For those of you allowed to conduct retail securities business by your employer, The Leaders Group previously charged a $200 transaction fee for any personal production business submitted to us. This fee covered the cost for processing business submission, as an alternative to charging the full retail affiliation fees.
Effective immediately, we will no longer charge a per-case transaction fee and will replace it with a new fee model. Any wholesale rep, with retail client accounts, will be charged an annual fee of $300, in addition to the regular wholesale fees.
This fee will be charged when you submit your first retail case and subsequently each year during our normal fee and registration renewal cycle, as long as you maintain retail clients.
For wholesale representative with more than 10 retail clients, you may be switched from a wholesale affiliation cost structure to a retail affiliation cost structure, with exceptions listed below. No need to worry, if you are in danger of this happening, we will call you to discuss prior to any fee changes being made.
*Product line exceptions:
- Variable Universal Life (VUL)
- Private Placement VUL (PPVUL)
- Starlight Portfolios Asset Management (Fee-Based)
*This is not an exception for the $300 annual fee. Rather, these product types will be excluded from being counted as additional clients when determining if an affiliation change to retail from wholesale is required.
Our goal in this fee alternative was to create a fair arrangement to accommodate personal production while also covering the costs we incur for processing retail business. Please contact Charles Arnold for further information or to answer any questions.
FOR BROKER USE AND INTERNAL USE ONLY
Contact Charles Arnold for more information:
Sales & Business Development Team Manager
Ext. 123
charles@leadersgroup.net