HSG:
You place an emphasis on collaboration. Do most NFP firms maintain
their existing network of professionals? Do you require your firms to
work together?
JMB: Our advisors will always
maintain their relationships with lawyers and accountants. They're
usually long-standing and are a valuable referral source for our firms.
We don't force internal collaboration. It doesn't make sense from a
compliance standpoint and most professionals don't respond well to that
type of directive. But, assuming the capabilities are there, most of
our firms will try to keep business inside NFP. I'm more interested in
helping our advisors think about expanding their business instead of
fine-tuning what they already do well. Moving beyond life insurance
into long term care, is an example. Being additive to their business is
NFP's ultimate goal.
HSG: How do you help firms with professional development? Does NFP sponsor any forums that allow firms to interact?
JMB:
Our advisors interact on the NFP intranet, through e-mail, online
training, etc. It really is an engaged community. But at the end of
day, this is a people business and we host quite a few big educational
meetings for our advisors each year. Each of our business lines-life,
benefits, investment advisory-have their own dedicated forums, as well
as regional meetings focused on local trends and issues.
The
best ideas surface when our advisors get together. They are so clear,
so smart, ahead of the curve. They understand their businesses so well
that when they start to bounce ideas off each other, it's pretty
amazing how quickly new opportunities are uncovered. That's why I use
words like collaboration and describe NFP as 'one dynamic company'-when
getting the best for the client is the focus of everyone's efforts,
it's ideal.
HSG: Can a firm work with NFP even if they aren't ready for an acquisition scenario?
JMB:
Yes, those advisors can join NFP through our membership
organizations-PartnersFinancial, NFP Benefits Partners and The HighCap
Group. For a membership fee, these advisors have access to some of the
benefits of NFP, like competitive pricing, and access to products and
support. These organizations help us achieve our national scale and
allow us to "greenhouse" firms that are potential acquisitions.
HSG: What does the membership entail?
JMB:
One of the real attractions is the number of carriers and products we
make available, which is usually much larger and more extensive than
what an advisor can access on their own. An advisor can join our
meetings and use our educational resources. They pay for an operational
infrastructure that includes the broker-dealer and RIA platform, and
technology support. For one reason or another, these firms are too
small, too young, simply not interested in the NFP transaction, or not
ready to do the full acquisition. In any case, it's a great
introduction to what NFP offers its owned firms.
HSG: Is NFP transparent to the end client or positioned as the "solutions platform?"
JMB:
Clients are associated with firms, so the firm and its advisors are
always front and center. Their names are on the door, on the business
cards, on client proposals and presentations. They have the option to
sub-brand as an NFP Company-some do, some don't. We are seeing more
firms choosing to use the NFP sub-brand, but whatever an advisor
chooses to do, the relationship with NFP appears cohesive to the client
and suggests a broad platform of capabilities that can be harnessed
just for them.
