Wishing you and yours a wonderful New Year!
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Month: December 2021
Join Pacific Life for an Introductory Webinar
As announced earlier, Pacific Life has joined ESI’s Strategic Partner Program, making their variable annuities now eligible for qualified and non-qualified registrations.
Pacific Life has strong brand recognition, particularly in the high net worth marketplace and their suite of variable annuities and competitive riders complements ESI’s variable annuity platform. To learn more about Pacific Life and their products, join us ESI and Pacific Life for an introductory webinar on January 11, 2022 at 2:00 pm EST. Click here to register for the webinar.
Resources
Note that e-signature is not currently available with the Pacific Life applications. Reps should get all ESI documents e-signed in Docupace – then upload the wet signed Pacific Life documents into the existing work item.
Please feel free to reach out to Pacific Life with VA product questions. Their Sales Support number is 800-722-2333.
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AdvicePay Overview Recording Now Available
Writing a physical check has become obsolete for most businesses. Why not make it obsolete for yours? With the introduction of AdvicePay you can collect your financial planning fees via credit card at a time that is convenient for your clients. There’s no need to remind clients to bring their checkbook to your next meeting or follow up with them asking to mail you a check.
Using AdvicePay’s intuitive dashboard you’ll be able to keep track of outstanding invoices, see what invoices are coming due soon and which ones are past due to help you manage your business. All planning fees are sent directly to ESI where we will process the payment and match it up with the planning agreement. AdvicePay is an optional service that you can choose to add to your platform at a cost of $50 a month for the software license and a 3.5% credit card processing fee that will be taken directly from each payment.
To see if AdvicePay is the right fit for your business, review this recorded overview of the software.
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Updated Sales Map for Brinker Capital
From Brinker Capital:
As we get ready to start a new year, we’re taking the opportunity to make changes to our sales team structure. We are reshaping our team with the future in mind, combining our Orion and Brinker Wealth Management sales organizations into one unified team.
As part of the restructuring, we’re creating smaller geographical territories and reassigning sales team members to increase our coverage. The new territories will consist of a coordinated team of three sales professionals which is designed to provide you with a higher level of service to support your growth. Orion’s Wealth Management Sales Team Map will take effect on January 1, 2022.
Many of you have long-established relationships with our team members and we want to make this a smooth transition and positive change for everyone. Over the next few weeks, we will be reaching out to provide more details and introduce you to your new sales contacts.
Between now and the new year please continue to work with your existing sales contacts. Service contacts will remain the same as we work toward integrating these teams later in 2022.
As we continue to evolve as a business, we’re committed to providing you with transparent communications along the way. We appreciate your business and look forward to a prosperous new year.
Steve DeAngelis, Chief Revenue Officer
Ed Kelly, EVP of Wealth Management Sales
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Upcoming Important Year End Dates
Licensing Deadlines
TOMORROW! December 31, 2021: Annual Compliance Meeting requirement do for all registered reps.
Operations Deadlines
December 30th and 31st, 2021: IRA Distributions
December 31st, 2021 is the last day an EFT can be sent out of an IRA account as a 2021 distribution, if same day settlement is available.
If same day settlement is not available, EFT distributions must be processed and approved on December 30th in order to be reported in the 2021 tax year.
Distributions processed on December 31st as a check, will be reported in the 2021 tax year.
December 31, 2021: Fidelity Clearing & Custody Fee Processing and Balance Reminders – In order for a client to avoid the $35 non-qualified account custody fee, they must have one commissionable transaction settle in 2021 or have a $10,000 balance in the core money market fund on December 31, 2021.
Last trade date for 2021 regular way settlement is December 29, 2021.
December 31, 2021 & January 3, 2022: Fidelity Clearing & Custody – “Inactivity” Fee Assessed & Charged – Client accounts are assessed for eligibility/waiver of Custody Fee on December 31, 2021 and, if eligible, are charged the fee on January 3rd, 2022.
January 5-31, 2022: Securities Liquidations to cover Unpaid Fee Postings – ESI home office will begin the process of liquidating securities to cover unpaid fee postings related to the NFS IRA Custody Fee and non-qualified “Inactivity Fee”. Accounts with eligible securities will have trades placed to cover “debit” balances related to fee postings, as well as applicable transaction charges. Customer confirmations will be marked “To Cover Debit”. Representative’s will be charged the $25.00 service fee if ESI home office has to place trades
Holiday Phone Hours for ESI Call Center
1/3/2022 – National life closed, NYSE open until 4 – ESI phones close at 4:00 EST
Questions? We’re always here for your call! 1-800-344-7437Check out Life and Annuity Important Dates Here!
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DOL Update Reminder: Important Reminders Regarding Form Updates and Best Practices for New Forms
Changes Effective as of 12/20/21
For ERISA fiduciaries selling insurance products in IRAs, compliance with Prohibited Transaction Exemption (PTE) 84-24 requires that you disclose your compensation, as well as the insurance contract’s fees and expenses, to the owner of the IRA pre-transaction. The disclosures must be made in writing, and the client must acknowledge them by signature.
To comply with these requirements, ESI has rolled out the “84-24 Qualified Annuity Disclosure” form for use with any annuity purchase in a qualified account regardless of the funding source. Because disclosure is required before the transaction, if this form is not received with the new business paperwork, ESI will be unable to process the business.
For help with how to complete the form, ESI has created:
- Variable Annuity Commission Schedule
- Fixed Indexed Annuity Commission Schedule
- Video training – step by step how to complete the 84-24 Qualified Annuity Disclosure Form
- Field Notice 2021-34: PTE 84-24 Disclosure Form
Important Notes
- If you have a qualified rollover case that has been created in Docupace but not yet signed prior to 12/20/21, the new PTE 84-24 Qualified Annuity Disclosure (form number ES0737) may not have been included. If so, you’ll need to pull the new form from the Docupace library and include it in your case.
- The new PTE 84-24 Qualified Annuity Disclosure (form number ES0737) will replace current rollover forms that were in the qualified annuity Docupace kit. The rollover forms will no longer be applicable to annuity business, but will continue to be used for non-annuity business.
- As always, any outdated printed or saved forms should be discarded to avoid causing delays in business processing.
To review any of the DOL communications or resources, please see the DOL page on the NL agent portal.
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Reminder: Gift Reporting in Star Compliance
During the holiday season, and throughout the year, many registered representatives (“RRs”) and associated persons (i.e. fingerprinted persons) give or receive gifts. While ESI allows for the giving and receiving of gifts, we want to remind everyone that there are limitations and reporting responsibilities imposed on the giving and receipt of gifts. Business-related gifts given or received must be reported to your supervisor and Compliance through Star Compliance (“Star”).
What to Report/What Not to Report
All gifts to/from clients, business partners, product sponsors, and prospects must be reported.
- Gifts given/received to/from any individual/firm may not exceed $100 per person per calendar year.
- Gifts to labor union employees and public officials require PRIOR approval.
- Gifts given/received before, during, or after entertainment must be reported.
- Consumable gifts (e.g. food, wine), even if a promotional item, must be reported.
- Gifts given to home office employees must be reported.
- If expensing a gift or treating the gift as a business expense, the gift must be reported.
- Reporting of gifts should be done within two weeks of giving or receiving.
The following are NOT required to be reported:
- Promotional items under $75 (items with a company logo).
- Gifts given to employees or other RRs within your own office.
- Personal gifts to immediate family members who also happen to be customers, where the gift is unrelated to the Firm’s business, and occasional personal gifts to others not taken as a business expense.
How to Report
Go to https://nationallife.starcompliance.com:
- Your Login is your 5-digit rep code. If you do not recall your password, you may click “Forget your password” to reset it. Once in Star, click the “Gifts” box to report a gift.
- For instructions on how to complete the form, please refer to the below links:
- INSTRUCTIONS – Gift Given
- INSTRUCTIONS – Gift Received
Delegation of Reporting
If you wish to have a non-registered fingerprinted person (“NRF”) complete your gift logs, they may enter them for you in Star as a “proxy”. To have them designated as your gift proxy in Star, please email ESICompliance@nationallife.com with their contact information.
Questions?If you have questions, please feel free to contact Ben Zarzycki in ESI Compliance at 802-229-3659 or bzarzycki@nationallife.com.
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Updates to the White Glove Seminar Submission Process
White Glove
Seminar/Webinar System
White Glove provides comprehensive seminar services to agents and Registered Representatives.
How it Works
White Glove’s seminar services include the following:
- Pre-Event services including market research to identify the target market in your area and logistical support including promotion, confirmation calls, emails and texts to registrants.
- In-Event services offer live venue logistics and concierge support for webinars.
- Post-Event services offer appointment setting follow up.
Benefits to You
- All promotion and registration is handled by White Glove
- Appointment setting
- Post event support
- You only pay for attendees that actually attend your seminar or webinar
Benefits to Your Prospect
- Prospects participate in seminars/webinars based on their needs
- White Glove makes registering easy and provides a communication contact
Important Requirements
- White Glove offers services beyond just seminars. At this time, only the seminar services are approved.
- If you choose a seminar topic that doesn’t reference securities or financial planning, this service can also be used by agents who aren’t registered with ESI. The same process would apply.
Getting Started
Contact White Glove at https://whiteglove.com/ and they will work directly with you. Below are the materials that should be submitted to AdReview@Nationallife.com along with the Compliance Review Request form. Each Agent/RR should work with White Glove to customize these materials with the name and date of the seminar. All the other materials used by White Glove are administrative communications and have already been reviewed by the Ad Review Unit (ARU), Life and Annuity Compliance Solutions of the National Life Group and do not need to be submitted.
Material Submission Requirement for Agents
- Seminar Power point.
- White Glove’s seminar invitation/sign-up landing page reflecting the name of the seminar and dates (Only the name of the seminar and dates are added – no disclosure).
- White Glove’s Static Face Book Ad that will be using to promote the seminar. (These are not templates. Content varies from seminar to seminar e.g., pictures/texts).
- White Glove’s EventBrite and Face Book Event page (These are not templates. Content varies from seminar to seminar).
- Recording of seminars is allowed of the financial representative only (CANNOT RECORD AUDIENCE AS WELL DUE TO the STATES’ RECORDING LAWS). Submit the recording in mp3/mp4 format for review/approval to the ARU prior to use for review. Recording may only be used for posts to compliance-approved websites and/or social media sites. White Glove’s rebroadcasting feature may not be used.
Material Submission Requirement for Registered Representatives and/or Investment Adviser Representatives
(The ESI video conferencing requirements should be followed)
Same as Agent requirements above (note exception) PLUS:
- White Glove’s seminar invitation should include the Registered Representative’s and/or Investment Adviser Representative’s disclosure. (same disclosure that appears on bottom of business card AND licensing disclosure for virtual seminars).
- For virtual seminars, a copy of the page reflecting the chat feature has been disabled.
- Note: Eventbrite and Face Book Event Page may not be used to advertise the seminar since these are not static and we can’t capture the interactivity.
This is current as of December 2021. White Glove’s offerings are subject to change.
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Pacific Life Joins ESI’s Variable Annuity Strategic Partner Program
ESI is very happy to announce that Pacific Life has joined our Strategic Partner Program. Pacific Life’s variable annuities are now eligible for qualified and non-qualified registrations. Pacific Life has strong brand recognition, particularly in the high net worth marketplace and their suite of variable annuities and competitive riders will compliment ESI’s variable annuity platform. ESI and Pacific Life will be hosting our initial rollout call in January 2022. The date and time will be shared in the coming weeks.
E-signature is not currently available with the Pacific Life applications. Reps should get all ESI documents e-signed in Docupace – then upload the wet signed Pacific Life documents into the existing work item.
Please feel free to reach out to Pacific Life with VA product questions. Their Sales Support number is 800-722-2333.
Click here for more information on any of ESI’s Strategic Partners – including Pacific Life!
Pacific Life: We know that customers have a choice when it comes to the financial services company they put their trust in. Our brand pillars have served as our strategic guide ensuring that for more than 150 years our products and services stand the test of time and help generations of families plan for better tomorrows.
Click here for more about Pacific Life
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