Insurance Channel Sending Scores of Advisors to IBDs – InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Top Stories
Topics
    • Life Insurance News
    • Annuity News
    • Health/Employee Benefits
    • Property and Casualty
    • Advisor News
    • Washington Wire
    • Regulation News
    • Sponsored Articles
    • Monthly Focus
  • INN Exclusives
  • NewsWires
  • Magazine
  • Webinars
  • Free Newsletters
Sign in or register to be an INNsider.
  • Exclusives
  • NewsWires
  • Magazine
  • Webinars
  • Free Newsletters
  • Insider Pro
  • About
  • Advertise
  • Editorial Staff
  • Contact
  • Newsletters

Get Social

  • Facebook
  • Twitter
  • LinkedIn
Advisor News
Top Stories RSS Get our newsletter
Order Prints
June 16, 2017 Top Stories No comments
Share
Share
Tweet
Email

Insurance Channel Sending Scores of Advisors to IBDs

By Cyril Tuohy

Large percentages of financial advisors recruited to independent broker-dealers (IBD) are as likely to come from the insurance distribution channel as they are from big wirehouses, a financial industry expert said.

IBDs Kestra Financial and ING Financial Partners each recruit about 30 percent of their advisors from the insurance channel, said Chip Roame, managing partner of Tiburon Strategic Advisors, a market research firm.

IBDs Cambridge Investment Research, Sigma Financial and Signator Investors each recruit between 23 and 27 percent of their financial advisors from the insurance channel, according to Tiburon.

Related stories

  • Some major REITs limiting cash-out requests from investors
  • Four stages of retirement planning

Headlines often announce the departure of large advisors with hundreds of millions of dollars under management from one wirehouse to another or from one wirehouse to an IBD. But a deeper dive into the numbers reveals many advisors coming from the insurance industry as well.

“Are we sure we’re talking about a bunch of people leaving the wirehouses or are we talking about people leaving the captive insurance environment,” Roame asked.

Wells Fargo Advisor Network, Wells Fargo’s IBD, recruits about 65 percent of its advisors from other wirehouses – Morgan Stanley, Merrill Lynch and UBS – but after that the percentage of advisors that come to IBDs from large wirehouses drops off.

Among other leading IBDs, Raymond James Financial Services gathers about 31 percent of its financial advisors from wirehouses and LPL Financial about 26 percent, Tiburon research found.

Commonwealth Financial Network only recruits about 20 percent of its advisors from wirehouses, the research found.

Last year, there were an estimated 76,000 financial advisors working in insurance agencies, brokers and other insurance producer groups.

By comparsion, there were an estimated 85,000 advisors working for full-serve brokerage firms, Tiburon said.

The independent advisor channel counts about 126,000 advisors, retail banks about 12,000 and high-net-worth private client channels about 1,000 advisors.

There are about 300,000 advisors working across the five channels.

InsuranceNewsNet Senior Writer Cyril Tuohy has covered the financial services industry for more than 15 years. Cyril may be reached at [email protected]

© Entire contents copyright 2017 by InsuranceNewsNet.com Inc. All rights reserved. No part of this article may be reprinted without the expressed written consent from InsuranceNewsNet.com.

Older

New Tools Offer A Fresh Look At Client Investment Risk

Newer

States Pushing Fiduciary Rule Standards (With Success)

Advisor News

  • Some major REITs limiting cash-out requests from investors
  • Four stages of retirement planning
  • Can you work while on Social Security?
  • Even on $100K-plus, more Americans are living paycheck-to-paycheck
  • Opinion: the state wealth-tax alliance
More Advisor News

Annuity News

  • Sweet streams of income: ChatGPT, the bard of annuities
  • F&G Annuities & Life announces equity investment in life IMO SYNCIS
  • Investors scrambling to lock in rates propel annuity sales to record highs
  • North American and Annexus launch new fixed index annuity
  • Producers stew as insurers slow to process life and annuity applications
More Annuity News

Health/Employee Benefits News

  • Medicaid coverage is expiring for millions of Americans – but there's a proven way to keep many of them insured
  • Health savings account balances increase in 2021
  • Outcome Health trial gets underway with prosecutors alleging former execs were involved in $1 billion fraud scheme
  • Bill incentivizing gun owners to secure firearms addresses public health concern
  • With CalPERS, add another to list of California's botched projects
More Health/Employee Benefits News

Life Insurance News

  • NAIFA’s Future Leaders Program offers free sessions for students
  • Scott Boutin named president of Standard Security Life
  • Agent insists Alex Murdaugh suggested he killed his son
  • 78% of families suffer financially handling estate affairs
  • National Life expands living benefits suite
Sponsor
More Life Insurance News
The time is 12:15:16am test

- Presented By -

Top Read Stories

  • Investors scrambling to lock in rates propel annuity sales to record highs
  • Chicago news roundup: PPP fraud uncovered in Chicago, informant reveals $100K bounty on FBG Duck and more
  • For some, nothing to fear from taking RMDs, professor says
  • North Carolina businessman pleads guilty in multi-million tax fraud case
  • Study: Education level should drive decisions on Social Security, annuities
More Top Read Stories >

FEATURED OFFERS

Grow life insurance sales in 2023 with middle-market clients

Tap a new source for sales and referrals with Allianz Life Insurance Company of North America.

Don't Miss ICMG 2023

When the success of your business depends on making the right connections, ICMG is the place to be.

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Life Insurance News
  • Annuity News
  • Health/Employee Benefits
  • Property and Casualty
  • Advisor News
  • Washington Wire
  • Regulation News
  • Sponsored Articles
  • Monthly Focus

Top Sections

  • Life Insurance News
  • Annuity News
  • Health/Employee Benefits News
  • Property and Casualty News
  • AdvisorNews
  • Washington Wire
  • Insurance Webinars

Our Company

  • About
  • Editorial Staff
  • Magazine
  • Write for INN
  • Advertise
  • Contact

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2023 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • AdvisorNews

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.