20150910 mdrt

ROUND TABLEOFFICIAL PUBLICATION OF THE MILLION DOLLAR ROUND TABLE | SEPTEMBER/OCTOBER 2015

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Making the change to fee-based 19 | Spotlight on South Africa 32 | Meet your 2016 leaders 47

Brian D. HeckertcLU, cHFc2016 MDRT PRESIDENT

ANNUAL MEETING2016 - JUNE 12 TO 15, VANCOUVER, BRITISH COLUMBIA, CANADA

TOP OF THE TABLE ANNUAL MEETING2015 - OCTOBER 7 TO 10, NAPLES, FLORIDA

MDRT EXPERIENCE AND GLOBAL CONFERENCE2016 - JANUARY 28 TO 30, HONG KONG

Million Dollar Round Table325 West Touhy Avenue, Park Ridge, IL 60068 USAPhone: +1 847.692.6378 Fax: +1 847.518.8921 Website: www.mdrt.org

“Somebody once told me that you’ve only got to know 5 percent more than your audience to be an expert. That is probably true, but I believe

to be fair to your clients, you’ve got to know far more than that.”Laurence Turner, APFS, CFP, Page 38

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Visit mdrt.org/2015tot to learn more about the meeting and how you can attend.

O CTOBE R 7–10, 2015

Find stylish plaques to display in your home or office that

show your commitment to excellence year after year.

MDRT STORE

Display Your MDRT Achievement

Visit mdrtstore.org to view the complete collection.

2 ROUND theTABLE.ORG | SEPTEMBER/OCTOBER 2015

WEB EXTRASmdrt.org

n MDRT PODCAST In this issue, two articles feature podcast supplements. These on-demand radio shows expand on what it takes to move into the world of fee-based planning, and share more from new MDRT Pres-ident Brian D. Heckert, CLU, ChFC. Find these episodes and much more at mdrt.org/podcast.

n REGISTRATION OPENFind more information and register for the 2016 MDRT Experience and Global Conference in Hong Kong at mdrt.org/2016 experi-ence.

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ROUND THE TABLE | SEPTEMBER/OCTOBER 2015 | VOL 43, ISSUE 5

PRACTICE10 IDEAS

11 OUTSTANDING COMMITMENT TO CLIENTS MDRT members are honored with service award.

14 BRINGING VALUE TO OLDER CLIENTS Increase your business by understanding the financial concerns of your clients’ generation.

16 TIPS & TECHNOLOGY

18 AFTER THE SALE Go the extra mile with your

policy delivery.

19 FEE-BASED FUNDAMENTALS Here’s how to incorporate fees

into your practice.

22 3 WAYS TO PROTECT YOUR SMARTPHONE Follow these steps to implement safeguards from cyber criminals.

24 FINANCIAL PLANNING PHILOSOPHY Morris’ best practices for a holistic approach hold true 30 years later.

PEOPLE26 IDEAS

28 BUILT ON VALUES MDRT President Heckert’s steady,

principled approach to building success will sustain MDRT’s rele-vance.

32 REGULATION THAT HELPS Kleyn looks forward to elevated

professionalism in South Africa.

34 GLOBAL GOALS Chang draws on her international

knowledge to achieve success.

36 FROM CRASH VICTIM TO COLONEL McCurdy focuses on serving others after surviving helicopter accident.

38 CHANGING MINDSETS Turner teaches clients about

the value of life insurance.

41 Q&A Jiro Kato, CFP

contents

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SEPTEMBER/OCTOBER 2015 | ROUND theTABLE.ORG 3

IN EVERY ISSUE4 WELCOME

6 IN THE NEWS

8 IN MEMORIAM

55 TRUE TALES

56 LOOKING BACK

Brian Heckert is MDRT’s new President.

COVER DESIGN BY MICHAEL DORICH PHOTO BY LEROY KOETZ

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42 IDEAS

44 EXPERIENCING MDRT Conference offers attendees

motivation and education.

47 MEET YOUR LEADERS An introduction to MDRT’s 2016

leadership team.

50 2016 MCC CHAIRS ANNOUNCED The worldwide network of region-

al contacts for current and pro-spective members is announced.

51 MDRT FOUNDATION The new MDRT Foundation Pres-ident is announced, and MDRT’s work with Free the Children is highlighted.

52

“To me, a successful sale is never about just selling; it is always about providing

high-value service to my clients and helping them solve their own problems.”

— Liru Chang, MBA, Page 34

28 ON THE COVER

Kathryn Furtaw Keuneke, CAEEditor in [email protected]

“This is a big world, and I grew up in a very small part of it,” he said. “I have learned to appre-ciate where other people come from more — not just geographically, but where they come from as individuals. I’ve learned to appreciate that everybody has a story. Sometimes you get to hear the story. That’s been a big part of changing who I am. I get the advantage of people coming to me and telling their family stories and business stories. I’ve picked up ideas. A lot of the technol-ogy we’re using in our office, I’ve observed with members around the world.”

MDRT embraces the philosophy of members learning from one another. But it doesn’t take getting on an airplane to exchange ideas around the globe. We’ve captured ideas from far and wide in this issue. Read about the referral phi-losophy of a member in Japan on Page 41. Pick up ideas about working in the Chinese-Amer-ican market on Page 32. Learn how impending regulation encourages a member in South Africa on Page 34.

If you need a specific solution, let us know what topics you’d like us to cover by sending me an email. In the meantime, search the Resource Zone at mdrt.org to find an extensive collection of resources in a variety of formats: text, video and audio. You’ll also find new podcasts there that correspond with two of the articles in this magazine. See Pages 19 and 28 for more details on these multimedia offerings.

Thank you for reading,

WELCOME

Global solutions


It’s a big world out there. It becomes a little smaller, however, when you have the oppor-tunity to connect with others from around

the globe within the MDRT community.Though MDRT’s members hail from 69 coun-

tries, you’re more alike than you are different. At the end of the day, each of you is providing financial security to families and businesses.

You have a lot to gain from one another. You can share ideas about how each of you approach-es business in your market, or how you shift your practice to comply with new regulations.

When I interviewed MDRT President Brian D. Heckert, CLU, ChFC, for his profile on Page 28, he talked about the variety of countries he’s had the pleasure of visiting during his tenure on the Executive Committee — and some of the insights he’s been able to pick up from members around the world.

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Policy delivery is a chance to set yourself apart from other advi-sors. MICHAEL MOR-ROW, CFP, provides some tangible ways to create an impressive delivery program in “After the sale.” Mor-row is an eight-year MDRT member from Thunder Bay, Ontario, Canada. Contact him at michael@ideasfor advisors.com.

One size doesn’t fit all. Learn how to help “well-off older folks” in BRYCE SANDERS’ “Bringing value to older clients.” Sanders is the president of Perceptive Business Solutions and author of “Captivating the Wealthy Investor.” Contact him through his website perceptivebusiness.com.

Learn more about the transition many financial advisors are considering in “Fee-based funda-mentals” by DAVID BRAITHWAITE, DIP PFS, and MICHELLE L. BENDER, CFP. Braithwaite is a seven-year MDRT member from Ton-bridge, England. Bender is a four-year MDRT member from Gaithersburg, Maryland. They were members of MDRT’s 2015 Best Practices for Fee-Based Practices Committee. Contact Braithwaite at [email protected] and Bender at [email protected].

Smartphones and tab-lets leak your personal information. ANWAR VISRAM, who has more than 20 years of experience in cyber-security, shares how technology exposes your personal details to cyber criminals in “3 ways to protect your smartphone.” Visram is from Burnaby, British Columbia, Canada. Contact him at anwar@ visramsecurity.com.

OFFICIAL PUBLICATION OF THE MILLION DOLLAR ROUND TABLE

ROUND TABLEthe

EDITOR IN CHIEF: Kathryn Furtaw Keuneke, CAEMANAGING EDITOR: Liz DeCarlo

CONTENT EDITOR: Michael DePillaCONTENT SPECIALIST: Scott Rogers

CONTENT SPECIALIST: Antoinette TuscanoART DIRECTOR: Brandon Lane

CHIEF EXECUTIVE OFFICER: Stephen P. Stahr, CAE STRATEGIC ENGAGEMENT DIRECTOR:

Pamela Brown, CMP, CAEMEDIA RELATIONS COORDINATOR: Jennifer Schimka

MDRT Executive Committee

PRESIDENT: Brian D. Heckert, CLU, ChFCIMMEDIATE PAST PRESIDENT: Caroline A. Banks, APFS

FIRST VICE PRESIDENT: Mark J. Hanna, CLU, ChFCSECOND VICE PRESIDENT: James Douglas Pittman, CLU, CFP

SECRETARY: Ross Vanderwolf, CFP

To contact editorial office:

MAIL: MDRT, 325 West Touhy Avenue, Park Ridge, Illinois 60068 USA

PHONE: +1 847.692.6378 Fax: +1 847.518.8921

EMAIL: [email protected]

WEBSITE: www.roundthetable.org

Round the Table (ISSN-0161-7125) is published bimonthly by the Million Dollar Round Table, 325 West Touhy Avenue, Park Ridge, Illinois 60068 USA. Subscription rate is included in MDRT mem-bership dues: $20 for nonmembers in the United States, $30 for nonmembers outside the United States. Periodicals postage paid

at Park Ridge, Illinois, and additional mailing offices. POSTMASTER, send address corrections to Round the Table,

325 West Touhy Avenue, Park Ridge, Illinois 60068 USA.

© 2015 Million Dollar Round Table. Round the Table is published for the use of Million Dollar Round Table members. All rights reserved. Round the Table is not to be

used or loaned for any commercial purposes or other causes, nor is any portion of it to be reproduced without the express, prior

written permission of the Million Dollar Round Table.

Round the Table is provided as an educational and informational service by the Million Dollar Round Table. The Million Dollar

Round Table does not guarantee the accuracy of tax and legal information and is not liable for errors or omissions. You are urged to check with tax and legal professionals in your state,

province or country. MDRT also suggests you consult local insurance and security regulations and compliance departments,

pertaining to the use of any new sales material with clients.

MDRT®, Million Dollar Round Table®, Top of the Table®, Court of the Table®, MDRT Foundation®, The Premier Association of Financial Professionals®, ConneXion Zone® and Global Gift Fund® are all

registered trademarks of the Million Dollar Round Table®.

Round the Table is printed in USA with soy-based inks on elemental chlorine-free paper.

CONTRIBUTORS


IN NEWSthemember news | awards | calendar | in memoriam

Mark your calendar to include these important dates:

October 7MDRT Top of the

Table Annual Meeting begins in

Naples, Florida

November 1MDRT membership applications mailed

January 28, 2016MDRT Experience

and Global Conference begins in

Hong Kong

March 1, 2016Completed MDRT

membership applications must be submitted online or mailed to

MDRT, postmarked on or before this date,

to avoid $200 additional fee

June 12, 2016MDRT Annual

Meeting begins in Vancouver, British Columbia, Canada

MDRT CALENDAR

Leisman receives Excellence AwardThe Boston Estate Planning Council selected William F. Leisman, CLU, AEP, for its 2015 BEPC Excellence Award, the organization’s highest honor awarded annually. Leisman, a 43-year MDRT member from Waltham, Massachusetts, has served on the board of numerous health and education institutions.

Rogers awardedJon M. Rogers, CLU, ChFC, received the 2015 Loren Dunton Memorial Award from the Financial Planning Association for impacting the profession through education. Rogers, a 29-year MDRT member from Green-ville, South Carolina, has more than 40 years of finan-cial investments experience. As an adjunct professor at Webster University and North Greenville University, he teaches finance, market-ing and business.

Cover storiesJames E. Rogers, CLU, CFP, who was the 2008 MDRT President, appears on the cover of the May 2015 edition of Forum magazine. Rogers is featured in an article about life after retirement, in which he shares the ups and downs of leaving the workforce. He is a 42-year MDRT member from Vancouver, British Columbia, Canada.Marvin H. Feldman, CLU, ChFC, who was the 2002 MDRT President and is currently president and CEO of Life Happens, was featured on the cover of the May 2015 edition of National Underwriter Life & Health magazine. Feldman is a 41-year MDRT member from Palm Harbor, Florida.


Browne honored The National Association of Insurance and Financial Advisors (NAIFA) awarded Peter C. Browne, LUTCF, the 74th annual John Newton Russell Memorial Award. It is the highest honor accord-ed by the insurance industry to a living individual for outstanding services to the institution of life insurance. Browne, a 35-year MDRT member from New York, New York, served on the NAIFA Board of Trustees and as treasurer.

Service to othersWilliam R. Pickering, a 19-year MDRT member from Lake Mary, Florida, received the annual American Award from Lincoln Financial Group, presented to finan-cial services professionals who are well-rounded in their career, community service and family life. As a philanthropist and commu-nity leader, Pickering works with many food banks, is ac-tively involved with autism prevention and is a longtime Special Olympics supporter.

Helping othersRobert H. Petrocelli Jr., a 32-year MDRT member from New York, New York, has been appointed to serve as first vice chair of the Board of Directors for Westhab Inc., a nonprofit provider of affordable housing and social services for home-less and low-income families in the New York metropolitan area. Petrocelli joined the organization’s board in 2009.

Since 1981, Westhab has built 2,500 units of affordable housing, moved 6,000 homeless families to permanent housing, placed 4,000 public assistance recipients into employment, and delivered after-school services to more than 10,000 youth.

IN THE NEWS

Top row (left to right): Allan Mendels, Joyce Baker Brown, Jack Stone, Simon Gibson, Kirk Klein. Bottom row (left to right): William Burrus, 2015 MDRT Foundation President Roger Seim, John Milam, Bradford Burwell.

2015 Quality of Life AwardeesThe MDRT Foundation’s Quality of Life program awards the volunteerism of MDRT members with a grant to a charity in their name. In 2015, 30 members were honored, and the MDRT Foundation awarded $250,000 to support charitable programs in England, Japan, Scotland and the United States. The award winners were listed in the previous edition of Round the Table; however, the photo of the winners who attended this year’s Annual Meeting was mistakenly excluded.


Davidson honoredThe North Carolina Associ-ation of Insurance and Fi-nancial Advisors has named Rondol Davidson, LUTCF, CLU, of Greensboro, North Carolina, its 2015 Advisor of the Year. Davidson is a 28-year MDRT member.

Hall of fame inducteeRichard C. Moldenhauer, CLU, ChFC, was inducted to the Ameritas Life Insur-ance Corp. Hall of Fame. Since 1974, he has mentored financial professionals with insurance trends, estate planning and firm market-ing. Moldenhauer is a 42-year MDRT member from Orchard Park, New York.

Ronn recognized by NAIFAAnn Baker Ronn, LUTCF, was a recent recipient of the NAIFA John Neighbors Award. Ronn is a 17-year MDRT member from Houston, Texas. This award recognizes a member who has served the association, the membership, the industry and the community with distinction and special dedication.

IN THE NEWS

IN MEMORIAMRose Beattie, LUTCFNorman, OklahomaAge: 77, MDRT: 39 years

David C. Bell, CLUBurlington, VermontAge: 78, MDRT: 36 years

Seldon C. Brusa, CLULodi, CaliforniaAge: 81, MDRT: 39 years

Calogero A. Cicero, CLU, RHUHamilton, Ontario, CanadaAge: 65, MDRT: 24 years

Edwin T. Demeritte, LUTCF, RFCMiami, FloridaAge: 79, MDRT: 32 years

Joseph M. Gandolfo, CLU Lakeland, Florida Age: 78, MDRT: 26 years

Shawn Leonard Hagerman, CLU, ChFCHaliburton, Ontario, CanadaAge: 66, MDRT: 33 years

Leonard M. Hauprich, CLUOrangeburg, South CarolinaAge: 96, MDRT: 10 years

Chester Thomas JohnSt. George’s, GrenadaAge: 69, MDRT: 19 years

Don Jordan, CLU, ChFCWest Chester, PennsylvaniaAge: 86, MDRT: 59 years

Saroop KumarKarachi, PakistanAge: 46, MDRT: 11 years Keiko MatsumotoTokyo, JapanAge: 61, MDRT: 19 years

Brian McCallionHervey Bay, Queensland, AustraliaAge: 89, MDRT: 27 years

John F. Miller, CLUHalifax, Nova Scotia, CanadaAge: 91, MDRT: 59 years

Richard R. NoackSan Antonio, TexasAge: 78, MDRT: 4 years

Fernando De Jesus Pineda FonsecaSan Pedro, MexicoAge: 48, MDRT: 8 years Lyndon H. RatcliffeBristol, ConnecticutAge: 87, MDRT: 21 years

Carl A. Santelmo, LUTCFStaten Island, New YorkAge: 59, MDRT: 26 years

Robert J. Scurio, CLUHomer Glen, IllinoisAge: 79, MDRT: 40 years

James C. TalleySpokane, WashingtonAge: 82, MDRT: 26 years


in

PRACTICECommitted to clients 11 | Helping older clients 14 | Tips & Technology 16 | Great policy delivery 18

Fee-based fundamentals 19 | Smartphone safety 22

BOOMERS WANT ANNUITIES

More than half of baby boomers ages 50–59 are interested in converting

their assets into a guaranteed lifetime

income stream.

— 2014 LIMRA annuity sales figures

SAVING GEN X

Only 4 in 10 Gen Xers save regularly, compared with half of Gen Yers and Boomers.

— LIMRA

SANDWICH GENERATION

15% of middle-aged adults are providing financial

support to both an aging parent and a child.

— Pew Research Center

FEWER FEES

74% of U.S. MDRT members did not

charge fees in 2013 for professional services.

— 2014 MDRT Cost of Doing Business Survey

“Mr. Jones, I am sure you are providing a comfortable home for your family and that you are enjoying a satisfac-tory standard of living. I wish that you would take just a minute, however, to jot down one figure on this piece of paper. I am not going to look at it. I am not going to ask you what your income is or how much life insurance you now own. If you want to tell me those things, I am sure you will do so if we get into this matter further. But right now, will you please put down on that piece of paper the amount of life insurance you own?

“Now mark off the last two digits of that figure, and divide the remaining figure by two. That is the amount of monthly income your family would have each month from your life insurance if they invested it at 6 percent annual interest.

“Compare that figure with the amount it takes for them to live today. If that difference astonishes you, wouldn’t it be wise to spend a few minutes talking about how your present life insurance could be arranged to give them an adequate income?”— Ronnie K. Muhl, Simon’s Town, South Africa, 25-year MDRT member

I am often asked by prospective clients why they need basic insurance. Do they need insurance for themselves? For their families? To answer, I compare it to air travel.

I ask, “What is the safety announcement made when you’re on a plane? In the event of an emergency, the oxygen mask drops. We’re asked to put it over our mouth and nose, to breathe first before we can help others around us.

“Similarly,” I say, “if you don’t have the financial oxygen that is needed to keep your family going, how are you going to help them, including children, spouses or business part-ners? It’s up to you to put the numbers in. I’m here to help you find that financial oxygen.”— Alphonso B. Franco, RHU, RCIS, Victoria, British Columbia, Canada, 21-year member

FINANCIAL OXYGEN

A TASTEFUL MARKETING STRATEGYAbout a month before clients retire, send to their office an enormous gift basket chock-full of delicious treats, such as cook-ies or fruit. It’s more than clients can eat, so they’ll share with colleagues. The gift basket now becomes a conversation starter about who sent it (that’s you, their financial planner!), wealth management and retirement plan-ning. Depending on the number of clients retiring in a given year, this idea can generate 10–20 referrals a year.—Brad Myers, Salt Lake City, Utah, 13-year member

ILLNESS PROTECTIONWhenever I meet with prospective clients, the most important thing I offer them is a critical illness rider. I tell them, “Illnesses do not choose who they strike — you could be young or old, rich or poor, single or married, and it would hit you all the same. When this happens, you need funds for medical expenses. Why spend your own hard-earned money when you have already prepared an emergency fund for a situation like this?”—Katrina Louise L. Yap, Cebu City, Philippines, 4-year member

STANDARD OF LIVING


When the unexpected happens, the work and commitment of an insur-ance agent or financial advisor can

make all the difference to a family or business. This year, Life Happens honored four advisors — three of them MDRT members — in the Real Life Stories Client Recognition Program.

“The agents we are honoring are a testament to the invaluable role professional financial assis-tance plays in having the right policy and amount in place to meet your family’s needs and ensure your loved ones are always protected,” said Mar-vin H. Feldman, CLU, ChFC, president and CEO of Life Happens and past MDRT President.

Following are the stories from three award-winning MDRT members:

A final giftJohn Gongos was a small-business owner and close friend of 10-year MDRT member Craig Wiklund, CLU, ChFC, of Auburn Hills, Michigan. Although Gongos was healthy and active, Wiklund helped him ensure that both his family and his business would be taken care of if anything were to happen to him. They developed a succession plan for Gongos’ company and purchased life insurance policies that would fund that agreement and pro-tect the employees he considered family.

Outstanding commitment to clientsMDRT members are honored with service award.BY ANTOINETTE TUSCANO

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Wiklund talks with Anne Gongos.


PRACTICE

Unfortunately, when he was only 51, Gongos was diagnosed with Stage 4 melanoma. He died just two weeks later; his funeral was held on his 52nd birthday. His death left his wife, three kids and employees in shock.

“Sometimes it’s hard to be a little persistent with a friend, but it would be so different today if I hadn’t,” said Wiklund. Thanks to his insur-ance policies, Gongos was able to take care of his family, allowing his wife and children to stay in their house. He was also able to take care of his employees and keep his business running.

“This was John’s final gift to us,” said his wife, Anne.

Watch the video at lifehappens.org/gongos to see more.

Long road backAt age 27, Michael Sizemore had his life on track. He was training for his first marathon and starting a job as a lobbyist.

As a new employee, Sizemore was eligible for his employer’s benefit program, which 43-year MDRT member James A. Jacobs,

CLU, ChFC, of Chesterfield, Virginia, had established for the organization. Sizemore took full advantage of all the benefits offered through his employer as well as a number of individual insurance policies, including a disability insurance policy.

Just one year later, while on a trip to Wash-ington, D.C., Sizemore was hit by a drunk driver, leaving him in a medically induced coma with more than $2 million in medical expenses. The group health insurance paid his hospital medi-cal expenses. In addition, through the individual disability insurance coverage Jacobs helped put in place, Sizemore has enough income to contin-ue living his life and pay for his physical therapy, despite being unable to work.

“Most young people think they are invincible, so they don’t see health, life or disability insur-ance as important,” Jacobs said. “Yet insurance is the cornerstone of financial planning and the base to build financial independence. Every young person needs to see Mike’s story!”

Watch the video at lifehappens.org/sizemore to see more.

“Insurance is the cornerstone of financial planning and the base to build financial independence.”

The company benefit plan set up by Jacobs (right) helped Michael Sizemore (left) after a car crash.


Protection is paramountAfter fulfilling their dream of starting a fam-ily, Sam and Amy McNeely wanted more life insurance coverage than was provided through Sam’s employer. They turned to Sam’s cousin and eight-year MDRT member Juli McNeely, LUTCF, CFP, of Spencer, Wisconsin, for a life insurance policy that would provide adequate coverage.

When Sam fell ill and suddenly died at age 38 from a dissected aorta, McNeely reminded Amy of the life insurance policies she and Sam had purchased. McNeely couldn’t take away the emotional pain of losing Sam, but she knew his insurance policy would help Sam’s family financially. These life insurance policies allowed Sam’s wife and young daughter to live their lives without financial hardship.

“It’s never easy to lose a client, especially when it is your own family member,” McNeely said. “It is my hope that this real-life story of our products at work will encourage others to prepare for a day we all hope never comes. I personally encourage you each to share this

story and others like it with family, friends, clients and prospects so they can have financial peace of mind.”

Amy agrees: “Life insurance policies have allowed us to live without worry or struggle … Sam would be happy knowing his life insurance policy helped us get through this. Sam will always be taking care of us.”

Watch the video at lifehappens.org/mcneely to see more. RTT

With its 20th annual recognition program, insurance nonprofit organization Life Happens celebrates insurance agents and advisors for their outstanding professional and personal commit-ments to supporting clients and their families in times of need.

You can apply to the award program at lifehappens.org/reallifestories-program-application.

REAL LIFE STORIES CLIENT RECOGNITION PROGRAM

Amy McNeely (right) was able to care for her daughter after being widowed thanks to a policy put in place by Juli McNeely (left).


One size doesn’t fit all. Being aware of differences and concerns common to different generations can help you

better understand and serve your clients. For example, clients who are “Well-Off Older Folks,” or WOOFs, may have serious financial worries that they’re keeping to themselves. You can help alleviate those concerns, and keep them as cli-ents, if you reach out to them and have the right conversation at the right time.

Who are WOOFs?They’re born between 1920 and 1945, and their lives are defined by first- or second-hand experi-ence with the Great Depression. They believe in sacrifice and savings to accumulate wealth.

The men may have served in World War II or the Korean War. As veterans, they could have reaped benefits such as a federally funded college education. Military life also taught them the importance of the chain of command. This served them well in industry, which enjoyed unprec-edented expansion in the 1950s and ’60s. This generation believes in brands, and they often stay loyal for life. Their employers rewarded loyalty with generous pension plans and free health care.

For seniors, comfort level with technology can vary. They are used to communicating by phone but use email as well. Marketers, however, target them through mail and glossy brochures. For example, the cruise line industry still produces weighty color catalogs because 26 percent of their business comes from people over age 60.

What do WOOFs worry about financially?n Transferring their wealth. Too often, they don’t understand estate planning and underestimate the amount the government will ultimately get.

n Catastrophic medical expenses. Although they are covered by Medicare, they know there are gaps. They’re afraid a serious illness or the need to move to a skilled nursing facility will run down their life savings.

n Rising prices. They think inflation statistics about increasing property taxes, groceries and restaurant bills are exaggerated.

In their generation, men prevalently handled all the bills and investments. Husbands went to

PRACTICE

Bringing valueto older clientsIncrease your business by understanding the financial concerns of your clients’ generation.BY BRYCE SANDERS

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work, while wives stayed home to run the house and raise their family.

Yet statistically, women outlive men. Husbands want financial security for the surviving spouse. As they get older and their health fails, these husbands now face the challenge of getting their affairs in order.

Security for surviving spousesIf the decision-maker dies and didn’t plan for their spouse’s financial well-being, there could be financial issues. Bills may go unpaid, and income and property taxes accrue penalties as the surviv-ing spouse withdraws in her grief and sits on the life insurance proceeds.

What if the spouse doesn’t return your phone calls, thinking you can’t help? Out of concern, the surviving spouse’s friends eventually might introduce her to a broker they know. The account transfers out.

This can end differently. Address this issue when both parties are alive and healthy. Take away a worry for your clients, and the life insur-ance proceeds may be invested with you. And you’ll have an advocate who tells other surviving spouses about you.

What’s the solution?Meet with the decision-maker alone and speak from your heart. None of us are going to live for-

ever. Ask, “Is your spouse comfortable handling money, or will she need someone trustworthy to advise her?”

Next, bring them both into the financial con-versations. During portfolio reviews, spend more time presenting to the spouse. Forbes reports that 70 percent of surviving spouses change advisors if there isn’t a personal relationship in place. If your styles don’t mesh, find another advisor in your office who may be a better fit and arrange a fee split. Fifty percent of something is better than 100 percent of nothing.

What’s the strategy?The surviving spouse may be most comfort-able with a “monthly paycheck.” Immediate annuities were designed for this purpose. Their investment portfolio could also be configured to set aside a year’s income to be tapped monthly while the portfolio replaces the shortfall over time. Help them to set up automatic bill paying for as many recurring charges as possible (in-surance, utilities and so forth). Ask for introduc-tions to their accountant and attorney. You are all on the same side.

You have worked with your client for years and have rapport. You are capable of helping to solve this problem. They may not have thought of you in this context before, but now you can be part of the solution and remove a serious worry. RTT

For more information, use Nielsen’s tool at claritas.com/MyBestSegments/ Default.jsp. It allows you to determine the top three types of people living in most U.S. ZIP codes. It provides information about their buying preferences, including the financial instruments they are likely to purchase. The following is an example of a Nielsen senior marketing segment.

Money and Brains. These seniors seem to have it all: high incomes, advanced degrees and sophisticated

tastes to match their credentials. Many of these city dwellers are married couples with a few children. They often live in fashionable homes on small, manicured lots.

Lifestyle & Media Traitsn Shop at Banana Republicn Travel for businessn Read New York Timesn Watch tennisn Drive Mercedes E Class

Demographics Traitsn Urbanicity: Urbann Income: Wealthyn Income-producing assets: Eliten Age ranges: 45-64n Presence of kids: Family mixn Homeownership: Mostly ownersn Employment levels: Managementn Education levels: Graduate plusn Ethnic diversity: White, black,

Asian, Hispanic, mix

LEARN MORE ABOUT THE NEIGHBORHOOD

Take away a worry for your clients, and the life insurance proceeds may be invested with you.


TIPS TECHNOLOGY&life hacks | apps | time-savers

That’s the refrigerator talkingHave you ever been at the grocery store and can’t remember if you have eggs at home? With new smart appliances, you can just text your re-frigerator and ask. And, if you need to stop after work to buy those eggs, but you also need your son’s soccer jersey cleaned, text your washing machine to take care of it.

A new smart kitchen lets homeowners com-municate, control and monitor their household appliances from their phone. The smart kitchen lineup includes a camera-equipped refrigerator, a washing machine that allows users to start laundry remotely and an oven that can be con-trolled from any location.

In the refrigerator, a camera is positioned at the top of the main compartment so users can moni-tor exactly what’s inside on their smartphones or tablets. The refrigerator itself also tracks what’s inside, so it can answer your text message and let you know if you actually do need eggs. It can create customized meal plans based on the ingre-dients available and the user’s personal profile.

The oven can also help with dinner. It will query you on what you’d like to make and open a recipe search window with ideas. When you’re ready to start cooking, the oven sets its tem-perature and cooking time for that particular dish.

To do laundry, users can text the washing machine as they head home, and the wash is completed by the time they arrive.

While these products can’t cook the actual meals or fold the laundry, they’re making life eas-ier for busy families. The appliances are currently sold in South Korea, and are expanding to other countries. For more information, visit lg.com.

Organize digitallyAre you feeling disorganized? Do you wish you had an online binder for everything you bring with you when meeting with clients? OneNote on Surface Pro 3, a Microsoft tablet, makes it easy.

1. Simply purchase the tablet, which comes in several varieties. The 12-inch model is $900 at microsoftstore.com.

2. Use the software to load all the forms you use for your fact finders, meetings and appointments. You can duplicate them for each client.

3. Go to the meetings, take notes, create a to-do list and write notes for staff. Now you can

have everything at your fingertips with less clutter.

Minh Duc Vo, Houston, Texas, 4-year member

Momentum in our lives is very important, and our customers, family and friends want to be around a positive “me” versus some other version of me. One way to keep positive is to track your “wins” and your anticipated successes.

The WinStreak app allows you to enter your wins for the day and your antici-pated wins for tomorrow. I usually try to enter at least three wins for the day. These wins could be closing on a case, completing a task, celebrating the win of a colleague, or spending time with fam-ily and friends. Cognitively recognizing these wins for the day and potential wins for tomorrow changes your mindset, and you are more often the person you want to be. If you want to share your wins, the app allows you to easily do this electron-ically by text message, social media or email. One of your wins today could be downloading this free app.

Peter Hill, ChFC Des Moines, Iowa, 19-year member

On a winning streak


7 travel must-havesBefore you head off on your next business trip, consider placing a few items in your bag that will make life a little easier and technology management a bit less frustrating.

1. A small bag for all your tech gear. Consider Eagle Creek (eaglecreek.com) packers and organizer bags, or some other brand of fabric zippered bag to keep all your tech together. This can make losing things less likely, and it’s easier to grab everything you need quickly.

2. Flat USB cables. These flat little cables roll up neatly and don’t get tangled like their round counterparts.

3. Outlet multiplier or surge brick. In case your hotel only has one outlet to set up your iPad or computer, consider bringing your own. Travel surge strips/bricks are lightweight, affordable, easy to pack and give you two to four extra outlets.

4. Extras. Whether you are a die-hard Android or a devoted Apple fan, con-sider carrying an extra charging cable for the other team. The client, friend or stranger in need will appreciate you greatly.

5. Dual USB high-capacity charger. Some devices need more juice to charge. First-generation USB chargers only put out 0.5 amps; the next generation of these put out 1 amp. However, today most tablets need 2.1, and some phones can handle the increased output for faster charging. A dual 4.2 amp charger has two 2.1 USB outputs so you can rapidly charge a tablet and phone at the same time. Limefuel, available at limefuel.com, makes just such a device.

6. Headphones. When you need them, you need them, and a spare pair is cheap.

7. Small wallet. Pack a small, spare wallet with cash, an extra credit card and ID, plus a copy of your passport if you are traveling internationally. It only takes losing your wallet or purse once to appreciate this.

Brandon Green, CLTC, LUTCF, Katy, Texas, 6-year member

New life for old flash drivesIf you have a drawer full of extra flash drives, consider donating them. Recycle USB is a nonprofit website dedicat-ed to turning used flash drives into portable learning devices for children. When you donate a flash drive, all your information is cleared from the device and learning software is loaded. The flash drive is given to children between 5 and 12 years old in countries around the world. For more information, visit recycleusb.com.

Pocket power sourceCharging your electronics while out of your home or office is often a chal-lenge. The HUE Stik External Battery offers a simple solution for $22. The external battery is about half the size of a smartphone and easily fits into any bag or pocket for instant power on the go. It’s perfect for long flights, road trips, emergency uses, or just to carry daily for power-hungry devices.

The Hue Stik is equipped with LED lights that indicate the amount of pow-er remaining. It also works as an LED flashlight. Available at junopower.com.


Many financial professionals think when they make a sale their work is done. However, there is one very im-

portant final step after you sell a life insurance policy. The policy delivery is an opportunity to set yourself apart as a professional who is in-vested in your clients and will go the extra mile. To maintain a superior level of client service, we must be invested in providing high-impact marketing strategies to fulfill a client’s needs. Developing a unique policy delivery will help achieve those expectations.

Start by asking yourself two questions: Is your current policy delivery building client apprecia-tion? Is it referral-worthy?

To improve your service standards and ensure clients feel valued, consider the following:

Personally deliver the policyIt’s a unique way to leave a positive and lasting impression. It will elevate the entire sales expe-

rience and assure clients they made an important decision in protecting what matters most.

Deliver a custom packagePut the policy in a high-quality wallet, hand-crafted case or customized folder to create high impact. Include any extra documents that pro-vide guidance about the policy as well as advice for the future. When used, these documents will remind the client of your delivery.

Plan the next discussionUse the time you deliver the policy as an opportu-nity to lay out your client service standards. Dis-cuss what they can expect from a communication perspective and how often you want to meet with them. It’s important to strategize the next step. Write a congratulatory letterThe decision to purchase life insurance means spending money on something they will never see. To help alleviate buyer’s remorse, send cli-ents a handwritten note congratulating them on taking a step toward a secure financial future.

There is a direct and critical link between a client who feels valued and their loyalty to you. Taking the time to thank a client is an excellent way to demonstrate you are a caring and atten-tive advisor. These letters go a long way toward expressing your professionalism and dedication.

Now that your current policy delivery system is referral-worthy, be sure to let your clients know referrals are always appreciated.

Everyone has the opportunity to be successful. We just have to do the right things right and, more importantly, we have to do them frequently. By incorporating an impressive policy delivery process, you will be on your way to building long-term relationships and adding a cutting-edge advantage to your practice. RTT

PRACTICE

After the saleGo the extra mile with your policy delivery.BY MICHAEL MORROW, CFP

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The subject of fees vs. commission has been a matter of debate for some time. Some people only work with fees, some

have recently transitioned and others have been forced to make the change through regulation.

The very fact that you are still reading this means you are either interested on some lev-el, being forced to make a change, or perhaps already operating on a fee basis and are looking for tips.

We know change isn’t easy, especially if reg-ulation forces it upon us. The good news is that many MDRT members have gone through the

change and are more than happy to share what did and didn’t work for them. This article was put together by members of MDRT who have gone through it. We are here to help and support you.

Let’s look at the factsWe are financial advisors — people come to us for advice. However, advice comes with a cost.

Fee-based fundamentalsHere’s how to incorporate fees into your practice.BY DAVID BRAITHWAITE, DIP PFS, AND MICHELLE L. BENDER, CFP

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1. Know the law in your respective country, and make sure you have

the right credentials to be a fee-based advisor. Check your region’s regulatory authority or your firm’s compliance department to ensure you are able to practice in this way and that you have correct, up-to-date information.

2. Determine a business/fee model. What does it cost you to transact

business? Consider your office, your staff and how much it actually costs you to take a client from point A to Z and everything in-between. Know your competition’s price for your region or area of specialty.

It’s easy to carry out research on other firms — just Google local advisors. Many publish their fee structure and how they work. Not all of what they do will resonate with you, but it may show you

Historically, that cost has been paid for by the client buying a product. The advice may have been viewed as free. We may have even said to the client, “We are paid by the company for the product we are selling, so you don’t have to pay us.”

In truth though, the client is always paying. These product providers don’t pay us for giving ad-vice; they pay us when the client signs on the dotted line, and then pay a premium to that provider. The advisor arranges the product, is paid a commission for the sale and that’s it. Years later, that client may need help with other financial matters, but there may be no sale, which means no money for the advisor. Unless there is another way…

Charging fees represents primarily a change in emphasis: Instead of selling products, firms and their advisors are now selling their own expertise and intellectual capital.

Imagine if we were like accountants or attor-neys — when clients come to us for advice, they pay for it without being sold anything. Sounds

like a revolution.In many countries, advisors have been forced

by regulation into making the change after com-missions were banned for certain product areas. Some countries also made advisors enhance their qualifications.

What has happened in those countries? There has not been doom and gloom (although that was how it was first imagined) but instead thriving businesses, in which people are viewed as profes-sionals working within their chosen profession. Let’s move away from working in an “indus-try.” We are better than that — after all, we are members of MDRT — The Premier Association of Financial Professionals.

Baby stepsYour clients are the ones who will be paying you. Ask your existing clients how they feel about fees instead of commission. You may be surprised to hear responses such as “I always wondered how you got paid,” or “we come to you for help and

PRACTICE

HOW TO TRANSITION TO A FEE-BASED PRACTICE


it’s only fair to pay.” You can casually ask this question without actually suggesting a change, but please ask — you will be surprised by the response.

Compare that to a client asking, “What are your fees?” No matter how you answer, the client hears, “Well, they are free, because we wait to see if you buy anything.”

The truth is people will pay when they receive value.

So, if we delve a little deeper, let’s look at what we do as advisors, compared to what the client val-ues. Remember: Value is what people will pay for.

Some advisors charge for every step of the process, so they are being paid as they go. This means that should a client decide not to proceed with your suggestions, then at least you have been paid for the work you have done.

Compare this to the traditional commission model. You do all the work and hope they sign. Then, provided they accept the contract, you finally get paid. It’s being paid in arrears for work

you have already done — but the clients don’t really know that. What if they cannot get under-written? It’s neither your fault nor the clients’, but you won’t get paid. Yet, you have used your time as a professional to get the clients that far.

Believe in yourselfChange is hard, especially when it is forced upon us by regulation. We appreciate that; we have been there. One of the biggest issues we have found with advisors moving from a commission to fee model is actually between their own ears. We are creatures of habit. We know our sales pat-tern and what to say when, and it works for us.

Making a change requires being uncomfortable for a short time, and finding a new way to talk to clients. What other advisors have found is that the biggest hurdle was the belief that clients will not pay. But if we don’t ask, how will we ever know? Just try it with one client, and ask for a fee for an element of the process. Start with a small one so it’s easy, and build up from there. RTT

what you like and could use in your own business. Do this especially with success-ful firms that you aspire to be like. Be sure to also use other local MDRT members to give you some insight.

3. Create literature that supports your model. Existing clients will find it

easier to embrace the change if you have literature that helps understand it in the first place. It also will provide you with the confidence to have those conversa-tions.

Create a document that explains how you work and how you charge for that work. When you create your own document, you will want to share it with clients. Seeing your proposition in writing also adds weight to it. It has been thought through, it is something tangible, but above all, it makes your conversation easier because it is the

paperwork talking, not you. You won’t be as apprehensive with clients; all you have to do is guide them through your value proposition.

4. Communicate your proposition. This isn’t just meant for the clients.

You need to let your whole team know what is happening and why. They need to be on board with your ideas. Your team can be a huge asset in creating your proposition. In addition, make sure your clients know all the services you offer and what you can do for them.

5. Look for opportunities to improve your practice. Change can poten-

tially increase your income. For exam-ple, the more frequent client reviews that may be required by legislation can help you build a closer relationship with your clients. Additional documentation,

which is often required by regulatory change, can help reduce liability to your practice.

6. Analyze the processes within your firm, review and fine tune. Just

because it may be working fine doesn’t mean there isn’t room for improvement. Look back after you have thoroughly road tested the change. Ask clients for feedback about what they found: Was the literature clear and easy? Do they understand the fee structure? On your end as the advisor, what pitfalls did you find that you could eliminate or improve from the process? Is your workflow process working as efficiently as you’d like, bearing in mind the fee you are charging?

7. Embrace — and enjoy — the change!

LISTEN AND LEARN

Still unsure about making the switch to a fee-based practice? Hear more from members, including Braithwaite, who have made the transition and seen their practic-es flourish as a result in the MDRT Podcast. Visit mdrt.org/podcast to see if this is right for you.


During the next 12 months, 38 percent of you will likely be a victim of a cyber-crime through your mobile device. Your

smartphone is a treasure chest full of informa-tion that can be stolen and used against you.

World cybercrime is estimated at more than $400 billion globally, a 25 percent growth from the same report in 2013. There are an estimated 1.5 million cyber victims per day. In just a few years, cybercrime has soared to one of the top four types of economic crimes globally. Here are a few action items you can employ to avoid this happening to you.

Action 1: Keep your operating system up to date. Similar to how you keep your desktop and laptop computer software updated, you need to keep your devices current to patch bugs and security holes. Keep in mind, depending on your devices, versions and battery life, you may have to plug in your device to update it.

Action 2: Keep your apps up to date. For Ap-ple devices, you simply have to go to the iTunes App store. Apple does a good job of screening apps for viruses and Trojans. For Android de-vices, it is a little more complicated, as there are many more marketplaces or stores where you

can get your apps. I recommend getting your apps from the Google Play Store because they offer a similar way to keep your apps safe.

Action 3: Download and install security pro-tection, and review app settings. There are a va-riety of programs to choose from; some are free and others require payment. Each has different options, from virus protection and protection from malicious websites, to scanning your apps, and even sending you an email when someone types your password incorrectly.

By default, most applications want access to your personal information such as email, address book, phone, microphone, camera and location services. Some of this is important. For exam-ple, map apps require access to your location to provide directions to get from where you are to where you want to go. But does your map app need access to your calendar, text messages, mi-crophone or camera? Not likely, right? So when installing apps, we need to be aware of what it

Cybercrime has soared to one of the top four types of economic crimes globally.

PRACTICE

3Follow these steps to implement safeguards from cyber criminals.

BY ANWAR VISRAM, CISSP

ways toprotect your smartphone


requires access to and be able to deny access to certain services and then allow them selectively.

Location services use both GPS and your Wi-Fi signal to calculate your exact location on this planet. It is useful when getting directions to a new restaurant you will be trying out. Howev-er, that information can also allow criminals to track you as you move about. Apple often buries the location services feature, and many apps want to use this feature. But it can be used to track your every movement, including where you’ve been, when you were there and how long you were there. Your mobile device is effectively stalking your every move.

Do you take pictures of friends or family and post them on the Internet? When you were taking those pictures, did you also want to share the exact time and GPS coordinates of those pictures? When you post pictures online, you are actually giving away all that data. You can imag-ine what a criminal can do with that information.

As you view your settings, Android and Apple users will see different things. For Apple users, you can adjust your settings universally across all apps, or you can selectively turn on or off applications that want to use your location. I would recommend reviewing each setting and then determining if it is appropriate for you. The pro is that you can individually select settings. The con is that you will have to review these settings each time you install a new app.

Unfortunately, Android users only have the ability to adjust settings for all apps. The pro here is that settings usually only have to be done once. The con is that there is not the ability to selec-tively enable location services for certain apps.

I have only covered the tip of the iceberg of cyber security. Mobile devices are a great start. Use the same security mindset to look at all your technology. This includes all your cloud storage technologies, computer systems, networks, on-line social media and Web applications.

Today, it is not enough to say you have a firewall or antivirus protection. For those of you lucky to have a dedicated information technolo-gy staff, you need to question them on security.

My experience of more than 20 years working around the world has shown me that most IT groups just focus on making sure your email and websites work. IT very rarely focuses on or has expertise in helping you use your technology safely and securely. We have to simply look at the celebrity photo and iCloud leaks, along with businesses that have suffered breaches, such as Target, Home Depot and Sony, to know that no one is immune to these hacks. RTT

1. Awareness: Go beyond simply using the latest technology — make sure to also consider both the benefits and risks of all the features.

2. Behavior: Use the security-first approach, which includes ensuring you use passwords to protect important information.

3. Prevention: Remember, the cost and value of securing your systems now could save you weeks or months of cleanup time and tens of thou-sands to hundreds of thousands of dollars in reputational damage and other financial costs.

THREE THINGS TO REMEMBER WHEN USING TECHNOLOGY

TO ACCESS the full presentation, visit

mdrtresourcezone.org.

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Morris’ best practices for a holistic approach hold true 30 years later.BY KATHRYN FURTAW KEUNEKE, CAE

Financial planning philosophy

As they planned the 1983 MDRT Annual Meeting, with the theme “Reach Out for Tomorrow,” MDRT’s leaders thought about how to help their fellow members grow. One of their answers was to provide role models. “After all, isn’t this what we have been doing for 56 years?” then-President Jack B. Turner, CLU, ChFC, of Clarksville, Tennessee, told attendees. “When you really stop to think about it, isn’t that how we all grew — by our identification with fellow members who had traveled a road before us?”

The task force identified role models to represent five practice types in a ses-sion called “Survival in the Financial Planning Era.” Richard S. Morris, CLU, ChFC, of Colorado Springs, Colorado, who had been an MDRT member since 1966, shared his experiences of transitioning to a financial planning practice — a topic many producers are still seeking today, three decades later.

“One of the best ways for us to sort out our own future is to examine, micro-scopically, what others who have made the move are doing and what it took to get there,” Turner said.

Robert E. Carlson, Ph.D., former head of research at LIMRA, interviewed each of the identified role models during the session.

Carlson: You’re classified as the financial planner in this group, and that seems to be the hot topic of the day. How did you get into that business?

Morris: Financial planning, to us, is a philoso-phy. We have kind of evolved into that particular philosophy. We started out trying to do a better job of planning for professional people. Through the process of our evolution, we gradually got to the point where we felt we had a total service that we could charge for and people could accept.

Carlson: How does the income to your group break down?

Morris: Over the last 2 ½ to three years, we have achieved a balance. About one-third of our income comes from fees, about one-third from investment commissions and about one-third from insurance commissions.

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Robert Carlson (leaning on table)

talked with Richard Morris (front chair)

about financial planning. 1983


Carlson: How many total clients do you have that you deal with on a regular basis? In financial planning, you just don’t run a program through and leave them. I assume you manage this relationship over time.

Morris: Yes, and that requires a lot of com-puterization and other kinds of backup. Proba-bly true total financial planning clients — at least that meet our criteria — 70 to 80.

Carlson: What’s the rest of your client base?Morris: Probably another 150 to 200 people

we dealt with many years ago and who don’t quite fit the mold, but we don’t feel we can turn our backs on at this time.

Carlson: How are you going to provide long-term service to the financial planning clients? What happens if you are taken out of the pic-ture? How does this business continue?

Morris: One of the commitments you have to make when you get into a total financial plan-ning concept is to build up depth through staff. And we have a lot of research staff and a lot of other staff who provide expertise in a wide vari-ety of areas. That makes me less important. My principal role is that of opening up new cases and closing, or putting together, a client rela-tionship. I think the firm, at some point, could do without that. Although, the better organized it is, if I get hit by that proverbial truck, there’ll

be something to sell and attract someone else in that capacity.

Carlson: How many new clients did you have last year in financial planning, and how many in strictly life insurance?

Morris: We don’t add them strictly from a side-door viewpoint. A new client must come in as a total fee-based circumstance. It’s sort of like a doctor who can’t operate until he has really reviewed the whole patient profile — we feel the same way.

Carlson: How many new clients did you have for total financial planning?

Morris: Probably about 12 to 15. That’s about our capacity for new clients because of the depth we go into with the kind of new client we accept.

Carlson: If you were starting this business today, would you do it right now? Has the past given you a better roadmap?

Morris: I would certainly avoid some of the mistakes we’ve made in the past, but I think today, with the climate the way it is, rather than this process of evolution, we could take the structure we have and design it that way and drop it in place — provided you have the capital — wherever it might be.

Carlson: What are the mistakes you think you’ve made in the past?

Morris: The most difficult job we have in fi-nancial planning is finding compatible associates.

Carlson: Who’s the boss? Is that you?Morris: I think if we were doing it over, I

would no longer be the boss. I think my capa-bilities are better in client work, and it would be wiser for me to hire strong, central management.

Carlson: In an administrative capacity? Somebody to run the office and you’d slide off as a super staff person/prospector?

Morris: I don’t think, in my concept, any of the principals should necessarily be the boss. You can have a board of directors, you can have your policymaking decision. But I think the law firm approach is certainly the wave of the future as we look to this field here. RTT

A new client must come in as a total fee-based circumstance. It’s sort of like a doctor who can’t operate until he has really reviewed the whole patient profile.


AUTO-RESPOND

In starting and building relationships with clients, we know we need to connect on a more personal level. I usually meet with my clients and prospects in their office first. When I get in, I make sure to casually look around.

I’m looking so I can get to know the prospect a little better. First, I understand better what is important to them. For ex-ample, I’ll see a picture of the family, so I know there are kids, dogs, etc. I can ask about them without the typical “Do you have kids?” It’s better to go right to: “How old are your kids? When was this picture taken? Looks like you’re on vacation — do you enjoy traveling? What are your favorite spots?”

From there I find out so much of what is important, and we can have a conversation that is less like a fact-finder and more like two friends.

I’m also looking at things like diplomas, sports memo-rabilia and awards to give me more things to talk about in our meeting, and plenty of “excuses” to email or call later.—Adam Steven Blumberg, CFP, CLU, Houston, Texas, 5-year member

During a day when you have numerous client meetings, turn on your email auto-respond to advise any clients/pros-pects of the following: “Thanks for your email. Due to my schedule today, I will be reviewing and answering emails be-tween 1 and 2 p.m. and 4 and 5 p.m. If this matter is urgent, please contact the office immediately.”

This is important for two reasons. 1) It lets our

prospects/clients know we are busy, and that’s a good thing. 2) More importantly, it gives us permission to not re-spond right away — thus we can stay focused on our meetings and not become distracted by email developments that are certain to take us off track.—Gregory B. Gagne, ChFC, Exeter, New Hampshire, 16-year member

FAST AND GOOD

FIND A CONNECTION

FILL UP THE TANKFor a 100-mile round trip in your car, would you fill your gas tank completely? Fill it halfway? Or pump $20 and cross your fingers? In my car, I could do the round trip almost twice on a half-tank. With a full tank, I might be able to complete the trip four times. However, with $20 of gas, one false move — con-struction, traffic, the GPS sending me in the wrong direction — and I’ve got a big problem. So which one would you choose? Audiences choose either a half-tank or a full tank every time.

Make the connection to life insurance: Full tank — whole lifeHalf tank — universal life$20 — term insuranceSo, if you would either fill the tank or put in half, would it

make sense to fund your life insurance using any other system?—David L. Alarid, Newport Beach, California, 27-year member

We should have a sense of self-value in what we do and pride that it is unique. We should present ourselves as specialists and experts, not salespeople. Therefore, our cli-ents must appreciate that we are no different than anything else of top quality — you get what you pay for. I explain that we have three components to our service: we can be fast,

cheap and good. However, a client can only choose two out of the three. If they want it cheap and fast, it won’t be good. If they want it cheap and good, it won’t be fast. And, this is where we position ourselves, if they want it fast and good, it won’t be cheap.—Bhupinder S. Anand, ACII, Dip PFS, London, England, 19-year member


SEPTEMBER/OCTOBER 2015 | ROUND theTABLE.ORG 27 SEPTEMBER/OCTOBER 2015 | ROUND theTABLE.ORG 27

PEOPLEour

Meet MDRT’s new President 28 | Global goals 32 | Focus on South Africa 34 From crash victim to colonel 36 | Changing mindsets 38 | Helping clients 40

BEGINNINGS

MDRT members often start out in very different careers. Laurence Turner (Page 38) began his career as a traffic police officer. MDRT President Brian Heckert

(Page 28) milked cows and worked in a meat-packing plant.

RESCUE

The Canadian Transport and Rescue squadron covers 27,000 kilometers of rugged and often

inaccessible terrain. They can also be credited with rescuing an

MDRT member.

SOUTH AFRICA

South Africa can boast two Nobel Peace prize winners who grew up on the same street. Nelson Mandela and Archbishop

Desmond Tutu both lived on Vilakazi Street in Soweto.


MDRT President Heckert’s steady, principled approach to building success will sustain MDRT’s relevance.

BY KATHRYN FURTAW KEUNEKE, CAE

As a new husband and father, Brian D. Heckert, CLU, ChFC, relied on a set of core values learned in the family-oriented setting of small-town southern Illinois. The

same values guided him as he entered the financial ser-vices profession, driven by the need to support his young family. The principles aren’t new, explained the 27-year MDRT member from Nashville, Illinois. The values that guided Heckert in raising his four children and establish-ing a practice from the ground up are the same ones that have been at the heart of MDRT since 1927.

The similarities between his own personal and business values, and those of the Round Table, inspired Heckert’s “I am MDRT” Annual Meeting speech in June in New Orleans, Louisiana.

Built on values



“‘I am MDRT’ signifies that each one of us has an intimate rela-tionship with MDRT and what it means to us,” Heckert said. “It’s not one answer — it’s 43,000 answers. So, ‘I am MDRT’ means that I am the accumulation of handshakes, hugs and ideas that I’ve gotten over the last 27 years. I am MDRT because of the people that sur-round MDRT. People who come to the meeting and share with me everything they are — I take a piece of that away. And it’s made me who I am today. I’m a better advisor, husband, grandfather, father and community volunteer. I’m a better person because of the relationships in MDRT, and that’s what makes it so special for me. It’s a place in our hearts we can go to that helps us become better.”

As MDRT looks into the future of this profession, Heckert is confident that the exploration of these values that unite members will ensure MDRT’s continued relevance. As he takes the office of MDRT President on September 1, he leads the entire global member-ship into the implementation stage of a multiyear strategic planning project.

In 1984, Heckert and his wife, Mary, walked into their

agent’s office to buy their first life insurance policies to protect their newborn son. Returning to increase his coverage after his child’s first birthday, Heck-ert encountered an interesting proposition from his advisor, Allen L. Schmale, CLU, ChFC, a former MDRT member. Schmale knew Heckert was already working two jobs — milking cows and toiling in a meat-packing plant — to support his family and was considering adding a third. He suggested that Heckert consider a career in finan-cial services.

Heckert passed the life insur-ance aptitude test and entered Schmale’s agency of 10 producers in 1985 at age 21. Heckert re-ceived formal training from the agency, and he supplemented with self-study. He also broad-ened his exposure to other pro-ducers — and access to their best practices — by becoming involved with industry organizations. At age 25, Heckert served as pres-ident of his local chapter of the National Association of Insurance and Financial Advisors.

The combination of training, self-study, and exposure to others and their ideas was the right mix to push Heckert to his first MDRT qualification. The Round Table’s influence — as well as the core val-ues he brought from his childhood — helped Heckert build a practice from the ground up, one client at a time. Because he lives in a town of 3,200, Heckert had to reach beyond the local community to build his clientele. This opened up the pos-sibilities for Heckert and allowed him a larger prospective client base he could strategically target.

Heckert describes his clients as blue- and gray-collar business owners with first-generation LE

RO

Y K

OET

Z


Heckert and his wife Mary (facing page) met in elementary school. Photos this page, left to right: Heckert’s Financial Solutions Midwest team; Heckert with his wife and three of their children; Heckert’s oldest son and his family.

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wealth. And because he hand-picked each of them, his clients re-side as far south as Kentucky and as far north as Wisconsin. Heck-ert’s business, Financial Solutions Midwest, began as a small office focusing only on life insurance, but has become a full-service financial planning firm with multi-ple offices.

To grow his business, Heckert has merged with six other produc-ers. All of the relationships began with MDRT — one through volun-teer work, another from a lunch

discussion at the Top of the Table Annual Meeting. “For a person wanting to transition and sell their practice, the candidates are here,” he said. “I would encourage every-body to use MDRT as your go-to place to find that next transition.”

With the mergers, Heckert has acquired offices in other Midwest-ern cities, which makes it easier to serve his new clients. He has also invested significantly in technolo-gy to close long distances. “We’ve made a huge investment in making sure our new office building is

“The life insurance profession became more than just an

occupation; it became a way to think bigger and act bigger

and to control my own destiny. It really is one of the few occupations in the world

where you can help people. This profession becomes one of the most rewarding — not

only financially — but also from a feel-good position.”


While Heckert has been strategically building his own business, he has also had a role in MDRT’s strategic planning process. For the last three years, MDRT’s Executive Committee has worked through a process to establish a wide-ranging yet focused plan to ensure the Round Table’s relevance in the future.

Heckert described the thoroughness of the strategic planning process, explaining that it came directly from MDRT’s membership at large. “We conducted meetings, we held focus groups, we brought in members,” he said. “We interviewed them from all over the world to find out what’s important about MDRT, and we used that as our starting point.”

Five principles emerged to guide the process:1. Organizational independence. “MDRT will maintain its indepen-

dence while helping those who partner with us to grow and prosper.”2. Highest standard of excellence. “We will be the premier organiza-

tion for financial professionals around the world.”3. Value and self-worth to the member. “Our programs will focus on

making all of us better and increase the value of being a member.”4. Member connectivity. “Networking is a significant member benefit,

and MDRT will expand these networking opportunities.”5. Ethics. “Everything we do as an organization will be of the highest

ethical standards.” “We took three years and boiled it down into five core principles,”

Heckert explained. “From there, the strategic plan helps us build pro-grams. It tells us what not to do as much as it tells us what to do.”

Though the strategic plan is not complete — it is ever-evolving — the

MDRT’S FUTUREHeckert and Barczewski, his business partner.


very technology-friendly,” he said. A large touchscreen monitor allows Heckert to make presenta-tions virtually for clients in their homes or any of his offices, even if he’s several hours away — or even continents away, traveling on MDRT business.

“My clients appreciate it be-cause they just want to hear the message and the solutions — they don’t necessarily have to meet me face to face,” he said.

Though he’s still in the business growth phase, Heckert has a suc-

cessor in place to secure the future of his firm. Leo D. Barczewski, MBA, is Heckert’s partner and the firm’s manager of investments.

“It’s very difficult to be the owner and marketer of the firm and think long-term without someone younger and newer who has that ambition and a different way of looking at the practice that will help it grow,” Heckert said. “I’ve found the value of our firm doubled over the last three years by actually selling part of it to a younger advisor.” RTT


planning stage is winding down, and the implementation stage is heat-ing up. During the last year, several strategies commenced to improve the way the organization operates to be able to offer members a more personalized experience.

A technology focus provided a redesigned mdrt.org that includes more content and the ability for members to customize the offerings, as well as a multiyear plan for implementation of a state-of-the-art database.

A new strategy for MDRT’s content offerings is underway, which has resulted in the MDRT Podcast series and new videos found in the Resource Zone on mdrt.org. For those who want to know how to discuss MDRT with their clients, resources have been developed to help members position themselves in their communities.

Work is being done to enhance MDRT’s Mentoring Program and create other professional development resources. Meanwhile, mem-bers will have more opportunities to meet locally to connect and share ideas.

“I’m most proud that during the next year, we’ll stop talking about this strategic plan as something that will come,” Heckert said, “and it will just become part of who we are.”

Heckert believes MDRT members’ shared values will ensure the organization’s

continued relevance.

VOICE OF EXPERIENCEStep beyond the pages of Round

the Table and hear Heckert share what has helped him become MDRT President in the newest episode of the MDRT Podcast. Heckert followed a unique path, coming from the small town of Nashville, Illinois, to reaching the top of his profession. How did he do it? Visit mdrt.org/podcast to find out.


In August 2001, Kobus Kleyn, CFP, walked away from his life in the corporate world. “I had to get out of the rat race,” he said.

Searching for what to do next, the three-year MDRT member from Midrand, South Africa, turned to financial services, seeking to change people’s lives. “I always believed if you do what you love, the rest will follow,” he said.

Things have not progressed as smoothly as Kleyn probably envisioned, however. Since he

entered the profession, he has had to deal with an unusual environment, as South Africa has continuously implemented new regulations for the industry. Beginning this year and lasting until 2017, reforms called for by an extensive retail distribution review (RDR) will be implemented in phases. These reforms aim to raise the pro-fessionalism of the industry by regulating what clients are sold and ensuring they receive the products that are best for them, rather than for their advisors.

These new regulations are just the latest in a long series of new rules first put into place in 2001. “They have resulted in significant costs to our practices, as well as additional compliance and administrations burdens,” Kleyn said. He is, however, very optimistic about where these new regulations may lead the industry.

“Commission is expected to be cut by 50 percent, with no commission on investment business at all,” he said. “I, for one, feel very positive about this reg-ulation, as I believe RDR will be a big step forward in professionalizing our industry. This is especially true for the long-term insurance side of things.”

Kleyn encourages other members to keep their eyes on how this increased regulation plays out, and to learn from the successes and failures that are bound to come out of this experiment.

PEOPLE

Regulation that helpsKleyn looks forward to elevated professionalism in South Africa.BY SCOTT ROGERS

South Africa

“I always believed if you

do what you love, the rest

will follow.”— Kobus Kleyn

Johannesburg, South Africa, a major city near Midrand.


“The life insurance market in South Africa over the next three years will be the guinea pig for the world’s financial services industry,” he said. “It will certainly establish if the consumer is willing to pay for fee-based advice, and if an RDR can be a viable concept within the financial services for both investment and risk business. This will determine if regulation can reduce the negative impact on the advice gap and advisor gaps as was observed in the U.K. and other RDR countries.”

South Africa is home to the second largest economy in Africa and ranks as the 34th largest economy in the world, so there is plenty of room to monitor the success of these initiatives.

Regulation is something MDRT members have faced for decades. Jack B. Turner, CLU, ChFC, 1983 MDRT President and 53-year member from Clarksville, Tennessee, shared his thoughts on adapting to change in the industry. “We’ve all been there, and the only predictable thing about that is we’re going to be there again,” he said. “So you’ve got to learn. You’ve got to learn to cope with tough times, and sometimes when you’re at that point, you just have to pause. Other people have been here before, and they’ve come through it. Tell yourself, ‘By golly, I can come through it too; I just have to rededicate myself to the task.’”

According to Kleyn, the industry in South Africa is highly competitive, leading advisors to naturally push themselves to get through these tough times. Along with local associations, Kleyn

credits MDRT for raising the level of profession-alism in the country.

Though he only became a member three years ago, Kleyn said he has been benefiting from MDRT’s influence for much longer. “I heard about MDRT nine years ago,” he said. “After investigating what the legends in the industry in South Africa had in common, I found that 80 percent of them have been touched by MDRT in some way. I then decided to unofficially get involved through videos, CDs, publication and many other MDRT electronic resources available to me at a limited level as a nonmember. I did eventually join MDRT officially and immediately qualified for the Top of the Table due to the prac-tice I built with all the help from MDRT. I just wish I didn’t wait so long.”

His continued MDRT education, including as the Country Chair for Middle East/Africa in the Member Communication Committee, has helped guide the development of his practice.

“I have gone a long way to creating an office-based practice,” he said. “Around 95 percent of my clients come to me, and I already have one full continuity partner. I am devel-oping two more — all three were brought up through the MDRT Mentoring Program — as succession planning insurance but also to en-sure I can, through segmentation, divert clients to them as well as let them take over referrals I receive daily.” RTT

CONTACT:

Kobus Kleynkobus.kleyn@ liblink.co.za

The Houses of Parliament of South Africa, the seat of government power.


L iru Chang, MBA, may have immigrated to the United States from China 15 years ago, but the ties to her native land remain an

integral part of her life and business. From having her own Chinese-language TV and radio shows in California to specializing in international tax law, Chang has used her background to guide her career.

Chang, a six-year MDRT member from San Jose, California, is the vice president of Elite Wealth Group. She came to the United States from China as a student to pursue an MBA degree specializing in financial and quantitative information manage-ment. For the past six years, she has been working in the insurance and financial services industry, fo-cusing on the high-end Chinese-American market. She works with Silicon Valley high-tech engineers and business owners, and San Francisco-based professionals such as lawyers and doctors.

Elite Wealth Group provides integrated wealth management and real estate evaluation along with retirement, estate, business and tax planning. In addition, many of her Chinese clients come to the United States to purchase real estate, and Chang specializes in assisting with international tax laws.

To attain her success, Chang set goals for herself to become a knowledgeable insurance agent and maintain a high degree of professionalism. “I keep to the following principles in doing my work: Be first, be professional and be trustworthy,” Chang said.

Chang believes financial planners need to es-tablish trust with clients to build a sense of value, while also emphasizing that love for their families is the rationale for all insurance activities. She also uses what she refers to as a reverse marketing strategy — she’s not selling, but instead is solving problems for her clients.

“To me, a successful sale is never about just sell-ing; it is always about providing high-value service to my clients and helping them solve their own problems,” Chang said. “Only in this way can I get their recurring business.”

In her insurance work, Chang has paid special attention to selecting clients, a strategy that has helped build her sales. Most of her clients have a net worth between $3 million and $50 million.

“I use my limited time to pursue the most valuable clients and build up trust with them,” Chang said.

Global goalsChang draws on her international knowledge to achieve success.BY ELIZABETH FUHRMAN

PEOPLE


One way Chang has done this is by bring-ing value to her clients. Her clients come from companies like Apple, Google, IBM, Microsoft, Facebook and Twitter. They are all very knowl-edgeable, so Chang felt she was not in a position to teach them statistics or finance. Instead, she focused on social networking and established the San Francisco IT Startup Club.

The club’s goal is to provide a forum about every two months for entrepreneurs of Silicon Valley. Chang acts as the club’s organizer and invites experts and successful business owners to share their experiences on interesting topics with club members. For example, one network-ing event featured an executive of Facebook speaking about team building. Club members, at first amazed that Chang simply delivered such a notable speaker, became even more impressed when they found out the speaker was also Chang’s client.

“The club members are enjoying their time because they are not only learning — the club provides a venue for them to socialize and build up personal networks,” she explained. “Being an entrepreneur myself, I understand our mem-bers’ needs. All members like the idea of coming together to pursue a common dream. I never sell any insurance products in this club. I only focus on building my own visibility. Even though in-surance was never a topic for discussion, as time went by, I could get business from many club members, and my club members regarded me as their trusted advisor.”

Chang became a member of MDRT her first year in the industry, reaching Court of the Table in her second year and Top of the Table in her third, fourth, fifth and sixth years. She also has won awards, such as the International Platinum Award in Financial Service, and achieved top agent from National Life Group for 2014 and 2015. In addition, she served on the 2015 MDRT U.S. Tax Planning Committee.

Chang has worked hard to share her knowledge with the general public as well. She is the pro-ducer, editor and host of a finance and insurance program on San Francisco Bay area-based Chinese radio and television stations. She interviews professionals in the financial industry, such as

lawyers, CPAs and actuaries. Her radio show fea-tures a call-in period where she dispenses advice to listeners.

Chang is also an international conference speaker in Australia, Korea, Switzerland, Spain and France. She spoke at the 2014 MDRT Annual Meeting.

Chang makes sure to spend time giving back when she’s not working. Each year, she organizes golf charity events to benefit leukemia research at Stanford University’s Lucile Packard Chil-dren’s Hospital.

“I took up multiple roles to improve my image as an insurance and financial expert,” Chang said. “If I only played one role, not all clients could appreciate my work. When I work with high-end clients, I feel that they want to know me from different angles to assess my capabilities before entrusting me with their business. You can only have notability by doing a lot of value-added social work and community service.”

On top of developing her professional knowl-edge and setting a broad approach, Chang said she pays special attention to details and hard work.

“I resort to perseverance to reach my goal,” Chang said. “I aspire to become a leader in the insurance business, not only in North America or Asia, but globally.” RTT

Elizabeth Fuhrman is a freelance writer and editor.

Chang has received many awards in the industry.

CONTACT:

Liru Changjenny.ewealth@ gmail.com


PEOPLE

D iane L. McCurdy, CFP, EPC, had led a charmed life. That was one of the first things she realized when the

helicopter she was riding in crashed into a Canadian mountainside.

The 33-year MDRT member from Vancouver, British Columbia, Canada, was born and raised in Winnipeg, the youngest of 10 children. Happily married and living in Vancouver, she had built a successful financial services practice and was an active member of her community.

On an August afternoon in 2010, McCurdy’s husband, geologist Gordon Gutrath, suggest-ed a picnic in the mountains to celebrate her upcoming birthday. “It sounded so romantic,” McCurdy said. He wanted to show her a beau-tiful but remote area where he had previously

hiked. “So we got in the car and drove to where a helicopter was waiting.”

Not long after heading into the mountains, the helicopter went into a tailspin, crashed and left McCurdy hanging upside down by her seatbelt inside the wreckage.

Fortunately, McCurdy, her husband and the pilot survived and were soon rescued by Canada’s 442 Search & Rescue Squadron, which is part of the Royal Canadian Air Force.

After the crash, McCurdy came to a conclusion that created a positive change in how she lives her life: It was time to stop worrying about all the wrong things.

“So often we worry about if we’re pleasing people. I’ve always had the mantra to do my personal best and

From crash victim to colonel McCurdy focuses on serving others after surviving helicopter accident.

BY LIZ DECARLO


let go, but that’s easier said than done,” McCurdy said. “Now I try to remember to do my best, to be around people who nurture you and to give back.”

Building a careerAs a financial advisor, McCurdy has reached a high level of success — she is a well-known public speaker, has written a bestselling book on financial planning titled “How Much Is Enough?” and has a busy practice with plans for expansion. But getting to this point wasn’t easy. In fact, convincing a life insurance company to hire a woman was nearly impossible when McCurdy started her career.

“In those days, it was me and a thousand men in the insurance business,” she said. “They didn’t want to hire women — they thought we’d have babies and leave. The industry has changed so much since then.”

McCurdy started out with a rate manual and a simplistic flip chart. “It had pictures of a family, and in the last flip, you’re not there,” she said.

McCurdy decided to forge her own path to se-curing clients. “I learned that to be successful in this business, mostly you learn how to listen and find out what’s important,” she said. “If someone isn’t interested in taking care of their family or their business, why waste your time? You have to find people who care.”

McCurdy specializes in working with clients from cradle to grave, as well as closely held fam-ily corporations.

McCurdy has also worked closely with military personnel, both as a financial advisor and a com-munity volunteer. In 2005, she was asked to speak at Fort Lewis in Washington state.

“A lot of young soldiers were being deployed to Afghanistan, and they were getting large sums of money,” McCurdy said. “The Army wanted to make sure they had the tools to make good choices about what to do with it.”

In addition to helping soldiers manage their money, McCurdy began attending outreach events with the Canadian military, touring bases and meeting with military officers. She has been an observer during search and rescue demon-strations, including a simulated cruise ship crash held in the Arctic.

Military honorsRecently, the Canadian government took note of McCurdy’s efforts with the military and award-ed her the designation of honorary colonel. Her mission in that role is to connect the community with the military.

“It’s a privilege to be asked. They normally give it to someone who’s famous or well-recog-nized in the military,” she said. “The vetting that you go through with the government and the minister of defense is a very, very big deal.”

McCurdy’s work as honorary colonel in-volves meeting with senior officers to serve as a sounding board and confidential ear, along with educating community members and organiza-tions about the military.

She also fundraises for special projects for military families, which include sending care packages to deployed soldiers and helping mili-tary spouses with educational and career oppor-tunities. Her to-do list includes financial planning seminars for military personnel and families.

She’s also thrilled to support the local military base, home to the 442nd squadron that rescued her from the helicopter crash.

At the same time, McCurdy hopes to continue building her practice, with the goal of doubling it in the next five years. “I ask my clients, ‘Would you buy your business back and, if not, what do you need to do so you would?’” she said. “I always try to keep my business current and in shape.”

McCurdy advises new financial advisors to be patient as they grow their own businesses. “You have to think of the first five years as building your business, developing your clientele. It doesn’t happen overnight. From that fifth to sixth year, you experience a quantum leap,” she said. “Just remember, most go through this chal-lenge. It takes time and perseverance. Challeng-es always come your way — but facing it with strength and resilience will pay off.” RTT

McCurdy and the helicopter pilot have lunch on the mountainside.

CONTACT:

Diane McCurdydiane@ mccurdyfinancial.com


Laurence Turner, APFS, CFP, admires the fact that many U.S. citizens see a need for life insurance and seek it out.

Turner, a 13-year MDRT member from Halifax, England, has found that prospects in the United Kingdom need more educating on the value of life insurance.

“In this country, we really have to find people who need it and sell it to them really hard,” said Turner, whose firm is Investing For Tomorrow. “There is a totally different mindset between the U.S. and the U.K. for life insurance. I love the chance to find and teach people who have a great need for it but don’t know it.”

Turner has spent a lifetime helping and teach-ing people in one way or another. He was work-ing as a police traffic officer when he decided to change career paths 29 years ago. He considers this the best move he ever made.

“It’s been absolutely wonderful to meet all the people that I’ve met and to help them because, in my mind, that’s all we ever do,” he said. “Be it in-vesting their money and helping them grow their wealth or sitting down with them and saying, ‘Do you realize what will happen to your family if you die or you have a critical illness?’ That really is helping when you make them see it.”

Investing For Tomorrow is a small firm that markets to the county of Yorkshire. It specializes in wealth management for a spectrum of clients, from young to old. Turner said they have a very loyal, trusting client base built over many years of working together. Initially, that client base came in part from the many educational seminars Turner conducted.

From the early 1990s to 2004, Turner spe-cialized in retirement seminars for teachers, so teachers make up one bank of his business. He started by sending a mailing to every school in Yorkshire advertising his seminars on retirement issues for teachers.

Turner conducted the seminars three times a year in the evenings, with the most popular ones occurring in late May and early June because they attracted teachers who were retiring at the end of August. The seminars taught teachers about state benefits, wills, powers of attorney, in-vestments, pension schemes and what to expect in retirement. He also discussed what his firm could offer.

“I love the chance to find and teach peo-ple who have a great need for it but don’t know it.”

PEOPLE

Changing mindsetsTurner teaches clients about the value of life insurance.BY ELIZABETH FUHRMAN


To continue building his client base, Turner also held lunch-hour seminars for business owners on tax planning and pensions, and for the general public on retirement and capital investment.

At the conclusion of each seminar, Turner encouraged attendees to fill in their feedback form and give honest feedback that would assist him in improving his seminars. More importantly, he told attendees, “Please write ‘Do not contact me,’ if you do not wish any further contact.” This gave the attendees the opportunity to indicate if they would like a follow-up phone call.

“You then knew if people didn’t want to see you, so you didn’t waste time trying to get hold of them,” Turner said. “But, more importantly, you really knew the people who did, so you were really targeted after the seminar who to go and talk to.”

These seminars led to Turner’s current eclectic mix of clients, most of whom are looking to invest for future growth.

“They would like some money to enjoy in the future, for example, at retirement,” he said.

“They want to minimize any losses that may be incurred, but want to see their capital grow — something that we achieve for our clients on a regular basis. Other clients put money to one side for their children or grandchildren to help them with house or car purchases. Some clients never touch their investments and leave it to, hopefully, grow for future use.”

Many of Turner’s existing clients also turn to the firm for further advice on topics such as pen-sions, investments or how to protect these assets.

Investing For Tomorrow ideally looks for peo-ple with at least GBP 100,000 in assets to invest, but the majority of Turner’s business is from re-ferrals now, which come with variable net worth. Turner is also a member of Vouched For, a U.K. website similar to TripAdvisor. It is specifically for independent financial advisors offering fee-based financial advice, and has produced some clients for Turner’s firm.

Turner is also a specialist tax planner. He works closely with many companies and business owners to ensure all the correct tax-saving vehi-cles are in place to minimize the amount of tax levied on their businesses and personally.

Turner’s company has become a family affair, with his wife acting as the overall office man-ager. His 28-year-old son, Toby, is active in the company’s day-to-day administration, research and reporting. Toby has started to take his profes-sional exams. Turner hopes Toby will eventually start giving financial advice, which will help with Turner’s own retirement plans.

And, although Turner is beginning to create his own succession and retirement plans, he strongly believes planners at every stage of their careers should never stop learning. He advocates taking as many courses in one’s profession or specializa-tion as possible. The U.K. also has gone through massive changes in financial planner education requirements, which has meant continued learning for Turner. For example, he became a chartered financial planner at age 57.

“Somebody once told me that you’ve only got to know 5 percent more than your audience to be an expert,” Turner said. “That is probably true, but I believe to be fair to your clients, you’ve got to know far, far more than that.” RTTIL

LUST

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CONTACT:

Laurence [email protected]


AUDIO. VIDEO. MULTIMEDIA. BOOKS.

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PEOPLE

AUDIO. VIDEO. MULTIMEDIA. BOOKS.

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to help you develop new strategies and grow your business.

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Be educated. Be informed.Be powerful.

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Jiro Kato, CFP

Trusting relationships will lead you

to a better closing ratio.

Location: Tokyo, Japan

Membership status: 17-year member

MDRT Involvement: 2015 Client Strategies Committee Chair

Q&AHow do you describe your practice?I am a financial planner representing one life in-surance company. I choose and package products to meet the needs of my clients, mainly to pre-pare against financial risks by death and disease, as well as to prepare for retirement and estate planning in the best balance possible. What is your target market?My target market is business owners. Many of them manage small to mid-size companies. What is your best marketing tip?The best source of business is through referrals. I encourage my existing clients who believe in my services to refer business to me. Sharing a similar value proposition is important. People who care about their families and employees are more comfortable to do business with. That is the key to lasting relationships and good business. What do you find most fascinating about our profession?I have to ask my clients very personal questions, touching on lifelong goals, bucket list items, dreams and potential challenges. I have to be worth trusting so that prospects will share this important and private information with me. What did the Client Strategies Committee accomplish during the past year?It is a very important committee to enhance member benefits. Members are from various countries, and we learned that we work in very different environments, with different rules, taxation and social security programs, not to mention culture. In spite of all the differences, there were so many valuable ideas that were

transferable in different markets. These ideas will be shared with members through Round the Table, the MDRT website and other channels. How do you stay motivated month to month?Motivation comes from more than sales perfor-mance. It is more important for me to keep my family happy, have good relationships with my peers, enjoy my hobbies and contribute to the community. The Whole Person concept I learned from MDRT is an important part of my life. What is the main benefit of attending an MDRT meeting?The Annual Meeting recharges the energy to keep my motivation level high enough. It also helps me think where I want to go and plan for my future. But the best part is to reunite with my peers and friends, regardless of companies, countries and backgrounds. I just enjoy the camaraderie. What tips would you give to new advisors?Improve your listening and communication skills because they will help you build greater rela-tionships. Trusting relationships will lead you to a better closing ratio, and in that order. The sale does not come before building a relationship. What are your interests outside of business?I love golf. I also coach little league baseball. It is a joy watching kids (including mine) learn new skills and grow to be better humans. Where do you see yourself in 10 years?I will have to be prepared to retire. I will proba-bly delegate more of my “maintenance work” to younger advisors while I mentor them. RTT


COLD CALLS

THE NEW KIND

HUMAN CAPITALEveryone is priceless, both to themselves and their families. When we look at a person’s net worth, the most important asset on the balance sheet that’s often overlooked is their human capital. It is based on how much the family would have to raise to assume the same standard of living in the absence of the breadwinner. That is the financial value to their family. It represents their lifetime earnings ability.

Insuring this value is the primary purpose of life insur-ance. It does not insure life; it insures income. It’s what they are worth that should be replaced. When we talk about life, we talk about the value of their life to people who depend on them. Tell your prospect: “Transfer the risk of loss from your family, who cannot afford to take the impact, to a company who can.” —Cristine T. Tan, RFC, LUTCF, Quezon, Philippines, 3-year member

I like to ask people what kind of phone they have, a flip phone or a smartphone. Of course, they usually say a smartphone, to which I respond, “Oh, so you have the new kind! How about your life insurance, do you have the old kind or the new kind?” They usually ask what I mean, and I ask if they have the kind you have to die to use. Usually they are still un-sure. Then I explain that, with the new kind, in many cases, you are able to access the benefits while you are living. I follow up by asking, “Why don’t we get together to review?”—Brandon Green, CLTC, LUTCF, Houston, Texas, 6-year member

After four years in sales, I realized I had no one

left to sell to. I found out that no matter how much I tried, the number of people I could meet on

a daily basis was limited, and I also had to manage

my clients, analyze stock portfolios and work on contracts. I tried cold-calling new prospects, but I found it took time away from my other responsibilities, and the high rate of rejection negatively affected my confidence. So I came up with this idea. I hired a full-time secretary to cold call for me. For the past year, I have not cold-called a single person. My secretary gives me a list of prospects who have shown interest to her, and then I talk to them. The whole process is now an efficient system. My secretary also manages my schedule from Monday to Sunday. If I tell her to give me three appointments a day, she will work out the schedule. It has freed me up to follow my own schedule and meet existing clients. If you let your secretary make cold calls for you, you can save your time for other things and keep your confidence level high. —Joon Hong Park, Seoul, South Korea, 4-year member

We tell people they should keep a minimum of five years’ required income in cash or cash-like invest-ments. Then, if the market suffers a correction, such as we experienced in the recession, they will not have to sell assets at an inappropriate

time to fund living costs.—Matthew Charles Collins, Monta Vale, New South

Wales, Australia, 12-year member



MDRTExperience MDRT in Hong Kong 44 | Meet your leaders 47 | MDRT Foundation 51

inside

GLOBAL SUCCESS STORIES

The following countries have had a steady increase in Court of the Table

members in the past five years: Hong Kong, Philippines and Thailand. These

countries have had an increase in Top of the Table members: Canada,

Japan, Philippines and the United States.

STUDY GROUPS MATTER

MDRT members who participate in study groups have a higher

total cash income than nonparticipants — averaging

about $130,000 more.— MDRT 2014 Cost of Doing Business Survey

MACAU MOVES UP

Of all the countries represented in MDRT, Macau had the greatest

percentage increase in the number of members from 2010 to 2014 —

up 395% from 40 members in 2010 to 198 members in 2014.


“The 2016 MDRT Experience and Glob-al Conference in Hong Kong promis-es an incredible blend of motivation,

practice management and sales ideas, Whole Person concepts and some captivating imagery which will live long in the memory,” said Ales-sandro M. Forte, Dip PFS, 2016 Divisional Vice President of the Experience Meeting.

The meeting, open to both MDRT members and nonmembers, will take place January 28 to 30. The meeting content is developed by MDRT members from around the globe and features Main Platform presentations, where inspiring messages, best business practices and insight into MDRT are shared. In addition, during Focus Sessions and ConneXion Zone sessions, speakers provide more in-depth content created to meet the specific needs of attendees.

“We have speakers who have achieved extraordi-nary things, those who remind us to never lose sight of what an amazing job we do, and those who — through the sheer power of their message — com-pel attendees to take action,” said Forte, a 17-year

MDRT member from London, England. The conference will include expanded work-

shop sessions, said James M. McEvoy, CLU, AEP, 2015 Experience Meeting Divisional Vice President. “Programming is very much focused on delivering practical, takeaway ideas that attendees can go back and put into action right away. Topics covered, such as study groups and mentoring, will be valuable to first-time attendees.”

The meeting also provides exceptional net-working opportunities, said McEvoy, a 25-year MDRT member from Brussels, Belgium. “Besides meeting people from around the world, attendees will be able to surround themselves with the very best in our industry. The Experience gives a taste of what to expect, not just in terms of the Annual Meeting itself, but the many benefits of MDRT membership.”

McEvoy also notes that, as one of the most im-portant business hubs in the world, Hong Kong offers great food, shopping and spectacular views of the harbor.

“Hong Kong is a vibrant and exciting city that

Conference offers attendees motivation and education.BY LIZ DECARLO

Experiencing MDRT

“We have speakers who have achieved extraordinary things.”—Alessandro Forte

INSIDE MDRT

The Hong Kong convention center is hosting the MDRT Experience and Global Conference in 2016.


represents all that is great about culture, history, innovation and human fortitude,” Forte agreed. “It is a truly wonderful destination for such an important part of the MDRT experience.”

SPEAKERSJohn Cremer has more than 25 years of expertise in teach-ing the art of reading peo-ple. His clients apply these techniques to build better relationships, improve sales and marketing, and under-

stand team dynamics. His latest book, “The Art and Science of Reading People,” will be released in early 2016. Cremer’s presentation is “Make Every Moment Count.”

Bernie De Souza uses “15 Magic Words” to get quick agreement and cooperation from prospects. He spe-cializes in helping financial advisors get more clients, more often, and without even

selling. He shares selling skills that include get-ting appointments on the phone without rejec-tion, creating an automatic referral process and building trust in seconds.

As an art student, Phil Hansen’s intense style of pointillism led to a tremor in his hand and a diagnosis of nerve damage. Devastated, he dropped out and lost his way until a neurologist suggest-

ed he “embrace the shake.” That piece of advice tweaked Hansen’s point of view and sent him on a quest to invent different approaches to making art by embracing personal and universal limitations.

MDRT member James M. McEvoy, CLU, AEP, is the owner and managing director of Cross Border Planning. McEvoy specializes in helping Americans and green card holders who reside outside

the United States coordinate their investment, retirement and estate planning strategies in a

manner compliant with the regulations of the various countries in which they live.

Richard Parks is an ex-treme environment athlete who takes on expeditions and challenges that push the boundaries of human performance. Parks made history in July 2011 when

he became the first person to climb the highest mountain on each of the world’s seven conti-nents and stand on all three poles (the North Pole, the South Pole and the summit of Everest) within seven months. His presentation is based on his book “Beyond the Horizon,” which was published in 2014.

Alex Sheen is the founder of “because I said I would,” a social movement and non-profit dedicated to the bet-terment of humanity through the importance of a promise. Sparked by the loss of his

father, Sheen began sending “promise cards” to anyone anywhere in the world at no cost. In less than two years, “because I said I would” sent more than 250,000 promise cards to 82 different countries.

Dr. Ross Walker will address “The 5 Keys to Ultimate Health.” He is a cardiologist with a pas-sion for people and health. Walker is the author of seven bestselling books, including

“5 Stages of Health” and “Highway to Health.” He is also a regular presenter on television and radio across Australia.

With a 20-year career in financial services, Vicki Writer assists organizations and people with sales and business growth. An inter-national speaker, author and coach, Writer focuses on peak

performance and best sales practices. Her Main Platform presentation is “Tell Your Life Where to Go.” RTT

REGISTER NOW Find more informa-

tion and register for the meeting at mdrt.org.


2016

As a member you can display your commitment to

excellence with the MDRT logo. The Insignia Collection

offers one-of-a-kind branded merchandise to

commemorate your membership in style.

MDRT STORE

Insignia Collection



Meet your leaders

INSIDE MDRT

2016

On September 1, MDRT’s 2016 leadership took office. The Executive Committee, Management Council and committees all have new appointees who are ready to work hard on behalf of constituents.

PRESIDENTBrian D. Heckert, CLU, ChFC, of Nashville, Illinois, is a 27-year MDRT member with seven Court of the Table and eight Top of the Table honors. He is a Legion of Honor Excalibur Knight of the MDRT Foundation and a member of its Inner Circle Society. Heckert is the founder and managing member of Financial Solu-tions Midwest LLC, a financial planning firm focused on creative retirement plan design and income distri-

bution planning. His Round Table volunteerism includes speaking at the MDRT Annual Meeting and MDRT Experience meeting, as well as service on multiple MDRT committees and task forces. He served on the MDRT Foundation Board of Trustees for three years and was Divisional Vice President three times.

IMMEDIATE PAST PRESIDENTCaroline A. Banks, APFS, of London, England, is a 26-year MDRT member with 21 Top of the Table honors. She is managing director of Caroline Banks and Associates, one of the first firms in the United Kingdom to be recognized with the prestigious Chartered Financial Planning designation. Banks is active in the New Model Adviser movement in the United Kingdom, and her firm was awarded inclusion

in Citywire’s Top 100 Advisers in 2013, which recognizes outstanding achieve-ments in the financial advice community. Banks is an active volunteer for the MDRT Foundation, achieving Diamond Knight status, and was presented with the Quality of Life Award for her work in assisting the PSP Association in bat-tling progressive supranuclear palsy (PSP).

FIRST VICE PRESIDENT Mark J. Hanna, CLU, ChFC, of Concord, Cali-fornia, is a 27-year MDRT member with three Court of the Table and 16 Top of the Table honors. He is a Royal Order Excalibur Knight of the MDRT Foundation and a member of its Inner Circle Society. Hanna is CEO of Hanna Global Solutions, an employee benefits advi-sory and administration firm providing global human resource management solutions. His Round Table service is extensive, with service on multiple committees and task forces. He has served on many local, state and national boards of directors, including as president of both the Golden Gate and East Bay chapters of the Society of Financial Service Profession-als (FSP), president of the National Asso-ciation of Insurance and Financial Advisors (NAIFA)–San Francisco, and member of the national board of directors of FSP.

As a member you can display your commitment to

excellence with the MDRT logo. The Insignia Collection

offers one-of-a-kind branded merchandise to

commemorate your membership in style.

MDRT STORE

Insignia Collection



INSIDE MDRT

Advisory

Leadership and Volunteer Development ChairWayne D. Minich, CLU, ChFC

Annual Meeting Program Development

Divisional Vice PresidentSarah J. Kaelberer, CFP, ChFC

Main Platform and Special Sessions ChairIan Green

Focus Sessions ChairAaron Lee Hammer, LUTCF

ConneXion Zone ChairCaroline Kheng, ChFC

Annual Meeting Program General Arrangements

Divisional Vice PresidentTodd D. Hruby, LUTCF

Member Enhancement Committee ChairAnthony G. Engrassia, LUTCF, ChFC

Member Logistics Committee ChairDavid Pritchard, Dip PFS

Member Services Committee ChairRino V. Cipparrone, CFP, CLU

Business Development

Divisional Vice PresidentRoy Hall

Protection Committee ChairWilliam Marvin Richardson, CLU, CFP

Retirement Planning Committee ChairJay M. DeFinis, CLTC

Financial Planning Committee ChairSimon D. Lister, Dip PFS

SECOND VICE PRESIDENTJames Douglas Pittman, CLU, CFP, of Portland, Oregon, is a 41-year MDRT member with 15 Court of the Table and four Top of the Table qualifications. He is also

a Diamond Knight of the MDRT Foundation and has served on its Board of Trustees. Pittman is founder and president of Insurance Consulting Ser-vices Inc., an affiliate firm of M Benefit Solutions. In 2009, he was honored with the prestigious Bud Horn award from the Oregon Association of Insur-ance and Financial Planners. He is the past pres-ident of the Estate Planning Council of Portland and the Portland Chapter of CLU and ChFC. His MDRT experience includes serving four times as Divisional Vice President and nine times as Chair.

SECRETARYRoss Vanderwolf, CFP, of Fortitude Valley, Queensland, Australia, is a 28-year MDRT member with nine Court of the Table and five Top of the Table qualifications. He is also a Diamond Knight

of the MDRT Foundation. Vanderwolf, a 33-year industry veteran, is managing director of Rothgard Financial Partners, a full-service financial planning practice. He is a three-time nominee for Australia’s Association of Financial Advisers’ Adviser of the Year. In addition, he was awarded AXA Financial Advice Network’s State Adviser of the Year in 2002 and 2007, and National Adviser of the Year in 2007.

Divisional Vice Presidents and ChairsFourteen Divisional Vice Presidents join the Executive Committee

on Management Council, an advisory body that reviews com-mittee actions and recommendations. Divisional Vice Presidents

are responsible for monitoring multiple committees in their respective divisions. The Chairs lead their committees and task forces in the com-pletion of assignments that aid the organization in meeting its goals.


Client Relations

Divisional Vice PresidentArlyn Tiong Tan, MBA

Protection Committee ChairGlory Xavier

Retirement Planning Committee ChairCristine T. Tan, RFC, LUTCF

Mentoring Resources Committee ChairChan Hyun Baek

Experience Meeting

Divisional Vice PresidentAlessandro M. Forte, Dip PFS

Program Development Committee ChairAlessandro M. Forte, Dip PFS

Host Country Committee ChairStanley Tse Lap Yee

PGA Committee ChairWong So Ping, FChFP, MBA

Finance

Divisional Vice PresidentClifford P. Ryan, CLU, ChFC

Guided Development

Divisional Vice PresidentJohn L. Thomas, CLU, MSFS

Member to Member Mentoring Task Force ChairJohn R. Benton Jr., CLTC

Coaching Task Force ChairBrad J. Myers

Study Group Task ForceThomas F. Levasseur, CLU, CLTC

Leadership Task ForceAndrew C. Lord, CLU, ChFC

Membership

Divisional Vice PresidentMichael P. Austin, CFP, ChFC

Membership Commit-tee ChairJ. Forrester DeBuys, CLU, AEP

Bylaws and Ethics Committee ChairMichael S. Ross

Practice Management

Divisional Vice PresidentNiti Sharma, LUTCF

Client Experience Committee ChairKenichi Ibuki

Business Practices Committee ChairMathew Thomas Fogarty, CFP, Dip FP

Technology Commit-tee ChairChee Hong Gan, ChFC, ClU

Productivity

Divisional Vice PresidentPeter Hill, ChFC

Mentoring Resources Committee ChairTravis D. Manning, CFP, CLU

Technology Committee ChairTimothy Daniel Clairmont, CFP, MSFS

Resource Zone Committee ChairDaniel Turnwald, FIC, FICF

Special Projects

Divisional Vice PresidentHamilton P.B. Poynor, CLU, AEP

Top of the Table

Divisional Vice PresidentWilliam J. Rossi, CFP, ChFC

Immediate Past DVPDale W. Martin, CLU, ChFC

Top of the Table Program Committee ChairDaniel O’Connell, MBA

Top of the Table Industry Relations Committee ChairKerry T. Wallingford, CLU, ChFC

Top of the Table Member Content Committee ChairScott D. Edelman


2016 MCC Chairs announced

Division 1REGIONAL ARichenda L. Crawford, BA, CFP Vancouver, British Columbia, [email protected]

Zone 1: Canada Aurora L. Tancock, FLMI, CFP St. Catharines, Ontario, [email protected]

Zone 8: USARyan J. Pinney Roseville, Californiarpinney@ pinneyinsurance.com

Zone 13: OceaniaRoss Gordon Hultgren Geelong West, Victoria, [email protected]

REGION BRegion ChairSaad Anthony Baksh, BSc Marabella, Trinidad and [email protected]

Zone 9: Caribbean Meila Annalee McKitty, LUTCF, FSS Kingston, Jamaicameila_mckitty@ sagicor.com

Zone 11: Latin America Herman Colin Estado de Mexico, [email protected]

REGION CAsvin Chauhan, Dip FA, MIFS Coventry, [email protected]

Zone 10: EuropeAdrian P. Baker, Dip PFS Bristol, [email protected]

Zone 12: Middle East and Africa Cherian Panavila John, MBA, FAIQ(CII) Abu Dhabi, United Arab [email protected]

Division 2REGION DKyo Wook Son, CFP Seoul, [email protected]

Zone 5: Japan Tamami OkuyamaTokyo, Japantamami.okuyama@ gib-life.co.jp

Zone 6: Korea Sung Man Park Seoul, [email protected]

REGION EPei-hua Tsai Taipei City, Taiwanpeggy590504@ yahoo.com.tw

Zone 2: China Wu Zheng Yu Beijing, [email protected]

Zone 3: Hong Kong and Macau Leung Mo Ling AnnieCauseway Bay, Hong Kongannie-ml.leung@ aia.com.hk

Zone 7: Taiwan Chia Fang HsiehTaipei, [email protected]

REGION FRovelita M. Chuaunsu Manila, [email protected]

Zone 4: South Asia Ravikumar Krishna-moorthy Kodumudi Mumbai, Indiamutualfundaes@ gmail.com

Zone 14: Southeast Asia Lucia Dewani Soeradji Jakarta, [email protected]

INSIDE MDRT

The Member Communication Committee (MCC) is a network of MDRT members who are appointed to serve as regional

contacts for current and prospective members worldwide. Mohamad Manmohan Abdullah, ChFC, CLU, a 20-year MDRT member from Kuala Lumpur, Malaysia, leads Division 1, while Withoon Lertpanomwan, an 11-year MDRT member from Bangkok, Thailand, heads Division 2.


Early in his career,

James V. Durkin, CFP, CLU, realized one of the most important traits you need for business success is a good atti-

tude. “Like many members, I struggled to be successful during my first year in the business,” said Durkin, a 29-year MDRT member from Vienna, Virginia. “When I began to change my attitude, that’s when success came.” Durkin will employ this same positive attitude in his role as 2016 President of the MDRT Foundation to bring a clear vision for growth, impact and organizational success.

Born and raised in Alexandria, Virginia, Durkin attributes some of his most important values to his parents. “My father was extremely patient, and my mother was loyal — traits I try to live by in my own life.”

Durkin met his wife, Margot, in high school. They have two children, Tim, 39, and Meredith, 34.

Durkin attended Marquette University in Wis-consin to study engineering, but quickly realized it was not his calling. After serving in the U.S. Army during the Vietnam War, Durkin enrolled in George Washington University, where he obtained his Bachelors of Arts in American liter-ature in 1973.

Durkin went to work for Lincoln Financial, and this year will celebrate 41 years with the company.

In 1984, Durkin attended his first MDRT Annual Meeting in New York City. “MDRT gave me pride in this business and made me aware of what we can do for people,” he said. It was also during this Annual Meeting that Durkin received his first ribbon after making a donation to the MDRT Foundation. “I feel a very strong obligation to give back. We deal with intangibles in our business, meaning that sometimes it is hard to see the immediate outcome of what we do,” he said. “This business gives us a great op-portunity to do well, and the MDRT Foundation is a great way to share what you have been given to support people in greater need.”

Durkin has been a loyal supporter of the MDRT Foundation, serving on numerous com-mittees and participating in volunteer service project teams that built homes and playgrounds for underserved communities. He has also endorsed grants through the Foundation for charities in his own community, and is a Legion of Honor Foundation Excalibur Knight. He has also directed life insurance benefits to the MDRT Foundation and other charities, includ-ing the Global Gift Fund, which allows him to share a legacy of giving with his children.

Durkin said, as President, he is committed to expanding awareness of the mission of the Foundation to MDRT members around the globe. “I am humbled and honored to serve the MDRT Foundation. To quote Ralph Waldo Emerson, ‘To leave the world a bit better … that is to have succeeded.’ This is my goal as Founda-tion President.” RT

Fiona Odumosu-Watkins is the MDRT Foundation’s communications and recognition supervisor. Contact her at [email protected].

INSIDE MDRT | MDRT FOUNDATION

BY FIONA ODUMOSU-WATKINS

Durkin elected MDRT Foundation President

MOVING FORWARDLearn more about

the MDRT Foundation’s organizational priorities at mdrtfoundation.org.


GRANT UPDATE

Free The Children

Alex Sheen

INSIDE MDRT | MDRT FOUNDATION

Grants have gone a long way for this charity. BY FIONA ODUMOSU-WATKINS

At the 2013 MDRT Annual Meeting in Phila-delphia, Pennsylvania, the MDRT Foundation partnered with Free The Children, a charita-

ble organization that empowers youth to support economic development programs in their communi-ties and developing countries worldwide.

As a result of generous donations from MDRT members, the Foundation awarded a $100,000 grant to support Free The Children’s Adopt a Village program, a community-based initiative that sup-ports children and adults in developing countries

through sustainable education, alternative income, and clean water and sanitation programs.

“The impact you created will last for years to come and will continue to support communities in breaking the cycle of poverty and ensuring children can access education,” said Scott Baker, Free The Children executive director.

The Foundation grant has had a significant impact for children and adults in China, India and Haiti by helping to solve the following community challenges.


To find out more, go to: mdrtfoundation.org

Education in ChinaGuang Ming is a rural community in China that faces poverty and a lack of educational opportunities for children. Located in the mountainous region of Sichuan, Guang Ming’s nearest school was a more-than-two-hour walk away, and many young children had dropped out of school to do farming work.

Solution: To invest in the educational future of this community, the MDRT Foundation grant helped fund the cost of building a school with classrooms, teacher offices, toilets, a dining hall and a kitchen. Today, distance and treach-erous travel are no longer obstacles for students who attend this local school.

Alternative income and livelihood in IndiaHarsh environmental conditions were causing low agricultural yields in Kamoda, India, and subsistence farmers struggled to grow enough food to provide for their families. Due to high costs, farmers only had one or two animals, which were not enough to contribute a significant profit to the household earnings.

Solution: The MDRT Foundation grant funded the alternative income program, which provided additional high breeds of goats to farmers to increase their pool of animals and opportunity for profit. In addition to livestock, women were provided with ongo-ing farming skills and training to increase their income through a sustainable source.

Clean water in HaitiLack of access to clean water and sanitation at school was one of the reasons only 12 students were attending school in Marialapa, Haiti, when Free The Children first began working in this rural and under-developed community. In addition, lack of water access forced many children to spend their days walking for miles to collect water for their families, instead of attending school.

Solution: The MDRT Foundation grant funded the construction of a community rain catchment system to provide clean water for the school and entire community. This sustainable source of water has increased school attendance to 300 students, and allows community members to fo-cus on education, business and family time instead of collecting water. RTT

Fiona Odumosu-Watkins is the MDRT Foundation’s communications and recognition supervisor. Contact her at [email protected].



As MDRT’s official publication, Round the Table is published to share ideas among its members. We’d like to thank those who contributed their ideas in writing for the benefit of their fellow

members during the 2015 organizational year.

Thank you for sharing

CONTRIBUTORSJohn D. Aakre, CLU, CLTC, Olympia, Washington

Glenda Miro Antonio, Cebu City, Philippines

Guy E. Baker, MSFS, CLU, Irvine, California

Michelle L. Bender, CFP, Gaithersburg, Maryland

Adam Steven Blumberg, CFP, CLU, Houston, Texas

David Braithwaite, Dip PFS, Tonbridge, England

Richard John Campbell, CFP, Morphett Vale, South Australia, Australia

David M. Ethell, LUTCF, Camarillo, Texas

John L. Gilfoil, CLU, CFP, Springfield, Massachusetts

Peter Hill, ChFC, Des Moines, Iowa

Ken Ibuki, Nagoya, Japan

Robert B. Joki, CLU, ChFC, Mountlake Terrace, Washington

Bryna A. Kanarek, RICP, ChFC, Chicago, Illinois

Deddy Karyanto, CFP, QWP, Bandung, Indonesia

Alan Craig Kifer, CFP, LUTCF, Scottsdale, Arizona

Thomas F. Levasseur, CLU, CLTC, Dover, New Hampshire

Angus Donald McQueen, Dip CII, Dip PFS, Melbourne, Victoria, Australia

Susan Meity, CFP, AEPP, Jakarta Barat, Indonesia

Mike Morrow, CFP, Thunder Bay, Ontario, Canada

Lucas J. Noble, CFP, ChFC, Danvers, Massachusetts

Scott S. Paterick, CLU, ChFC, Wisconsin Rapids, Wisconsin

William Marvin Richardson III, CLU, CFP, San Francisco, California

Anthony Joseph Truino, Stamford, Connecticut

Michael Yen Pon Wan, FChFP, Causeway Bay, Hong Kong

Submit your suggestions and contributions to [email protected].


TRUE TALES

CONTACT:

Theodore Rusinoff [email protected]

When Theodore S. Rusinoff, CFP, was asked by an estate attorney to look at the life insurance policies of

a young father and successful business owner, he started by asking three questions.

1. What do you own?2. Why do you own it?3. When was the last time you took a look at it?Once he had these answers, Rusinoff began to

dig deeper to understand the policies and their designated beneficiaries. His findings surprised the policyholder, a man in his 40s who intended for his policies to take care of his wife and two elementary school-aged children.

Of the three policies held in an irrevocable trust, one had the client’s business as a benefi-ciary instead of his family. A second was a term policy set to expire in a few years. Additionally, the policies were expensive compared to current possibilities.

“The client was upset by how the beneficiary information did not match the way he was intend-ing the policies to pay at his death,” said Rusinoff, an eight-year MDRT member from Hudson, Ohio. “And he was upset to know he was paying signifi-cantly more than necessary for some coverage, and

that other benefits would soon be expiring.”Rusinoff helped the client convert the three

policies into a single policy with the same death benefits, and with his wife and children as the beneficiaries. As Rusinoff made the changes, the client’s business was booming. When he wasn’t working, he enjoyed spending time at his vacation property with his family.

However, in the next 24 months, the client’s business underwent a hostile takeover from an in-vestor. Forced to take an early exit without any sev-erance or buyout, the client subsequently focused his efforts on a new company, which soon landed a very large contract. However, his partner embez-zled the payment and fled the country, leaving the company unable to survive.

During these challenging times, Rusinoff worked closely with the client’s accountant to en-sure the policy payments were made and coverage continued.

About three years later, the client was cleaning fallen trees and debris on his vacation property when his chainsaw kicked back and knocked him over, cutting his neck and killing him within seconds.

Soon after, Rusinoff delivered a death benefit check to the client’s grieving widow.

“The businesses that were supposed to be there in the big picture faded away by the time he died,” Rusinoff said. “Because of the insur-ance, other than dealing with the loss of a hus-band and father, the family was able to continue life as they knew it.”

That wouldn’t have been the case if the client’s life insurance policies hadn’t been revised.

“The moral of the story is, if you’re not asking the questions and taking the time to ask people what they have, you’re missing opportunities to help people,” Rusinoff said. RTT

Review leads to revampBusiness owner dismayed at insurance missteps.BY LIZ DECARLO


lookingBACK

Fast track

MDRT leaders in 1987 recognized the need to begin developing the next generation of financial advisors and created the “Fast Track to Productivity Institute,” with 1987 President Wilmer S. Poynor III, CLU, ChFC, of Birmingham, Alabama.

The program’s aim was to create sessions that would introduce promising young producers to the proven work habits of successful advisors. Students were selected and sponsored by MDRT members who recognized their need to have well-trained professionals join their operation.

The intensive, week-long training program was held on the Bryn Mawr, Pennsylvania, campus of The American College. Students praised the MDRT member instructors, including the late Thomas J. Wolff, CLU, ChFC, of Manchester, Connecticut, and the late O. Alfred Granum, CLU, of Oak Brook, Illinois.

The program was considered a success by the Chair of the Professional Development Committee, Leonard A. Goodman Jr., CLU, of El Paso, Texas. “All the students were positive, enthusiastic and motivated,” he said in 1988. “Also, it was wonderful to see the commitment of MDRT members. They shared their time and knowledge with students during the program.”

Today, MDRT’s Mentoring Program continues the tradition of pairing established MDRT members with aspiring members. The senior advisors provide counseling, guidance and encouragement to help the newer advisor achieve MDRT membership. Learn more at mdrt.org in the Membership section. RTT

Contributed by Jennifer Witkov, MDRT’s knowledge coordinator.

The 1989 class of the Fast Track to Productivity Institute. C. Scott Rassler, CLU, ChFC, now a 26-year MDRT member from Weston, Florida, began the program in 1989 and was thrilled to meet the legends, such as Wolff and Granum, who ran the program. “To get a chance to meet these people, who embodied all the right reasons for being in the business, further opened my eyes to the potential of what you can do in your career,” he said. “Years later, these early lessons live on and continue to inspire me.”

ADELIA C. CHUNG, CLU, ChFC Chung was the first female MDRT President, serving in 2005. She currently has 33 membership years, with eight Court of the Table and11Top of the Table qualifications. She is a past member of the Top of the Table Advisory Board, current Excalibur Knight of the MDRT Foundation and past MDRT Foundation President.

Register today, JOIN US IN HONG KONG! mdrt.org/2016experience

2016 MDRT EXPERIENCE AND GLOBAL CONFERENCE

The MDRT Experience and Global Conference offers one-of-a-kind information, the opportunity to share ideas with people from around the world and the chance to learn new strategies for even greater success. Enjoy the unique energy and excitement of MDRT!

FEATURED SPEAKERS

PROGRAMME AT A GLANCE

THURSDAY, 28 January 2016

0900 – 1730 hrs Registration open

1300 – 1600 hrs Main Platform

1630 – 1730 hrs MDRT Members-Only Special Programming

1730 – 1830 hrs MDRT Members’ Reception

FRIDAY, 29 January 2016



1400 – 1530 hrs Workshops and ConneXion Zone

1600 – 1730 hrs Workshops and ConneXion Zone

SATURDAY, 30 January 2016



ALEX SHEEN

Sheen is the founder of “Because I said I would,” a social movement and nonprofit dedicated to the betterment of humanity through the importance of a promise.

PHIL HANSEN

Hansen is an internationally recognized multimedia artist who works at the intersection of traditional visual art, pointillism and offbeat techniques.

REGISTRATION FEES AND DEADLINES

USD 475

29 June – 31 October 2015

USD 630

1 November 2015 – 27 January 2016

USD 730

28 January – 30 January 2016

Number of Registrations Purchased

Complimentary Registrations

100–199 5

200–299 10

300–399 15

400–499 20

500 or more 25

COMPANY REGISTRATION INCENTIVEAdditional benefits are available to companies that purchase registrations in groups as follows:

Schedule is subject to change. Visit mdrt.org/ 2016Experience for the most current information.


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