But in other acquisitions, reps have often enjoyed eight to 12 months to mull over the decision of whether to move to the acquirer or go elsewhere. NPC and ICA reps are getting three months to decide. “LPL just isn’t giving them a lot of time to think about it,” the recruiter added. “Future acquirers may see this as a model to minimize breakage when they do acquisitions.”
If he’s right, LPL should be able to hit the 72 percent conversion target easily. That’s doesn’t guarantee that NPH reps will remain with LPL for the long term.
For now, NPH reps may have other issues that are taking priority. Even if the DOL rule is diluted and delayed, their business is somewhat more transaction-driven than current LPL reps, and they tend to have more tax-qualified accounts, Morrissey said.
This description holds true for many insurance broker-dealers and that's one reason many observers think Jackson National won't be the last insurer to exit the B-D business.