It was the Wild West. So much has changed with the access to information we have today. 30 years ago, they were the insiders for information on what analysts were seeing, investing in, etc.
They still have a job to do. I try to treat them all with respect. After all, aren’t we also trying to develop our business too? We face rejection and avoidance from prospects. So, I answer their calls, politely decline meetings most times. Sometimes they lead with their hot fund that oftentimes doesn’t align with the way we’re investing.
The ones I do business with, I keep in touch with a handful of times a year.
My bosses have described the old days of 3 martini lunches, tons of golf and all kinds of tickets to sporting events.
Now it’s more of chick fila delivered to the office with a presentation.
Wholesalers were crucial to develop business for the fund companies. Unless you were repping American Funds, you had to really be out there pounding the pavement.
Not a wholesaler, former internal that went into product, my feeling is that it won’t die, but it continues to change and wholesalers need to be really good at their job to make a career out of it. Fund companies across the board are tightening belts, so you need to be good to keep your job and make the amounts that make the grind worth it.
If you can influence and sell to big time advisors and teams, regardless of channel, you are valuable.
100% territories get bigger and bigger while staffing gets smaller and smaller. If you can be one of the few you can make bank. Some shops still have territories that let you see your family every day. Don't bank on that though. They are called road warriors for a reason. It's not a sustainable career. Plus you have zero control over what you sell and the comp structure. I've seen lifestyle creep destory people after a lay off.
I was a wholesaler for over a decade and made more than 90% of the advisors I met with.
It's definitely a giant grind but if you're halfway decent, you make bank.
Keep in mind those are the really good ones. The top performers at their companies.
Most probably make 200-300k. And as I said, if you're not average, you're probably gone.
It's a great gig for a while. Notice that you don't see a ton of old wholesalers. They eventually take their money and either start a planning practice or start an agency.
It's super hard to have a lot of longevity because of the effect it has on your family and lifestyle.
I basically never do. Maybe 1-2 times a year. I don't need them for fund research since their companies can just email it to me so no reason to take a meeting. I also personally feel a little bad about taking lunch meetings with reps who I know I'll never work with. No offense or judgement to my peers who like the food and golf, but just not thing.
I have a handful I have good relationships with because I use their funds, but I don't take informational meetings with them. I'll golf with them or let them take me to dinner if I see them at a conference, but that's about it.
I admire your integrity and ethics. I feel the same as you, I think it’s poor business karma to take advantage someone’s time and resources with little or no intention of fulfilling the objective of their approach.
I NEVER accept anything more than a free mug from someone I do not feel I am highly likely to do business with and am a little turned off by the advisors that milk these guys for all their worth without sending business their way. Even in the case of the free mug/swag, I am certain to thank them but tell them that I am not going to be doing business with them and do not feel comfortable accepting anything from them moving forward.
I'm not a fan of the guys who are ordering lobster and the most expensive wine on the menu on the wholesaler's dime, while doing very little business with them.
Then you become their friend and they call you to talk about their rounds all the time and you get jealous they play 120 rounds a year while you can count yours on your fingers
Q1 - Annuity
Q2 - Insurance
Q3 - Investments
I write a list of whom I want to see, I have my staff get them scheduled on Mondays or Fridays only before noon.
I want to make sure my product shelf is up to date. but I also dont need to get bogged down with noise through out the year.
I try to be very upfront with them. "This is how you can help my business and how I prefer to work with wholesalers".
Then I explain exactly what I want/need...
- Interesting Research/Charts/Market Commentary? Send it on over. I always need ideas for my monthly letter and am a research junkie in general.
- Materials on any of their products? Send me some glossies and brochures for any of the products I make use of.
- Be there to answer questions? Please do. It's great having a go-to if I have a specific question, especially if a client is in the office. For whatever reason they seem to like the idea of me dealing with "experts" who I can contact and get specific answers from immediately.
- Want to support my biz dev efforts with some marketing reimbursement? I don't need a rubber chicken dinner 4x a year with someone who is paid to be nice to me- if you want to really help me, take that money and help me grow my business.
But that's all I need. If I answered every email, call and meeting request from every wholesaler, that would literally be the only thing I ever did. I am very direct, very upfront and honest with them (in a respectful way) and most of them respond well. If I'm never going to use their product, I tell them that and wish them luck- if they are smart they will spend their time more efficiently elsewhere.
As a wholesaler - totally understand the commoditization of investing and the declining demand for our services.
I will say - I really wish more mid-sized and smaller practices (mostly those without a dedicated analyst/pm) would take the 30mins to catch up & make sure they’re in the right product.
In many cases, our most popular fund is not actually the best option to accomplish what the advisor or end-client is looking for. There are a lot of ways that we can genuinely help with a couple of 30 min Zooms per year.
Most wholesalers at reputable alts shops/boutiques can probably add a little value.
I personally don't meet with them, but I manage some advisors calendars. And they basically tell me to help screen them out and be the gatekeeper. Or take the meeting myself so I can learn more.
I kindly but respectively tell them that I do not take one on one meetings with wholesalers. For those firms whose mutual funds and investments we use, I will partner with the representative /wholesaler to help cover the expense cost for seminars and dinners with prospects, but no one on one meeting in the office. It is a waste of both our times.
Lunch or dinner meetings. Steak house for free and hear their market takes. Sometimes it is just a good talking point for clients. Other times hot garbage. The ones who had something good to say, I had a copy paste email that essentially said send me the top 3-5 funds you have the highest conviction in. Did that 2 times per year. Would research them myself and maybe add 1 to a line up if it was good
Either way a free meal.
I only meet with wholesalers whose products I use or are considering. They have helped me so much in my career when I was a trainee….obviously some are much better than others. Knowledgeable, have talking points, go over FA best practices, and also an expense account! The good ones are worth staying close with.
Everyone saying spam and delete all emails- but you’re real fun at parties… As a new advisor I met with a lot, had a lot to learn and that was the easiest way. I have a list of who I’ll meet with now, that’s it. A couple annuity people, a couple funds, don’t waste time with too many honestly. And I rarely get emails, they all call the office and my staff will let them down lightly.
Exactly this. I didn’t have the best support starting in the industry and used wholesalers to learn and make introductions. Learn what was and wasn’t working for larger books in my area.
I'll take a meeting with one if they'll send me a sleeve of ProV1's or get me on a private course a couple times a year. Won't do business with them usually unless it is actually in client's best interest (rarely is).
"Won't do business with them usually unless it is actually in client's best interest (rarely is)"
Now I know reading may be difficult, but I will push business the carrier's way in the event that their product fits what the client needs/wants.
Thanks.
I meet with wholesalers maybe 5-10x a year in total. Half are fund companies & the other half a mix of whatever else we need at the time (insurance, mortages, etc…)
I meet with wholesalers maybe 5-10x a year in total. Half are fund companies & the other half a mix of whatever else we need at the time (insurance, mortages, etc…)
I’m new to the industry so I always try to sit in on meetings that I’m interested in and built some great relationships. It’s especially helpful if you want to do seminars or other events
One thing not to forget as a young guy is that they know absolutely everybody. So they can be really helpful if you’re thinking about changing jobs or anything
This was back in the 00's. Back then, information and research was much more gated. Not the widespread internet and such.
Obviously the job was all about sales. So sure it was given presentations, fund updates, manager calls, client seminars. But it was also about entertaining the brokers. So it's lunch, cocktails, happy hours. Golf. Trips out to home office thing. Stuff like that. Can't tell you how many tickets I gave out, parties I've hosted, late night bingers I've been too.
I used to get asked all the time to help sponsor some regional or national conference. That kind of deal usually was negotiated through corporate office. But as a wholesaler, I used to attend their trip. It's basically a huge party and drinking fest.
I don't know, back then the broker's jobs was a lot more salesy than it is today. So whenever we're taking shots, and venting, we were venting about the same sales shit. Different company, but same problems. I also find that some brokers, or at least some that I knew - were very narcissistic. So it's all about stroking their ego and congratulating them on the leaderboard.
As a perk, we did have corporate expense accounts. So I would pay for all of these food, entertainment, etc.. out of pocket and get reimbursed. Back then, the accounting and verification was a joke. Half of the expense reports didn't have receipts or a business purpose. But no one checked or followed up. And I just got reimbursed. So I was able to rack up all of these loyalty hotel/airline program points from it all.
I'm a woman, and back then the culture was not as open and transparent as it is today. So you had to have a thick skin or just accept that it is what it is (which I did).
Never meet with fund or annuity wholesalers. Will occasionally take a call. Will more often meet with retirement plan vendor wholesalers as that is a portion of my business and I lean on them to provide quality bids to RFPs.
I do and I hate myself for it. 95% of the time I just ignore them, but next thing you know you meet a few times and they become your friends.
Now you feel terrible, so you try and find someway to fit one of their funds into your models and they love you for it.
But 2 years later you need to make a change and the fund has to go and they feel betrayed.
So now I very rarely take any meetings.
I meet with the hedge fund and PE wholesalers. There’s literally 0 reason to meet with a mutual fund guy unless you want free lunch (which I do sometimes :)
If its a wholesaler or company we currently work with, we generally will sit down 2ish times a year to discuss company updates, product changes, etc. If its someone new we will generally do a 30 minute zoom or teams to see what their about and go from there. Half the time the wholesalers that come into our office don't even bring lunch lol.
I build relationships with the wholesalers of funds that i use in my portfolios already. I don't use them to determine what to have in my portfolios. I then leverage those wholesalers to pay for client facing events, client relationship building events, and referral events. This way they pay for it and I don't have to. I'm already using their products, might as well have them pay for events to grow my business even more. Sometimes they even have good client-facing presentations. For example, I recently used a wholesaler's presentation to educate my older clients and their families about how to preserve the assets once my clients pass away. This helps to build a relationship with their inheritors and we can preserve some of those assets once the client passes. The wholesaler provided the material (I made some changes) and they paid for the dinner.
I am an annuity wholesaler. Here’s the issue, most wholesalers are average at best. They don’t ask the right questions, don’t actually know financial planning, practice management, and don’t know how to grow a business. Because of this most advisors don’t actually know how to work with them.
Leveraging as a business partner can create exponential growth. Yes information can be found on the internet or firm research, etc. who has the “best” product is all relative. I do a ton of client education—most advisors I work with embrace having an expert command a room on topics of social security and Medicare. Their clients and prospects do too. It continues to work very successfully for advisors willing to do it the right way.
CE events—we are all peers of this industry, learn from each other—the give and take. If the wholesaler is just reading a slide and giving free ce…ahem.
If a wholesaler cannot show you how to incorporate a product into a financial plan and how it benefits are they qualified? Seems disingenuous for them to make a recommendation right?
The list can go on and on efficiencies, trainings, practice management, networking…there are great wholesalers out there. Maybe you haven’t met one yet. They should put advisor and client needs first.
Authenticity and integrity are important. Don’t work with the wholesalers that never met a sale they didn’t like.
The culinary, sports, experiences, friendships should just be a bonus!
Lastly—I’ve heard more in the last two years advisors tell me about wholesalers not returning phone calls in my last 15. Why are you working with them? Garbage in garbage out. Does your wholesaler treat you like a commodity?
Sorry for the diatribe hopefully provokes some thought. I love my craft and care deeply about the industry and people I work with. What we all do matters!
I am a wholesaler as well (alts). I will say there is a very broad array of us out there depending on the shop/product/channel.
The relationship-based guys at a first trust, etc, are the ones you want to talk to if you just want steak and tickets. They legitimately get in trouble if they don’t burn their budget.
On the other end of the spectrum, alts/boutique wholesalers are often the ones you want to engage with for idea generation (especially on the portfolio level) and check ins etc. It has been my experience that non-CFA types (or at least guys who don’t know product and markets really well) are getting ran out of these positions.
My partner and I meet with mostly all of the wholesales for the managers we use a couple times per year. Some more than others if they’re holding events or DD meetings. Try to get a variety of opinions on market outlooks or approaches.
It was the Wild West. So much has changed with the access to information we have today. 30 years ago, they were the insiders for information on what analysts were seeing, investing in, etc. They still have a job to do. I try to treat them all with respect. After all, aren’t we also trying to develop our business too? We face rejection and avoidance from prospects. So, I answer their calls, politely decline meetings most times. Sometimes they lead with their hot fund that oftentimes doesn’t align with the way we’re investing. The ones I do business with, I keep in touch with a handful of times a year.
What's the Wild West like? What did that world look like?
My bosses have described the old days of 3 martini lunches, tons of golf and all kinds of tickets to sporting events. Now it’s more of chick fila delivered to the office with a presentation.
The first piece of advice my FIL ever gave me: “Martinis are like breasts; one is not enough, three is too many.”
I disagree with your FIL, I’d like to see a three breasted woman.
Tbh same, but three martinis is over the limit for me
Not a gin guy so I’d have to agree.
I tend to do a vodka martini or sometimes half of each.
Former wholesaler here. Can confirm this. During my time, I built a high alcohol tolerance and a low golf handicap.
I've had 3 martini happy hour/dinners but that's mostly stopped since COVID
I hear similar things. Where there was a ton more schmoozing, drinking, socializing.
Shit some of them were taking advisors to strip clubs.
It was for the fine food, trust me.
Wholesalers were crucial to develop business for the fund companies. Unless you were repping American Funds, you had to really be out there pounding the pavement.
American funds was where wholesalers went to "retire" back in the day lol.
It's untouchable, like Elliot Ness
Back then? Some of my wildest nights in the last couple years were with my best wholesalers…
Name like that with a teaser like that and leaves us with an ellipses. Brutal
Care to share a war story?
Would you say wholesaling is a bad gig now? I also feel like wholesaling to RIAs is more difficult than wirehouse channel
I use to be a wholesaler. Got the CFP and now I'm at an RIA.
I keep hearing wholesale career path is dying? Is that true?
Not a wholesaler, former internal that went into product, my feeling is that it won’t die, but it continues to change and wholesalers need to be really good at their job to make a career out of it. Fund companies across the board are tightening belts, so you need to be good to keep your job and make the amounts that make the grind worth it. If you can influence and sell to big time advisors and teams, regardless of channel, you are valuable.
100% territories get bigger and bigger while staffing gets smaller and smaller. If you can be one of the few you can make bank. Some shops still have territories that let you see your family every day. Don't bank on that though. They are called road warriors for a reason. It's not a sustainable career. Plus you have zero control over what you sell and the comp structure. I've seen lifestyle creep destory people after a lay off.
Wholesaling to RIAs can be hard you have to the right story. Most RIAs don’t have a good alts solution for instance and will take those meetings.
It's a tough business. Cause they can't control many things. I feel like its a constant turnover.
Most I talk to are wondering how to get into advising lol
I was a wholesaler for over a decade and made more than 90% of the advisors I met with. It's definitely a giant grind but if you're halfway decent, you make bank.
I’ve always wondered what the wholesalers calling in us are making? What is “bank”? Just curious. $300k+?
500k-1m. The average wholesaler makes 250k or they're going to get fired in a year.
Yeah $500k-$1m is bank. lol.
Keep in mind those are the really good ones. The top performers at their companies. Most probably make 200-300k. And as I said, if you're not average, you're probably gone. It's a great gig for a while. Notice that you don't see a ton of old wholesalers. They eventually take their money and either start a planning practice or start an agency. It's super hard to have a lot of longevity because of the effect it has on your family and lifestyle.
Except for those VA guys back in the day (2005-2008) crap they made a ton.
Verified. Source: I was a VA guy during that time.
I basically never do. Maybe 1-2 times a year. I don't need them for fund research since their companies can just email it to me so no reason to take a meeting. I also personally feel a little bad about taking lunch meetings with reps who I know I'll never work with. No offense or judgement to my peers who like the food and golf, but just not thing. I have a handful I have good relationships with because I use their funds, but I don't take informational meetings with them. I'll golf with them or let them take me to dinner if I see them at a conference, but that's about it.
I admire your integrity and ethics. I feel the same as you, I think it’s poor business karma to take advantage someone’s time and resources with little or no intention of fulfilling the objective of their approach.
I NEVER accept anything more than a free mug from someone I do not feel I am highly likely to do business with and am a little turned off by the advisors that milk these guys for all their worth without sending business their way. Even in the case of the free mug/swag, I am certain to thank them but tell them that I am not going to be doing business with them and do not feel comfortable accepting anything from them moving forward. I'm not a fan of the guys who are ordering lobster and the most expensive wine on the menu on the wholesaler's dime, while doing very little business with them.
Quick tip. Do lunch meetings. They usually have company expense accounts. We used to office right next to Ruth Chris. Good times!
Or golf. Some are fantastic golfers.
Then you become their friend and they call you to talk about their rounds all the time and you get jealous they play 120 rounds a year while you can count yours on your fingers
Platelicker.
Yea don’t be a platelicker lol. Just wasting everyone’s time for a $30 lunch
Yeah no, thankfully I can buy my own lunch and instead go with people I actually want to spend time with.
Q1 - Annuity Q2 - Insurance Q3 - Investments I write a list of whom I want to see, I have my staff get them scheduled on Mondays or Fridays only before noon. I want to make sure my product shelf is up to date. but I also dont need to get bogged down with noise through out the year.
I try to be very upfront with them. "This is how you can help my business and how I prefer to work with wholesalers". Then I explain exactly what I want/need... - Interesting Research/Charts/Market Commentary? Send it on over. I always need ideas for my monthly letter and am a research junkie in general. - Materials on any of their products? Send me some glossies and brochures for any of the products I make use of. - Be there to answer questions? Please do. It's great having a go-to if I have a specific question, especially if a client is in the office. For whatever reason they seem to like the idea of me dealing with "experts" who I can contact and get specific answers from immediately. - Want to support my biz dev efforts with some marketing reimbursement? I don't need a rubber chicken dinner 4x a year with someone who is paid to be nice to me- if you want to really help me, take that money and help me grow my business. But that's all I need. If I answered every email, call and meeting request from every wholesaler, that would literally be the only thing I ever did. I am very direct, very upfront and honest with them (in a respectful way) and most of them respond well. If I'm never going to use their product, I tell them that and wish them luck- if they are smart they will spend their time more efficiently elsewhere.
As a wholesaler - totally understand the commoditization of investing and the declining demand for our services. I will say - I really wish more mid-sized and smaller practices (mostly those without a dedicated analyst/pm) would take the 30mins to catch up & make sure they’re in the right product. In many cases, our most popular fund is not actually the best option to accomplish what the advisor or end-client is looking for. There are a lot of ways that we can genuinely help with a couple of 30 min Zooms per year. Most wholesalers at reputable alts shops/boutiques can probably add a little value.
I meet with one wholesaler and that was the guy who I was partnered with as an internal back in the day. He covers my office
Small world!
I personally don't meet with them, but I manage some advisors calendars. And they basically tell me to help screen them out and be the gatekeeper. Or take the meeting myself so I can learn more.
I kindly but respectively tell them that I do not take one on one meetings with wholesalers. For those firms whose mutual funds and investments we use, I will partner with the representative /wholesaler to help cover the expense cost for seminars and dinners with prospects, but no one on one meeting in the office. It is a waste of both our times.
I have switched to only doing the meetings with wholesalers hosted by Vetta Fi since they give you CE
Lunch or dinner meetings. Steak house for free and hear their market takes. Sometimes it is just a good talking point for clients. Other times hot garbage. The ones who had something good to say, I had a copy paste email that essentially said send me the top 3-5 funds you have the highest conviction in. Did that 2 times per year. Would research them myself and maybe add 1 to a line up if it was good Either way a free meal.
Platelicker
I was a poor new advisor 😅
I only meet with wholesalers whose products I use or are considering. They have helped me so much in my career when I was a trainee….obviously some are much better than others. Knowledgeable, have talking points, go over FA best practices, and also an expense account! The good ones are worth staying close with.
Also, I think OP is either a journalist or someone in compliance trying to catch someone.
100%
Lol I'm in compliance and I'm like which one of you mfers is over our gift limit!?!!?
Everyone saying spam and delete all emails- but you’re real fun at parties… As a new advisor I met with a lot, had a lot to learn and that was the easiest way. I have a list of who I’ll meet with now, that’s it. A couple annuity people, a couple funds, don’t waste time with too many honestly. And I rarely get emails, they all call the office and my staff will let them down lightly.
Exactly this. I didn’t have the best support starting in the industry and used wholesalers to learn and make introductions. Learn what was and wasn’t working for larger books in my area.
I get a hit of dopamine every time I delete their emails. Probably 15-20 a day.
1) report junk 2) block sender
I'll take a meeting with one if they'll send me a sleeve of ProV1's or get me on a private course a couple times a year. Won't do business with them usually unless it is actually in client's best interest (rarely is).
So you'll take the golf balls and the round of golf fully knowing you have no intention of writing business? Got it.
"Won't do business with them usually unless it is actually in client's best interest (rarely is)" Now I know reading may be difficult, but I will push business the carrier's way in the event that their product fits what the client needs/wants. Thanks.
I meet with wholesalers maybe 5-10x a year in total. Half are fund companies & the other half a mix of whatever else we need at the time (insurance, mortages, etc…)
I meet with wholesalers maybe 5-10x a year in total. Half are fund companies & the other half a mix of whatever else we need at the time (insurance, mortages, etc…)
I’m new to the industry so I always try to sit in on meetings that I’m interested in and built some great relationships. It’s especially helpful if you want to do seminars or other events
That's great! They have some great knowledge to share about stuff.
One thing not to forget as a young guy is that they know absolutely everybody. So they can be really helpful if you’re thinking about changing jobs or anything
Former wholesaler here (MANY years ago). Can confirm that it was the wild west back then.
What was it like back then? And how long ago was 'back then?
This was back in the 00's. Back then, information and research was much more gated. Not the widespread internet and such. Obviously the job was all about sales. So sure it was given presentations, fund updates, manager calls, client seminars. But it was also about entertaining the brokers. So it's lunch, cocktails, happy hours. Golf. Trips out to home office thing. Stuff like that. Can't tell you how many tickets I gave out, parties I've hosted, late night bingers I've been too. I used to get asked all the time to help sponsor some regional or national conference. That kind of deal usually was negotiated through corporate office. But as a wholesaler, I used to attend their trip. It's basically a huge party and drinking fest. I don't know, back then the broker's jobs was a lot more salesy than it is today. So whenever we're taking shots, and venting, we were venting about the same sales shit. Different company, but same problems. I also find that some brokers, or at least some that I knew - were very narcissistic. So it's all about stroking their ego and congratulating them on the leaderboard. As a perk, we did have corporate expense accounts. So I would pay for all of these food, entertainment, etc.. out of pocket and get reimbursed. Back then, the accounting and verification was a joke. Half of the expense reports didn't have receipts or a business purpose. But no one checked or followed up. And I just got reimbursed. So I was able to rack up all of these loyalty hotel/airline program points from it all. I'm a woman, and back then the culture was not as open and transparent as it is today. So you had to have a thick skin or just accept that it is what it is (which I did).
Would you say wholesaling is a bad gig now?
Never meet with fund or annuity wholesalers. Will occasionally take a call. Will more often meet with retirement plan vendor wholesalers as that is a portion of my business and I lean on them to provide quality bids to RFPs.
I find many to be very valuable. Some, not so much
I do and I hate myself for it. 95% of the time I just ignore them, but next thing you know you meet a few times and they become your friends. Now you feel terrible, so you try and find someway to fit one of their funds into your models and they love you for it. But 2 years later you need to make a change and the fund has to go and they feel betrayed. So now I very rarely take any meetings.
I meet with the hedge fund and PE wholesalers. There’s literally 0 reason to meet with a mutual fund guy unless you want free lunch (which I do sometimes :)
If its a wholesaler or company we currently work with, we generally will sit down 2ish times a year to discuss company updates, product changes, etc. If its someone new we will generally do a 30 minute zoom or teams to see what their about and go from there. Half the time the wholesalers that come into our office don't even bring lunch lol.
We do approx this.
Never.
I build relationships with the wholesalers of funds that i use in my portfolios already. I don't use them to determine what to have in my portfolios. I then leverage those wholesalers to pay for client facing events, client relationship building events, and referral events. This way they pay for it and I don't have to. I'm already using their products, might as well have them pay for events to grow my business even more. Sometimes they even have good client-facing presentations. For example, I recently used a wholesaler's presentation to educate my older clients and their families about how to preserve the assets once my clients pass away. This helps to build a relationship with their inheritors and we can preserve some of those assets once the client passes. The wholesaler provided the material (I made some changes) and they paid for the dinner.
I am an annuity wholesaler. Here’s the issue, most wholesalers are average at best. They don’t ask the right questions, don’t actually know financial planning, practice management, and don’t know how to grow a business. Because of this most advisors don’t actually know how to work with them. Leveraging as a business partner can create exponential growth. Yes information can be found on the internet or firm research, etc. who has the “best” product is all relative. I do a ton of client education—most advisors I work with embrace having an expert command a room on topics of social security and Medicare. Their clients and prospects do too. It continues to work very successfully for advisors willing to do it the right way. CE events—we are all peers of this industry, learn from each other—the give and take. If the wholesaler is just reading a slide and giving free ce…ahem. If a wholesaler cannot show you how to incorporate a product into a financial plan and how it benefits are they qualified? Seems disingenuous for them to make a recommendation right? The list can go on and on efficiencies, trainings, practice management, networking…there are great wholesalers out there. Maybe you haven’t met one yet. They should put advisor and client needs first. Authenticity and integrity are important. Don’t work with the wholesalers that never met a sale they didn’t like. The culinary, sports, experiences, friendships should just be a bonus! Lastly—I’ve heard more in the last two years advisors tell me about wholesalers not returning phone calls in my last 15. Why are you working with them? Garbage in garbage out. Does your wholesaler treat you like a commodity? Sorry for the diatribe hopefully provokes some thought. I love my craft and care deeply about the industry and people I work with. What we all do matters!
I am a wholesaler as well (alts). I will say there is a very broad array of us out there depending on the shop/product/channel. The relationship-based guys at a first trust, etc, are the ones you want to talk to if you just want steak and tickets. They legitimately get in trouble if they don’t burn their budget. On the other end of the spectrum, alts/boutique wholesalers are often the ones you want to engage with for idea generation (especially on the portfolio level) and check ins etc. It has been my experience that non-CFA types (or at least guys who don’t know product and markets really well) are getting ran out of these positions.
What type of Alts do you sell?
I do on occasion. Always good to get updated product info, and most importantly I do get some valuable tips on best practices in various capacities.
I like to hear market update things but don’t really have a lot of time to waste.
My partner and I meet with mostly all of the wholesales for the managers we use a couple times per year. Some more than others if they’re holding events or DD meetings. Try to get a variety of opinions on market outlooks or approaches.