October 27, 2010
If they take the fees away from the advisors/reps servicing the clients, they will not financially be able to service them and make a living. Being a younger rep in the industry, we rely on this to help pay our business expenses servicing them. Take a look at the average age of the industry professional. If it is a goal to have people continue the solid work the industry has provided to Middle America, cutting 12b-1 fees to the reps will thin out the people the industry professionals. In time, there will no such thing as an educated investor via advisors and reps, or lack there of. Especially when the baby boomers are starting to retire. Do they have enough to retire or access to the products and services enabling them to have enough income to live?