Matt Ohme, Vice President of RIA Distribution, Jackson National, joined Julie Cooling, Founder and CEO of RIA Channel, to discuss the changing design of insurance and annuity products.
The insurance and annuity market now totals $3.5 trillion. Historically, many of those products had high fees and commissions that made them less attractive to RIAs and their clients. However, adding insurance and annuity products to an advisor’s practice gives clients a more well-rounded choice of financial products for their portfolios, allowing advisors to better service clients and grow assets. A wide variety of products are available, including structured notes, buffered ETFs, and buffered annuities.
Because of the historical complexity and cost of insurance and annuity products, Jackson National offers innovative new products and a dedicated team to service independent RIAs. By offering annuities in an advisory share class, advisors are paid fees, not commissions. This reduces the cost to the client and eliminates surrender charges, withdrawal charges, and contingent deferred sales charges.
Jackson offers a concierge team to assist advisors in evaluating and purchasing specific insurance and annuity products. The products can be modeled into each client’s total portfolio, where the team can offer education and recommendations on which product is best for each client’s situation. The concierge team also simplifies the process of new investments including the application, integrated fee billing, and suitability and best interest analysis.
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