Saturday, May 31, 2008

Another agent for his own interest

I bumped into a good friend on my way to the AGM yesterday. He is also one of my very close client whom I had assisted with full financial plan and had taken up several policies with me. I understand his needs, budget and family situation very clearly. He promised to so call "Support" me when I cross over to an IFA for a review.

During that brief meeting, he informed me that he had taken a wholelife plan from Company "M" 2 months ago. At first instance, I don't remember any good wholelife plan from this company. Therefore, when I reached home, I immediately get my laptop and do all the comparisons. As expected, this plan gives poor value. The premium is higher, lower protection and cash value at all years, higher distribution cost and the company has a lousy investment track record.

I sms him in the morning to re-consider this plan but he told me it was his friend who is also an IFA recommending that plan to him. He thought his friend would have made comparisons for him. He will just carry on with the plan despite that he only paid 2 months premium. He then told me that 2 of his other friends also got the similar plan from him already. He told me not to worry and he will support me with an RSP.

I have a few disappointments that night. I can't sleep well and my mood is spoilt for this weekend.
1) Disappointed that he did not wait that one month for me despite his repeated promise. He have enough of Life Insurances. What he needs is a disability income or to top up his term coverage and then start accumulating his wealth.
2) Disappointed that some IFA sell plans that benefit them the most. It really disgust me. They are harming our reputation.
3) Disappointed when he claims that 2 of his friends also buy that plan from that adviser. How come he never recommend these friends to me? More people buying such plans of poor value to feed the pocket of that adviser?
4) He say he will support me with an RSP. I don't think he knows that the commission from an RSP may not even be enough to buy a plate of chicken rice for myself. Moreover, he is left with a much lower budget to invest if I am to recommend him disability income and term coverage. He may thought that I earn a lot and he is doing me a favour, not the other way round.
5) I felt I'm a lousy sales person. That adviser had earn so much more than me with 2 more friends buying similar plan without doing a financial plan and proper analysis. I had done so much and my reward is so much lesser than that adviser.
6) I am very very disappointed because I had failed my duty as his financial planner and let him fall into the trap of such advisers.

A similar disappointment happened to me few months ago when another of my very good friend purchased from Company "P".

So stressed now. That stupid CFA exam coming. Spent so much $$$, study so hard to suffer and feel like sure fail. Sometimes don't understand why I am studying so hard when others can get so much more than me when they don't do anything. So much work not done before I left the company. Yet such things happened. No mood to study now. Shitz!!!... But cannot, exam coming... Haizzz... (Dilemma)


Anonymous said...

Adrain, whether you are with an IFA or with insurance companies everything depends on the advisers.
The companies always team up with the agents to rob their customers.
Example like NTUC and the agents. The FAs also team up with their advisers to rob the customers. The poor customers are always at the mercy of both. But You and YOU alone can make the difference .In other words it is about whether you are for the customers or for yourself. Today, the agents , advisers or whatever names they use, they are for themselves and worse they rob the customers dry. Strangely the customers don't even know that they have been robbed.

NTUC AGM , nothing changed with arguments, the only way to change is to cancel your policies, this is consumerism.

Anonymous said...

Maybe they don't trust you?

Maybe you should start a whining category.

leothu said...

it's sad to hear that but the reality is cruel... we can't change the world that much but at least those who trusted you sure will be beneficial...

Anonymous said...

Hi Adrian I share your views and dilemmas.. lost many cases cos I used the "educating" method instead of touching the "emotional" hot buttons. Unable to bullshits... hmmm Last wk just lost another case to M co.. do you hv the co M's plan detail? If it is not too much of a touble, after your CFA exam can email it to me at

Anonymous said...

Come on Adrain, other agents are no difference from Ntuc agents. They all go for the kill when there is a chance.In fact I think ntuc agents are worse. They are merciless and would stoop to anything to rob cleint. Example like the agents who promote revosave to pay for vivolife. I find them monstrously and utterly unscrupulous to sell these products in this manner. It is a scam.Poor customers don't even know that they got rotten deal.I wonder what MAS is doing . Condoning to this evil committed in broad daylight? I know you won't do it but condoning this and not exposing them is as good as abetting them in the crime. Right?


Anonymous said...

I have not entered into the industry yet, but what you are doing is the very reason for me wanting to enter it. It is people like you who make a difference.

Khiat Han Hwee Adrian said...

Hi Anonymous 4:30am,

if you have a strong desire to enter the industry, I hope its not because someone told you that they are very successful and had got themselves a big house, car with tons of money.

if you are really do the proper way, frankly, you are unlikely to end up like them. This job is not really a lucrative job and you need passion for it.

I'm facing uncertainty as well and I hope I can make it too.

Anonymous said...

Hi June 7, 4.30AM, remember to choose your company well but NEVER, NEVER, NEVER CHOOSE INSURANCE COMPANIES especially NTUC if you want to start your career right. Learn the right things and you will do the right thing, logical right?
Joining insurance companies you will inevitably become salesman and all insurance salesmen and women are unethical and unscrupulous. If you want to help your cleints , you should acquire the correct knowledge and Adrain can help you.

Khiat Han Hwee Adrian said...

It is definitely not true to say that all NTUC Income agents are unethical and unscrupulous.

There are all sort of advisers around in all companies. There are good and bad ones everywhere.

It is not fair to say all NTUC agents are no good.

Khiat Han Hwee Adrian said...

Hi Anonynous 4:30,

If you are looking at this comment and you are seriously considering this career. You can drop me an email, I can give you a better idea of this industry. I'm not recruiting but I sincerely like to share more with you.