by acreage. Likewise, the tax rolls would show the excessive homestead taxes that I paid. You could have spotted dividends earned on mutual funds, when I formerly had twice as much value in them. From an internet search, you would have discovered that I own more than one piece of property. You could have checked for Corvette owners and found that I own a few.

These are all simple clues, which a flood of professional financial investment advisors could not figure out. Before the economic downturn, if even one had figured this out, he or she would have made a worthwhile fixed annuity income sale. Here is another underground method to finding overlooked leads. Look at the newspaper obituaries posted where services take place at upscale funeral facilities. This is digging, not grave digging. Right there are a listed supply of names and cities of people who may come into inheritances, or be soon changing their lifestyles.

Remember that to make money in insurance or as a financial investment advisor, adapt to conducting business in a different manner than everyone else.

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Investments

Financial Investment For Newbies

Investment refers to savings or deferred consumption, which is made by the individual to risk his savings in the hope to gain some returns. Investment is viewed differently in terms of economics and finance. In terms of finance, the goal of investment is to produce future cash flows and in terms of economics, investment is the production of goods for a period which are not consumed but utilized for further production.

Why investment?

The most important reason to invest your savings is to beat the inflation, to achieve financial goals and to plan for retirement. Inflation means paying more for the same goods and services in future. When trying to achieve financial goals like buying house or paying education you need your money also to earn along with you in order to beat inflation. You also need to invest in order to fund your needs when you become old and not capable of earnings (i.e.) plan for your retirement.

 

How to invest?

The type of investment option to choose depends on what you are trying to achieve. Those were the days when the marriage or education of child were expensive but were affordable and investment avenues of that days earned you a good rate of return. So they were manageable with minimal planning. But these days with rise in inflation and with lower rate of return has worked against parents in their mission for a better quality of life for their children. Commencement of planning at an early stage of the life is an important step in the process. Investment avenues like equity funds that offer tax-free returns over longer time frames to manage child’s education/marriage or retirement.

Choosing the right investment product is a difficult task for investor. This task is even more difficult when it come to senior citizens as they will have limited amount. Life will become miserable if they does not have regular source of income. As a result senior citizen should do the balancing act between the return and risk of his investment. For senior citizen, the risk element should be low as much as possible.

For individual investor the objective is to maximize the return on their investment. An individual can maximize return at cost of high risk. The investment options available to investor are equities, fixed income securities, debt, foreign securities, real estate and e-currencies. While investing the constraints of the government rules and regulations and that of investor financial capability and availability of time should be kept in mind.

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Investments

An Overview of Banking, Investment and Insurance

A wide range of employers feature in the banking, investment and insurance sector of the UK, including building societies, investment banks, commercial banks, broking firms and insurance companies.

Investment/ Wholesale Banking – Offering the highest risk, investment banking relies upon the state and performance of the world’s economy. This sector is based on providing specialised financial advice and services to commercial, industrial and government clients. It is said that half of all European global investment banking happens in London.

Retail – This sector cover the services provided in high street banks to small business and individual customers via the banks branch network. Private banking is one of the fastest growing areas in all financial services in recent times; it is when services are offered to high net worth individuals. It is similar to traditional retail banking but offers more services to help wealthy clients look after their money better.

One of the main concerns of retail banking in the future will be coping with identity fraud and the result from the Office of Fair Trading bank charges investigation.

 

Investment/Asses Management – Asset management firms have had to develop and improve their operations by provided better opportunities for clients due to the global market and improved technology. The UK is home to third largest market for asset management. Individuals who work in this sector will need to be aware of both national and international trends and to keep up for new emerging markets.

Financial Advice – IFAs/Independent financial advisers supply advice and information to both businesses and individual clients on products and services that include, investments, pensions, insurance and mortgages.

Many IFAs are self employed and have a group of clients that they will work for on a commission basis. But moves have been made to make fee based services more common than commission services to improve public confidence.

Insurance – The insurance sector in the United Kingdom is the largest in Europe and the third largest in the world. It is considered to be the largest employer in the financial services sector with an estimated 340,000 people working in it, which is a round a third.

So does working in one of these sectors sound appealing? It should be noted that while jobs in the financial, investment and insurance world are often well paid and with excellent benefits packages, they do require a lot of time and effort and can be extremely stressful. Talk to a professional Finance Recruitment company to discuss your options and how to start your career.