MOST EXPERIENCED RETIREMENT advisors work closely with two to three providers giving them a majority of their business.  Though they should be open to working with all providers and have another three to five providers in the wings, the reality is that advisors can only know a few record keepers intimately and must limit the number of close partners to get the extra support advisors need to grow and maintain a larger book of business.  And while prospecting is perhaps the most difficult and time-consuming part of an advisor’s practice, most provider partners offer little if any support.

In the DCP Advisor Study conducted by the Boston Research Group, the lowest satisfaction scores providers get is for their ability to generate prospects.  While most experts will concede that the principle responsibility for lead generation is on the advisor, providers can help in the following ways:

• Orphan Cases –Some cases originally brought to the provider by an advisor have been abandoned entirely.  Though it needs to be handled delicately, paying a fiduciary for work they do not perform puts all involved parties at risk.  Referring an experienced advisor may be the best thing to do.  In other circumstances, the provider had gotten the case through a direct relationship but the plan could benefit from an experienced advisor.  For providers who had once sold direct but now say they prefer working with advisors, these referrals would go a long way towards revealing their true intentions.
• Direct Inquiries – Many providers get called directly by sponsors and wholesalers get referrals from sources like attorneys and CPA’s.  Referring these inquiries to top advisor partners solidifies an already close relationship.
• Content – Providers can share content from their large libraries for sponsor seminars and newsletters.
• Seminars – Conducting seminars for sponsors is an important means for advisors to grow their practice.  Providers can help in the following ways:
  • Coordination
  • Marketing
  • Speakers
  • Content
  • Training
  • Financial Support
• Database Management – Many providers give their top advisors access to 5500 databases like 401kExchange’s Prospect Goldmine, but not many help advisors to mine these lists and create a strategic marketing plan.

Some providers politely refuse to help with prospecting because they say they cannot favor some advisors over others.  In truth, providers favor advisors in many ways, sometimes in the form of trips or training, so why not help their top clients that reward them with a good percentage of their business with real, substantive help?  As provider services become more and more commoditized, advisors should expect more than a nice trip or just the basics from their top provider partners, and providers should happily oblige.

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