November 13, 2008
I am a member of the Financial Planning Association, the American Institute of CPAs, several other financial services groups and a 25-year veteran of the financial services industry, and I support the proposed rule to enhance state enforcement efforts regarding equity indexed annuity sales.
I have had to deal with countless sad stories of clients who had previously been sold these products, and usually never hear from the agent again. They NEVER seem to have the vaguest idea how the product works and of the surrender charges and caps that force them to languish in sometimes lousy (but high commission-paying) products for many years, while other products offer so much more potential, flexibility and lower costs.
Non-securities registered insurance agents who sell these products do a disservice to the public by limiting the choices available to them, and harm the financial planning movement and profession.
Please approve the rule!
David G. Spence, CPA, CFP
Palladium Wealth Management
Branch Manager, LPL Financial