Why do you doubt Bondguy's nums?

Back in the day you could buy 7-8% AAA Tax Frees and five pounders to boot!

At my firm the code was X. X equaled a point, but only if preceded by a letter an AX was 1 point BX 2 point BE was 2.5 points and we used to look for those "Special FX" bonds 6 points !  Granted the were rare at 6 pounds, 5 points was a little less rare, 4 points was easy! 2.5 was the norm.

There were mutual funds that paid 8%. and there were Limited Partnerships (kinda like the hedge funds of their day) and Tax Shelters that were in that area too!

In my training class there were guys who were doing $50M months in their first year. Not me, but some guys (most are out of the business now).

There's no reason to be sure that Bondguy is FOS.

[quote=joedabrkr]

[quote=vbrainy]

Bond Guy is full of it and he is a liar.  There is no way he made those numbers.

I would say $50k your first year in revenue.  More is better.  And don't do all A shares or you will die in the long run.

I just got back from Vacation, lots of responses while I was gone. 

I did not exaggerate anything and simply posted the original question for the reasons stated, I want to see how others did their first year etc.

[quote]I have been in the business since August 2006, currently have a little
over $6 million under management and have averaged about $23K per month
this year.  April looks like it will be a record month for me, possibly
topping out at right under $60k.  I am concentrating on SMA/Wrap
business primarily, especially since I have a salary for 2 years.  [/quote]

I will address each point individually.

1)  I have been in the business since August 2006 - somebody said something about taking months to become licensed etc., that is true, but I worked for American Express Financial Advisors a year and half before I started my current job and was fully licensed.  I started my current job right before my licenses expired. 

2)  I currently have a little
over $6 million under management and have averaged about $23K per month
this year. - I do have right over 6 million AUM.  I inherited some of the accounts and personally brought in some of the accounts.  I converted a lot of the larger accounts I inherited to fee-based accounts.  Most were poorly allocated and the conversion was a no-brainer.  For the past 3 months, which include all of 2007, I have averaged 23K.  That is also true… (after all it is only 3 months).

3) April looks like it will be a record month for me, possibly
topping out at right under $60k. - This is also true.  I obtained a new branch that has hardly been worked at all.  My pipeline for the month is over 60k, but what will actually close is probably going to be more like 45 or so.  We shall see. 

<span =“bold”>ManagedMoney / Blarm - I said I am concentrating on SMA/Wrap and I am.  That doesn’t mean it is all I do.  A majority of my current fee-based book were from my existing book (which I inherited)

<span =“bold”>BankFC - I actually look forward to reading your posts/responses, since you’re a successful bank FC.  With that said, I already addressed your point on the licensing issue and the numbers I stated were accurate, and only 3 months.  I really have no idea why the hell all this sh*t storm started.


Bottom line-  The 23K average is only for 2007.  My 2006 numbers (Aug - Dec) were no where near that.  I inherited a portion of my current AUM (around $2 million).  I posted my numbers only because somebody posted a smart comment that I should spend my time scheduling appointments instead of posting on here.  Frankly, I have grown to expect some smart responses on this forum but in this case my integrity was questioned.  I exaggerated absolutely nothing.

<span =“bold”>

3) 

[quote=ChrisB]
Help me out here.  How in the world can you do $60k in one month with $6 million under management, using fee based accounts?  $60k would be about what you would make in 12 months (not 1 month) with those assets.
[/quote]

Some firms do have a "special discretionary annuity trading rep-as-pm program"

[quote=ChrisB]I just got back from Vacation, lots of responses while I was gone. 

I did not exaggerate anything and simply posted the original question for the reasons stated, I want to see how others did their first year etc.

[quote]I have been in the business since August 2006, currently have a little
over $6 million under management and have averaged about $23K per month
this year.  April looks like it will be a record month for me, possibly
topping out at right under $60k.  I am concentrating on SMA/Wrap
business primarily, especially since I have a salary for 2 years.  [/quote]

I will address each point individually.

1)  I have been in the business since August 2006 - somebody said something about taking months to become licensed etc., that is true, but I worked for American Express Financial Advisors a year and half before I started my current job and was fully licensed.  I started my current job right before my licenses expired. 

2)  I currently have a little
over $6 million under management and have averaged about $23K per month
this year. - I do have right over 6 million AUM.  I inherited some of the accounts and personally brought in some of the accounts.  I converted a lot of the larger accounts I inherited to fee-based accounts.  Most were poorly allocated and the conversion was a no-brainer.  For the past 3 months, which include all of 2007, I have averaged 23K.  That is also true… (after all it is only 3 months).

3) April looks like it will be a record month for me, possibly
topping out at right under $60k. - This is also true.  I obtained a new branch that has hardly been worked at all.  My pipeline for the month is over 60k, but what will actually close is probably going to be more like 45 or so.  We shall see. 

ManagedMoney / Blarm - I said I am concentrating on SMA/Wrap and I am.  That doesn’t mean it is all I do.  A majority of my current fee-based book were from my existing book (which I inherited)

BankFC - I actually look forward to reading your posts/responses, since you’re a successful bank FC.  With that said, I already addressed your point on the licensing issue and the numbers I stated were accurate, and only 3 months.  I really have no idea why the hell all this sh*t storm started.


Bottom line-  The 23K average is only for 2007.  My 2006 numbers (Aug - Dec) were no where near that.  I inherited a portion of my current AUM (around $2 million).  I posted my numbers only because somebody posted a smart comment that I should spend my time scheduling appointments instead of posting on here.  Frankly, I have grown to expect some smart responses on this forum but in this case my integrity was questioned.  I exaggerated absolutely nothing.



3) 

[/quote]

This is the comment you all are supposed to respond to.  SF Broker, read it before posting your smart ass crap.

Maybe you posted it because you wanted a bunch of poeple to fawn over you and tell you how kick ass you are?

[quote=joedabrkr]Maybe you posted it because you wanted a bunch of poeple to fawn over you and tell you how kick ass you are?
[/quote]


If it was taken that way, I absolutely apologize. 

I have reiterated the original intent of my first post multiple times.  If anyone took anything the wrong way, I am sorry.
I didn’t exaggerate though.

[quote=Whomitmayconcer]There were mutual funds that paid 8%. and there
were Limited Partnerships (kinda like the hedge funds of their day) and
Tax Shelters that were in that area too![/quote]

And of course you always had annuities with the 6 point payout. If you want to be an EIA shark you can really rake in the bucks.

AEL's last EIA production competition was won by someone who sold $12Million worth. I wouldn't want to underwrite his E&O , but still that is quite a payday.

"And of course you always had annuities with the 6 point payout. If you want to be an EIA shark you can really rake in the bucks. "

Not at a wirehose you didn't! You got a higher payout on a post haircutted gross.

[quote=vbrainy]

Bond Guy is full of it and he is a liar.  There is no way he made those numbers.

I would say $50k your first year in revenue.  More is better.  And don't do all A shares or you will die in the long run.

[/quote]

Thanks for the vote of confidence.

Let me show the small thinkers on this board how it's done:

Summer of 2003 an acquaintance who happens to be an actuary for many union retirement plans mentioned in casual conversation that a small company, one of his clients, was closing it's doors. The company was located in a small town 150 miles from my home. This news peaked my interest. Further questioning revealed that there were about 120 union employees who would have to do something with their 401Ks and that ML was doing a presentation at their next union meeting, about 10 days away. I asked, pleaded, cojoled, and probably would have done more, to see if there was anyway this man, who I do not know well, could get me in front of the union members. To my great surprise(it was a low probability shot as ML had this deal wrapped) he called me back a day later and told me I would be able to speak at the meeting. His reasoning was that the soon to be displaced employees could benefit from another POV. The rules were strict, no product push! Way Cool, because in this situation I was the product. Just go to the meeting and be me. So off I went to the meeting, and did my thing. The first meeeting led to an invite to the next and from there it was a done deal. I opened 72 accounts. Not a ton of assets,relatively speaking, not that I'm complaining, about $7,000,000. I don't know how many accounts the ML guys got. I blew them away. And for the curious, this was a case of know your audience. The ML guys spoke wall street, I spoke main street. It was a crowd pleaser.

Unfortunately, I don't always win 'em all. In our area Exon-Mobil has a refinery that they decided to sell to Valero thus ending particpation in XOM's retiement plans.. Knowing someone in the town where the refinery was located, who knew someone's cousin, who was friends with father Graham at Saint Monica's, the biggest church in town, or something like that I found myself doing a presentation to 200 very wealthy refinery workers. Unfortunately, ML had a huge inside track and was being pushed as the go to advisory firm by HR. Still, I walked out with 22 accounts and $9,000,000 in assets. A small victory in light of the stacked deck. Since then, I've added about two dozen additional workers from the refinery. Some that the ML guys managed to blow up. No pun intended.

How did my friend open 90 accounts in one month? We were an underwriter on a negotiated muni deal(Look it up) for a small college in my friend's home town. He obtained an alumni directory and mass mailed 5 or 10 thousand mailers(sorry don't remember the exact numbers) He targeted people 45 years old and older and included a return response card. Then he got on the phone and started qualifying the responders. After that he started calling the non responders and qualifying them. Then he called and closed all the prospects he had qualified. When the dust settled he'd opened over ninety new accounts. I know of a UBS broker/FC/FA who did a similar thing in 2003 and opened 89 accounts. It worked in 1986 and 2003. Will it work in 2007? First figure out what a negotiated deal is, and how to work it, then go find out for yourself. Gee, maybe you'll fail miserably and only open 20 accounts, bringing in only a million dollars in assets and when you tell people on this board, they will call you a liar.

As for my trainee numbers, imagine getting on the phone at 7:30am and not getting off until 9pm. And then actually showing up the next day, for seven years straight to do the same thing. Ok, the were some rest breaks, fifteen minutes to jam a sandwich down, but mostly it was smile and dial. 70 to 80 contacts per day was the norm, 50 was an absolute minimum. Only pitching Munis,so figure it out. Anyone here work like that? Anyone here closing on a million bond trades? I always closed big and backed down from there. I opened Fivezys and tenzys, but also opened a lot of $100K and $250K accounts, on a phone call. And so it went. Seven years in, I was doing more in production than I'm doing today, but that's another story.

That people there on people on this board who can't fathom these numbers shows not only how uninformed they are to the history of our business, but also how small they think. Taking one's limited experience and applying it to everyone is really dim thinking. Large numbers are being done today. I met last week with a guy doing 5million in production. I'm not doing 5 mil, or close to it, but it didn't limit my thinking to the possibilities that I could. Personally, I don't think that guy has anything on me. Well, he was wearing a nicer watch. And the hour I spent talking with him was time very well spent.

As for my first year gross number, believe what you will. Personally, I was never impressed by it. I'm surprised anyone would use it to impune my credibility. Come on, $154K, good, but not great.

Today, somewhere in this country is a newly minted trainee in his/her first scary day of real production who will rise to become a superstar multimillion dollar producer. I can't tell you who it is, but I can tell you who it is not. It's not anyone who believes that it can't be done. It's not the small thinkers among you.

Very inspiring Bondguy.

Agreed!!!

vbrainy, I believe you’re at AGE. If you don’t believe BGs’ numbers ask your firm about the guy in Nor Cal. He was doing $25k plus a month production smiling and dialing as a rookie.

[quote=ChrisB]I just got back from Vacation, lots of responses while I was gone. 

I did not exaggerate anything and simply posted the original question for the reasons stated, I want to see how others did their first year etc.

[quote]I have been in the business since August 2006, currently have a little
over $6 million under management and have averaged about $23K per month
this year.  April looks like it will be a record month for me, possibly
topping out at right under $60k.  I am concentrating on SMA/Wrap
business primarily, especially since I have a salary for 2 years.  [/quote]

I will address each point individually.

1)  I have been in the business since August 2006 - somebody said something about taking months to become licensed etc., that is true, but I worked for American Express Financial Advisors a year and half before I started my current job and was fully licensed.  I started my current job right before my licenses expired. 

2)  I currently have a little
over $6 million under management and have averaged about $23K per month
this year. - I do have right over 6 million AUM.  I inherited some of the accounts and personally brought in some of the accounts.  I converted a lot of the larger accounts I inherited to fee-based accounts.  Most were poorly allocated and the conversion was a no-brainer.  For the past 3 months, which include all of 2007, I have averaged 23K.  That is also true… (after all it is only 3 months).

3) April looks like it will be a record month for me, possibly
topping out at right under $60k. - This is also true.  I obtained a new branch that has hardly been worked at all.  My pipeline for the month is over 60k, but what will actually close is probably going to be more like 45 or so.  We shall see. 

ManagedMoney / Blarm - I said I am concentrating on SMA/Wrap and I am.  That doesn’t mean it is all I do.  A majority of my current fee-based book were from my existing book (which I inherited)

BankFC - I actually look forward to reading your posts/responses, since you’re a successful bank FC.  With that said, I already addressed your point on the licensing issue and the numbers I stated were accurate, and only 3 months.  I really have no idea why the hell all this sh*t storm started.


Bottom line-  The 23K average is only for 2007.  My 2006 numbers (Aug - Dec) were no where near that.  I inherited a portion of my current AUM (around $2 million).  I posted my numbers only because somebody posted a smart comment that I should spend my time scheduling appointments instead of posting on here.  Frankly, I have grown to expect some smart responses on this forum but in this case my integrity was questioned.  I exaggerated absolutely nothing.



3) 

[/quote]

You never answered my question.  Please tell me HOW you are going to do $60M this month, considering you only have  $6MM in assets, which are mostly already in SMAs and Wrap accounts.

[quote=ManagedMoney]

[quote=ChrisB]I just got back from Vacation, lots of responses while I was gone. 

I did not exaggerate anything and simply posted the original question for the reasons stated, I want to see how others did their first year etc.

[quote]I have been in the business since August 2006, currently have a little
over $6 million under management and have averaged about $23K per month
this year.  April looks like it will be a record month for me, possibly
topping out at right under $60k.  I am concentrating on SMA/Wrap
business primarily, especially since I have a salary for 2 years.  [/quote]

I will address each point individually.

1)  I have been in the business since August 2006 - somebody said something about taking months to become licensed etc., that is true, but I worked for American Express Financial Advisors a year and half before I started my current job and was fully licensed.  I started my current job right before my licenses expired. 

2)  I currently have a little
over $6 million under management and have averaged about $23K per month
this year. - I do have right over 6 million AUM.  I inherited some of the accounts and personally brought in some of the accounts.  I converted a lot of the larger accounts I inherited to fee-based accounts.  Most were poorly allocated and the conversion was a no-brainer.  For the past 3 months, which include all of 2007, I have averaged 23K.  That is also true… (after all it is only 3 months).

3) April looks like it will be a record month for me, possibly
topping out at right under $60k. - This is also true.  I obtained a new branch that has hardly been worked at all.  My pipeline for the month is over 60k, but what will actually close is probably going to be more like 45 or so.  We shall see. 

ManagedMoney / Blarm - I said I am concentrating on SMA/Wrap and I am.  That doesn’t mean it is all I do.  A majority of my current fee-based book were from my existing book (which I inherited)

BankFC - I actually look forward to reading your posts/responses, since you’re a successful bank FC.  With that said, I already addressed your point on the licensing issue and the numbers I stated were accurate, and only 3 months.  I really have no idea why the hell all this sh*t storm started.


Bottom line-  The 23K average is only for 2007.  My 2006 numbers (Aug - Dec) were no where near that.  I inherited a portion of my current AUM (around $2 million).  I posted my numbers only because somebody posted a smart comment that I should spend my time scheduling appointments instead of posting on here.  Frankly, I have grown to expect some smart responses on this forum but in this case my integrity was questioned.  I exaggerated absolutely nothing.



3) 

[/quote]

You never answered my question.  Please tell me HOW you are going to do $60M this month, considering you only have  $6MM in assets, which are mostly already in SMAs and Wrap accounts.
[/quote]

Only a 3rd of my AUM is currently in WRAP.  I am focusing on new wrap business though, which is what I actually stated. 

To answer your question (sorry I missed it).  I have quiet a few annuity prospects (a little over $1million in total assets) in the pipeline for April.  One for $260 brought me a John Hancock VA proposal and asked if I could do anything better.  We discussed other non-annuity options, and eventually decided on the American Legacy VA.  This client needs income/income protection so it makes sense.  Most of the other annuity prospects are just like this one, just a bit smaller.  I am confident 70% of these will close in April, plus trails/fees and other business will put me between $40K-$60k for the month.  I hope that answers your question. 

I’ve now answered everyone’s questions as far as I can tell.  Bondguy, I appreciate your insight.  I would be very happy to have a first year like your first year, but with that said, there is someone in the same training program (1 year into it, from a different city) I am in that did right under $300K in his first year. 

Anyway, I appreciate the thoughts.

If your pushing 7.25% annuities, that kind of production is not abnormal especially if he is at a bank. As a rookie, I did about 300K in fixed annuity production my first year maybe more I forget the exact #. I did about 25K in funds.



My business is not like it used to be,enough said…