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Reply to Series 6, 7 and 63 License . . .     
Old 01-01-2017, 10:23 PM   #21
DHK
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DHK on Series 6, 7 and 63 License . . .
 
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Series 6, 7 and 63 License . . . Re: Series 6, 7 and 63 License . . .
GDC payout depends on your firm. My old Credit Union firm has a monthly GDC tier structure. The more you did, the higher the % payout. We capped out at 45% if we did $44k (we had an assistant, otherwise it was just $40k).

$44k x 45% = $19,800

The ranges were (without an assistant):
$0 - $15k: 15%
$15k - $25k: 25%
$25k - $40k: 35%
$40k+ : 45%

My firm has a monthly structure, but many others have a cumulating annual structure based on annual production.

Here's what you didn't know: The firm would put any FIXED insurance business "through the grid" AND we had "wholesaler relationships" to "feed". So I never sold a fixed or indexed annuity, nor did I know anything about life insurance until I LEFT the firm... because our wholesalers represented mutual funds, variable annuities, and fee-based AUM services.

Then they also control who you can contract with and your marketing materials & efforts. Lots of restrictions. But at a credit union, they had the members to sell to, so you have to weigh it out.

Anyway, there's lots on the forum regarding securities licensing. I will say this: having BEEN securities licensed... I understand many more things about financial planning than I would have if I never had them.

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Originally Posted by goillini52 View Post
I thought you had your PM machine turned off. Did it automatically restart at midnight?
I turned it on for a few people and never turned it back off. Oh well.
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  Reply With Quote to Series 6, 7 and 63 License . . .

Old 01-01-2017, 10:26 PM   #22
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myinsurebiz on Series 6, 7 and 63 License . . .
 
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Series 6, 7 and 63 License . . . Re: Series 6, 7 and 63 License . . . myinsurebiz is the thread starter for: Series 6, 7 and 63 License . . .

Gross Dealer Concession or GDC is the revenue to a brokerage firm when commissioned securities and insurance salespeople sell a product, whether it is an investment like stocks, bonds, or mutual funds, or insurance like life insurance or long term care insurance. The commission that the agent receives is usually a percentage of this figure, although some firms like Merrill Lynch use figures called Production Credits, usually smaller than GDC, to determine payouts and retain more revenue.

For example, a mutual fund with a 5.75% sales charge is sold to someone who invests $10,000. $575 GDC is created by the sale, and the investor has an initial account balance of $9425. If the sales agent receives 32% of the GDC, he makes $184. If the payout is based on Production Credits or PCs, it would perhaps be about 5.5% of the total sale, or 32% of 550: $176.



https://en.wikipedia.org/wiki/Gross_dealer_concession

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  Reply With Quote to Series 6, 7 and 63 License . . .
Old 01-01-2017, 10:38 PM   #23
DHK
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DHK on Series 6, 7 and 63 License . . .
 
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Series 6, 7 and 63 License . . . Re: Series 6, 7 and 63 License . . .
All I'll say, is that you have FAR more research to do before you start down this path.

Here is my contribution to your securities education:
You Tube

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  Reply With Quote to Series 6, 7 and 63 License . . .
Old 01-01-2017, 10:51 PM   #24
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myinsurebiz on Series 6, 7 and 63 License . . .
 
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Oh without a doubt - I'm not even close to understanding.

I'm going to start the pre-licensing courses in a few weeks. That may enlighten me quite a bit . . .

Thanks for the advice . . .


Originally Posted by DHK View Post
All I'll say, is that you have FAR more research to do before you start down this path.

Here is my contribution to your securities education:
www.youtube.com/watch?v=e6I6ZYt9FpU
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Decide to watch the movie The Big Short. At the beginning they quote Mark Twain - but, sounds like Amtrak . . .

" It ain't what you don't know that gets you in trouble,

It's what you know for sure that just ain't so . . . . "

Oh - so much to learn.
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  Reply With Quote to Series 6, 7 and 63 License . . .
Old 01-01-2017, 11:09 PM   #25
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Series 6, 7 and 63 License . . .
Originally Posted by myinsurebiz View Post
Gross Dealer Concession or GDC is the revenue to a brokerage firm when commissioned securities and insurance salespeople sell a product, whether it is an investment like stocks, bonds, or mutual funds, or insurance like life insurance or long term care insurance. The commission that the agent receives is usually a percentage of this figure, although some firms like Merrill Lynch use figures called Production Credits, usually smaller than GDC, to determine payouts and retain more revenue.

For example, a mutual fund with a 5.75% sales charge is sold to someone who invests $10,000. $575 GDC is created by the sale, and the investor has an initial account balance of $9425. If the sales agent receives 32% of the GDC, he makes $184. If the payout is based on Production Credits or PCs, it would perhaps be about 5.5% of the total sale, or 32% of 550: $176.

https://en.wikipedia.org/wiki/Gross_dealer_concession
Maybe I'm a little slow tonight...why are you posting this?

We all know what GDC is and how it is calculated.

Are you asking a question?
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  Reply With Quote to Series 6, 7 and 63 License . . .
Old 01-01-2017, 11:20 PM   #26
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myinsurebiz on Series 6, 7 and 63 License . . .
 
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Originally Posted by Tahoe Ray View Post
Maybe I'm a little slow tonight...why are you posting this?

We all know what GDC is and how it is calculated.

Are you asking a question?

Yes - I want to make that 30% to 40% commission on the GDC that I may create. Doable?

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  Reply With Quote to Series 6, 7 and 63 License . . .
Old 01-01-2017, 11:27 PM   #27
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Series 6, 7 and 63 License . . .
Originally Posted by myinsurebiz View Post

Yes - I want to make that 30% to 40% commission on the GDC that I may create. Doable?
Independents make more like 70-90% on GDC...the 30-40 stuff is for the wires and banks.
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  Reply With Quote to Series 6, 7 and 63 License . . .
Old 01-01-2017, 11:35 PM   #28
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myinsurebiz on Series 6, 7 and 63 License . . .
 
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Series 6, 7 and 63 License . . . Re: Series 6, 7 and 63 License . . . myinsurebiz is the thread starter for: Series 6, 7 and 63 License . . .

Originally Posted by Tahoe Ray View Post
Independents make more like 70-90% on GDC...
Awesome! How?
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  Reply With Quote to Series 6, 7 and 63 License . . .
Old 01-01-2017, 11:37 PM   #29
DHK
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DHK on Series 6, 7 and 63 License . . .
 
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Series 6, 7 and 63 License . . . Re: Series 6, 7 and 63 License . . .
With experience and discipline so that independent broker/dealers will want to take on the RISK of having you represent their firm.
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  Reply With Quote to Series 6, 7 and 63 License . . .
Old 01-02-2017, 08:34 AM   #30
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GreenSky on Series 6, 7 and 63 License . . .
 
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Series 6, 7 and 63 License . . . Re: Series 6, 7 and 63 License . . .
Originally Posted by Tahoe Ray View Post
Independents make more like 70-90% on GDC...the 30-40 stuff is for the wires and banks.
Why are you helping this loon?

Rick
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  Reply With Quote to Series 6, 7 and 63 License . . .
Reply to Series 6, 7 and 63 License . . . 

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