For use by IAI Representatives only the affiliate investment advisory firm of
Who We Are Mission Helping families grow and protect their wealth through active money management. Established IAI is an AEGON company. AEGON N.V. is one of the world’s leading life insurance and pension groups, and a provider of investment products. A team of independent associates dedicated to helping families achieve financial independence.
Wealthy people age 70 or older - those who have a net worth of at least one million dollars – averaged 10.8% annual growth including any withdrawals taken out and the bear market we had from 2000 - 2002.
People the same age with less than one million dollars in net worth only accomplished annual growth of 3.7%.
Source: Boston College Center on Wealth & Philanthropy
From 1998 through 2004 . . . If that pace continues, at 10.8% $100,000 would double every 6.7 years , while at 3.7% it would take 19.5 years for the first double. $214,463 or $861,658? The Rule of 72 10.8% 3.7% All figures are for illustrative purposes only and do nor reflect an actual investment in any product. They do not reflect the performance risks, expenses or charges associated with any actual investment. Past performance is not an indication of future performance. The Rule of 72 is a mathematical concept that approximates the number of years it would take to double the principle at a constant rate of return. The performance of investments fluctuate over time, and as a result, the actual time it will take an investment to double in value cannot be predicted with any certainty. Additionally, there are no guarantees that any investment or savings program can outpace inflation. Please note that high risk has been historically associated with higher rates than return.
Firms that require a minimum account size have increased their average minimum to almost $500,000. 5
85.5% of U.S. Households have a net worth of less than $500,000. 4
U.S. Household Wealth 4 The need for what we do has never been greater: 4. “St. Louis Metropolitan Area [and National Wealth Transfer] Estimates: 2001-2055,” John J. Havens and Paul G. Schervish, Center on Wealth and Philanthropy at Boston College, Nov. 2004. All dollar values are in 2003 dollars. 5. 2007 Rydex Advisory Benchmarking Research Study. Net Worth Number Percentage Negative or Zero 11,058,460 10.4% $1 to $199,999 60,884,675 57.2% $200,000 to $499,999 19,082,351 17.9% $500,000 to $999,999 8,777,203 8.2% $1,000,000 to $4,999,999 5,632,907 5.3% $5,000,000 to $9,999,999 682,707 0.60% $10,000,000,to $19,000,000 259,649 0.20% $20,000,000 or more 108,538 0.10%
A Need for What We Do 6 6. Investment News, “Advisor head count fell in 2007, Cerulli study finds.” May 12, 2008. 7. Investment News, “Industry must address adviser shortage.” May 19, 2008. 8. Investment News, “The adviser shortage solution.” May 28, 2008. 7 8
All compensation projections based the following assumptions:
Three new accounts per month
$100,000 average account size
8% rate of return
WFG bonus pool dollars and overrides included
72% Marketing Director and Branch manager contract effective 1/1/07
Team cash flow is increased from 10% to 15% override once 600,000 total points (150,000 in one-time quarterly distributions) is reached.
IARs obtain Branch Manager designation at the beginning of the second year.
Many people have experienced different levels of success with World Financial Group and Investment Advisors International. However, individual member experiences may vary. This statement is not intended to, nor does it represent that any current member’s individual results are representative of what all participants achieve.
Build An Asset . . . To Pay For A Liability Personal Assets $150,542 $818,128 $321,556
Leadership Compensation The value of a business is determined by what it will produce without you! $307,356 $1,670,345 $656,511 Many people have experienced different levels of success with World Financial Group and Investment Advisors International. However, individual member experiences may vary. This statement is not intended to, nor does it represent that any current member’s individual results are representative of what all participants achieve.