2023 was a banner year for The Leaders Group. From continued growth in the business, to new technology rollouts to becoming a part of Simplicity Group, the year kept us very busy.
2023 saw growth in total business, with the wholesale side down slightly and the retail side up noticeably. The amount of total commissions and fees processed averaged higher than previous years, even without significantly growing the number of people affiliated with the firm. On top of this, average retail production per rep continues to increase, with the qualification level for the President’s Club (our top 35 reps) being higher than the top 20 had been just a few years go. The wholesale side of the business was down slightly in the VUL space (about 2%), with RILA sales falling further after several strong years of growth.
We reaffirmed our commitment to the security of you and your clients’ information in 2023 with the role out of Venn’s Advisor Workspace application. A cornerstone of our technology team’s focus this year has been enhancing our cybersecurity protocols, and all reps with access into our LEADERSlink system, are now required to have Venn’s systems installed on their devices. This, among other tweaks on the backend have ensured that your data stayed protected in 2023 and will remain protected going forward.
On August 1st, we officially became part of the Simplicity group. While this move surprised many, and understandably caused concern among some, after 5 months, you may have noticed that business has continued as usual. In all of our interactions with the Simplicity team, it has been made clear from all sides that there are no plans to change the culture and operations of The Leaders Group and TLG Adviors.
I would be remiss not to mention a noticeable loss this year with the passing of Sonny Horn. Sonny was a part of the fabric in what has made TLG special and was considered by many to be a dear friend. We are saddened with his loss and our best wishes continue to go out to his family. I am also excited to see the success that his daughter Emma has continued to have and look forward to welcoming her to Director’s Council.
For 2024, our key priorities will be efficiency, security and service. Putting our reps and your clients first has always been a hallmark of TLG, and we will continue to make this a focus. As firms grow, you sometimes see a drop in service levels in the name of creating efficiencies. While we continue to work to make our processes more efficient, every change is countered with an in-depth discussion on what flexibility it allows us in working with our reps. As the year progresses, we will be having further discussions on how we can best work together with the other Simplicity member firms in a way that not only helps our service levels, efficiency and security, but doing it in a way that does not violate the various conflicts of interest that are inherent in the wholesale side of the TLG business model.
I am excited to see what 2024 will bring, and I thank you for being part of the Leaders Group family.
