Center for Financial Advisor Education Techniques for Prospecting

137 Pages·2010·6.25 MB·English

Center for Financial Advisor Education
FA 200 WORKBOOK
Techniques for Prospecting: Prospect or Perish
WB200.02.1
THE AMERICAN COLLEGE
TheAmericanCollege®isanindependent,nonprofit,accreditedinstitutionfoundedin1927thatoffers
professional certification and graduate-degree distance education to men and women seeking career
growth in financial services.
The Center for Financial Advisor Education at The American College offers both the LUTCF and
the Financial Services Specialist (FSS) professional designations to introduce students in a classroom
environment to the technical side of financial services, while at the same time providing them with the
requisite sales-training skills.
TheSolomonS.HuebnerSchool®ofTheAmericanCollegeadministerstheCharteredLifeUnderwriter
(CLU®);theCharteredFinancialConsultant(ChFC®);theCharteredAdvisorforSeniorLiving(CASL®);the
RegisteredHealthUnderwriter(RHU®);theRegisteredEmployeeBenefitsConsultant(REBC®);andthe
CharteredLeadershipFellow®(CLF®)professionaldesignationprograms. Inaddition,theHuebnerSchool
alsoadministersTheCollege'sCFPBoard—registerededucationprogramforthoseindividualsinterested
in pursuing CFP®certification, the CFP®Certification Curriculum.
TheRichardD.IrwinGraduateSchool®ofTheAmericanCollegeoffersthemasterofscienceinfinancial
services(MSFS)degree,theGraduateFinancialPlanningTrack(anotherCFPBoard-registerededucation
program),andseveralgraduate-levelcertificatesthatconcentrateonspecificsubjectareas. Italsooffers
theCharteredAdvisorinPhilanthropy(CAP®)andthemasterofscienceinmanagement(MSM),aone-year
program with an emphasis in leadership. The National Association of Estate Planners & Councils has
namedTheCollegeastheprovideroftheeducationrequiredtoearnitsprestigiousAEPdesignation.
TheAmericanCollegeisaccreditedbyTheMiddleStatesCommissiononHigherEducation,3624
MarketStreet, Philadelphia, PA19104attelephonenumber267.284.5000.
TheMiddleStatesCommissiononHigherEducationisaregionalaccreditingagencyrecognizedbythe
U.S.SecretaryofEducationandtheCommissiononRecognitionofPostsecondaryAccreditation. Middle
Statesaccreditationisanexpressionofconfidenceinaninstitution'smissionandgoals,performance,and
resources. ItatteststhatinthejudgmentoftheCommissiononHigherEducation, basedontheresults
ofaninternalinstitutionalself-studyandanevaluationbyateamofoutsidepeerobserversassignedby
the Commission, an institution is guided by well-defined and appropriate goals; that it has established
conditionsandproceduresunderwhichitsgoalscanberealized;thatitisaccomplishingthemsubstantially;
thatitissoorganized,staffed,andsupportedthatitcanbeexpectedtocontinuetodoso;andthatitmeets
thestandardsoftheMiddleStatesAssociation. TheAmericanCollegehasbeenaccreditedsince1978.
TheAmericanCollegedoesnotdiscriminateonthebasisofrace,religion,sex,handicap,ornational
andethnicorigininitsadmissionspolicies,educationalprogramsandactivities,oremploymentpolicies.
TheAmericanCollegeislocatedat270S.BrynMawrAvenue, BrynMawr, PA19010. Thetoll-free
numberoftheOfficeofProfessionalEducationis(888)AMERCOL(263-7265); thefaxnumberis(610)
526-1465; and the home page address is theamericancollege.edu.
CertifiedFinancialPlannerBoardofStandards,Inc.,ownsthecertificationmarksCFP®,CERTIFIEDFINANCIAL
PLANNER™,andCFP(withflamelogo)®,whichitawardstoindividualswhosuccessfullycompleteinitialand
ongoingcertificationrequirements.
Copyright © 2010
The American College Press
All rights reserved
W-2 200 Workbook
CONTENTS
TheAmericanCollege................................................................................W-2
TableofContents.......................................................................................W-3
Techniques for Prospecting: Prospect or Perish Assignment
Schedule.......................................................................................W-4
SpecialNotestoAdvisors...........................................................................W-7
CourseOverviewandExpectations.............................................................W-9
StudentSurvey.........................................................................................W-17
SalesPlanningProject1...........................................................................W-19
Breakout—Class2....................................................................................W-29
Quiz—Class1..........................................................................................W-31
Quiz—Class2..........................................................................................W-33
Handout2-1.............................................................................................W-37
ActionProject1........................................................................................W-41
Breakout—Class3....................................................................................W-49
Quiz—Class3..........................................................................................W-51
Handout3-1.............................................................................................W-55
Handout3-2.............................................................................................W-57
SalesPlanningProject2...........................................................................W-59
SalesPlanningProject3...........................................................................W-63
Breakout—Class4....................................................................................W-67
Quiz—Class4..........................................................................................W-69
ActionProject2........................................................................................W-73
Breakout—Class5....................................................................................W-77
Quiz—Class5..........................................................................................W-79
Handout5-1.............................................................................................W-83
Handout5-2.............................................................................................W-85
ActionProject3........................................................................................W-87
Breakout—Class6....................................................................................W-95
Quiz—Class6..........................................................................................W-97
Handout6-1...........................................................................................W-101
Handout6-2...........................................................................................W-103
SalesPlanningProject4.........................................................................W-105
Breakout—Class7...................................................................................W-113
Quiz—Class7.........................................................................................W-115
SalesPlanningProject5..........................................................................W-119
Breakout—Class8..................................................................................W-123
Quiz—Class8........................................................................................W-125
Handout8-1...........................................................................................W-129
.............................................................................................................W-131
MostValuableConcepts..........................................................................W-137
200 Workbook W-3
TECHNIQUES FOR PROSPECTING: PROSPECT OR PERISH
ASSIGNMENT SCHEDULE
Thisworkbookcontainsquizzes, exercises, projects, andcasestudiesintendedtosupplementthe
materialintheFA200textbook,TechniquesforProspecting: ProspectorPerish.
Class Assignments in Text Assignments in Workbook
1 Chapter 1 Course Overview and Expectations
AcknowledgmentofCourseRequirements(DueClass2)
Date Student Survey
SalesPlanningProject1(Begin,DueClass3)
Most Valuable Concepts
2 Chapter 2 AcknowledgmentofCourseRequirements(Due)
Breakout—Class 2 (Due)
Date Quiz—Class 1 (Due)
Quiz—Class 2 (Due)
Action Project 1 (Begin, Due Class 4)
Most Valuable Concepts
3 Chapter 3 Breakout—Class 3
Quiz—Class 3 (Due)
Date Sales Planning Project 1 (Due)
SalesPlanningProject2(Begin,DueClass5)
SalesPlanningProject3(Begin,DueClass7)
Most Valuable Concepts
4 Chapter 4 Breakout—Class 4
Quiz—Class 4 (Due)
Date Action Project 1 (Due)
Action Project 2 (Begin, Due Class 6)
Most Valuable Concepts
5 Chapter 5 Breakout—Class 5
Quiz—Class 5 (Due)
Date Sales Planning Project 2 (Due)
Action Project 3 (Begin, Due Class 7)
Most Valuable Concepts
W-4 200 Workbook
Class Assignments in Text Assignments in Workbook
6 Chapter 6 Breakout—Class 6
Quiz—Class 6 (Due)
Date Action Project 2 (Due)
SalesPlanningProject4(Begin,DueClass8)
Most Valuable Concepts
7 Chapter 7 Breakout—Class 7
Quiz—Class 7 (Due)
Date Sales Planning Project 3 (Due)
Action Project 3 (Due)
SalesPlanningProject5(Begin,DueClass8)
Most Valuable Concepts
8 Chapter 8 Breakout—Class 8
Quiz—Class 8 (Due)
Date Sales Planning Project 4 (Due)
Sales Planning Project 5(Due)
Most Valuable Concepts
ReviewSessionforFinal
Date FinalExamReviewPracticeExam(Completeinclass)
Examination
FinalExamination. Thisisaclosed-bookexamconsistingof50multiple-choicequestions.
Youcannotrefertoyourtextbookoranyothermaterialsduringtheexam.
Date
200 Workbook W-5

SPECIAL NOTES TO ADVISORS
WORKBOOK MATERIALS DISCLAIMER
Whileeveryprecautionhasbeentakeninthepreparationofthismaterialtoinsurethatitisbothaccurate
andup-to-date,itisstillpossiblethatsomeerrorseludeddetection. TheauthorsandTheAmericanCollege
assumenoliabilityfordamagesresultingfromtheuseoftheinformationcontainedinthisworkbook. The
AmericanCollegeisnotengagedinrenderinglegal,accounting,orotherprofessionaladvice. Iflegalor
otherexpertadviceisrequired,theservicesofanappropriateprofessionalshouldbesought.
CAUTION REGARDING USE OF ILLUSTRATIONS
The illustrations, sales ideas, and approaches in this workbook are not to be used with the public
unlessyouhaveobtainedapprovalfromyourcompany. Yourcompany'sgeneralsupportofTheAmerican
College'sprogramsfortrainingandeducationalpurposesdoesnotconstituteblanketapprovalofthesales
ideasandapproachespresentedinthisworkbook,unlesssocommunicatedinwritingbyyourcompany.
USE OF THE TERM FINANCIAL ADVISOR OR ADVISOR
Useoftheterm"FinancialAdvisor"asitappearsinthisworkbookisintendedasthegenericreference
toprofessionalmembersofourreadingaudience. Itisusedinterchangeablywiththeterm"Advisor"to
avoidredundancy. FinancialAdvisortakestheplaceofthefollowingterms:
Account Executive Insurance Professional
Agent Life Insurance Agent
Associate Life Underwriter
Broker (stock or insurance) Planner
Financial Consultant Practitioner
Financial Planner Producer
Financial Planning Professional Property & Casualty Agent
Financial Services Professional Registered Investment Advisor
Financial Services Specialist Registered Representative
Health Underwriter Senior Advisor
ANSWERS TO THE QUESTIONS IN THE COURSE
Theanswerstoallessayandmultiplechoicequestionsinthiscoursearebasedonthetextmaterials
as written.
COURSE COMMENTS
TheAmericanCollegewelcomesyourcommentsaboutthiscourse, particularlysuggestionsforits
improvement. Thecommentcardsattheendofthisworkbookcanbeusedforthispurpose.
200 Workbook W-7

COURSE OVERVIEW AND EXPECTATIONS
WelcometoFA200,TechniquesforProspecting: ProspectorPerish. Thisintroductorysectionbegins
withanoverviewofthecourseobjectives. Thenitdiscussesthecomponentsofthecourse,andreviews
the various assignments and activities that will help you apply what you learn. Finally, it closes with a
discussion of what is expected from you.
OVERALL COURSE OBJECTIVES
TheFinancialServicesSpecialist(FSS)andLUTCFdesignationsutilizetheenormouslysuccessfuland
qualitytrainingcoursesfromTheAmericanCollege'sFinancialAdvisor(FA)series. TheAmericanCollege
and National Association of Insurance and Financial Advisors (NAIFA) have partnered to offer these
courses,whichenablestudentstogainthenecessaryskillsassociatedwithbeingacompetentandethical
financialadvisor. (SeetheearlierexplanationintheSpecialNotestoAdvisorssectionforthemeaning
oftheterm“financialadvisor”or“advisor”asusedthroughoutthematerialsofthiscourse.)
Thegoalofthiscourseistointroduceyoutotheprospectingprocessandthemethodsandstrategies
thatcanhelpyousucceedinthefinancialservicesindustry. Thereadingsandactivitiesinthiscoursewill
enableyoutounderstandhowyoucanimproveyourownpracticeandincreasethequantityandqualityof
theprospectsyouselectandapproach. Bytheendofthecourseyoushouldbeableto:
• Describethepsychologyofprospectingfromboththeadvisor'sandprospect'sperspectives.
• Identifytargetmarketsusingyournaturalmarketsasabasis.
• Select appropriate prospecting sources and methods.
• Implementrelevantprestigebuildingandpreapproachactivities.
• Createandutilizetelephoneapproachestosetappointments.
• Set goals and track progress using a prospecting system.
• Identifymethodsofservicingyourclientsthatcanleadtorepeatbusinessandreferrals.
• Describerelationshipswithotherprofessionalsthatcanhaveapositiveeffectonyourlong-term
success.
Achievingtheseobjectivesdependsonthetimeandenergyyouinvestincompletingtheassignments
in this course. The next section provides an overview of the course components and the assignments
related to them.
COURSE COMPONENTS AND ASSIGNMENTS
TheAmericanCollege'sLUTCandFSScoursesofferpracticalon-the-jobtraining. Therefore, they
requirestudentstotakeactionandparticipatefully. Exceptforthefinalexamination,eachcomponentofthe
courseisdesignedtofacilitateactionandparticipation,whichcantranslateintomorenewclientsandbetter
client relationships. The course components include
• the classroom
• the text
• the workbook
• the final examination
200 Workbook W-9
The Classroom
Theclassroomiswheretheidea-sharingthatgivesFSSandLUTCcoursestheiruniquevaluetakes
place. Ofcourse,thevalueyoureceiveintheclassroomdependsonyourpreparationandparticipation.
ThestudentsinanFSSandLUTCclassroomrepresentvariouslevelsofknowledgeandexperience
inthefinancialservicesindustry. Sharingwithoneanotherprovideseveryoneanopportunitytogrowin
proficiency,professionalism,andproductivity. Infact,theclassroom's"magic"onlyhappensifeveryone
is prepared and participates.
The Text
Thediscussionsintheclassroomfocusontheapplicationoftheconceptsdiscussedinthetextbook.
Thus,youareexpectedtohavecompletedthereadingassignmentbeforeclass. Inadditiontotheregular
textbookinformation,chaptersalsocontainachapterreviewandsomemayhaveacasehistorytoread.
The Workbook
Theworkbookcontainsanassignmentscheduleandallofthemandatoryassignmentsthatmustbe
completedforeachclass. Theassignmentsareprimarilybreakouts(discussionquestions),casestudies,
quizzes, sales planning projects, and action projects.
Assignment Schedule. Theassignmentschedulelocatedinthefrontoftheworkbooklistsyour
assignmentsfortheentirecourse. Thereisaspaceontheassignmentscheduletowritethedateforeach
classsession,whichyourmoderatorwillannounceatthefirstclass. Byfollowingtheschedule,youcan
readilydeterminethematerialthatistobecoveredineveryclassandtheworkthatisexpectedofyou.
Exceptfortheassignedreadingsinthetextbookandassignmentsyourmoderatorgivestoyou, all
otheractivitiescanbefoundintheworkbook. Let'stakealookatthem.
Breakouts. Foreachclassthereisabreakout,asetofquestionsand/orexercisesdesignedtofocus
yourattentiononthetopicsyourmoderatorwillmostlikelycoverinclass. Thebreakoutsaskyoutoapply
what you learn. For example, many of them ask you to explain a concept as you would to a client or
prospect. Youmaythenbeaskedtoparticipateinarole-playingexercisebasedonyouranswertothe
breakout. Youareexpectedtohavebreakoutscompletedforeachclass.
CaseStudies. Someclassesmayusecasestudies(locatedinthisworkbook). Acasestudyprovides
a specific set of facts and circumstances about a sales situation. You are then asked to come up with
specific recommendations and to support your rationale for them. The case studies are a part of the
classdiscussionatthemoderator'sdiscretion. Youareexpectedtohavethemcompletedforanyclass
for which they are assigned.
Quizzes. ThereisaquizthatmustbecompletedforeachclassexceptClass1. ThequizzesforClass
1andClass2aredueinClass2. Thequizquestionswillbeoneofthreetypesofmultiplechoice: straight
answer,multipleoption,orexcept. Quizzesaredueatthebeginningofeachclass.
Sales Planning Projects. Sales planning projects focus on the behind-the-scenes activities
thatsupportandenablesuccessfulinteractionwithprospects. Theyexploretheplanninginvolvedwith
marketing,prospecting,interviewing,andservicingfinancialservicesproducts. Asalesplanningproject
canalsoprovidelearningexperiencesthatsharpenyourabilitytoadviseprospectsanddesignappropriate
plansforthem. Thus,possibleactivitiescouldincludemarketresearch,recordkeeping,interviewsofother
financial advisors and professionals, and so forth.
Formsareprovidedforeachproject. Youwillbegivenoneweekormoretocompleteeachassignment.
Begin working on the project the day it is assigned. If you wait until the last minute, you can miss the
purpose and lose a real benefit.
W-10 200 Workbook