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   James E. Veale, CPA (Inactive), MBT

   August 2, 2024 at 7:09 pm

   Besides the principle of pruning, Shannon brings up a very important and interesting point. What can we bring to a financial professional that they value or need? Some claim it is the service that they provide in originating. Really, I know of few financial advisers that are impressed by service alone. That is the minimum that a financial adviser expects from an originator.

   A friend in the industry, whose financial services referral base had once been strong and thieving but now dry, tested sending gifts to financial advisers in a very upscale area near where he lives. It failed miserably so he wisely stopped doing that. While consumers may enjoy such gifts, established and highly regarded financial professionals are unwillingly to do what appears to be selling their independence and integrity for trinkets or even meaningful gifts.

   Recently Shannon introduced us to a group which claims that for so much per month, they will have us talking like a financial adviser. I do not mean to disparage such activities and while that may help in the conversation, is that the something special that will drive in all of those leads that seem so elusive? A top lender of yesteryear focused on driving in leads from financial advisers principally through providing their originators with the right language and conversation. While that same training is still going on at a different lender, its success has yet to reach “its potential.”

   Now look at the products, Why has H4P endorsement volume never reached 2,700 in a single fiscal year in 15 and why for the first time since fiscal year 2014 will H4P not exceed 2,000 endorsements for a fiscal year, this fiscal year ending 9/30/2024? Why will the total HECM endorsement volume fall below 30,000 this fiscal year, a level not seen in 21 years? Sure, blame it on those high interest rates; yet the industry has seen even higher interest rates.

   Back in 2006 NRMLA had its Bridge Committee (or something very similar) whose whole purpose was to reach out to the financial services industry. By the time I found out about it and went to join, it had terminated due to a lack of interest.

   So far no one has found the secret sauce that will turn financial advisers into oil derricks pumping out referral after referral for this industry. What we need to learn, bringing something of value to the financial adviser/RM originator relationship has yet to be demonstrated on a consistent basis.

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