Most financial service firms flock to people who have money, not to those who want to make it, says John Addison
, chief executive of the financial services conglomerate Primerica.
"Middle income families have been abandoned by traditional financial service firms," said Addison.
Addison was one of the speakers at the Baron Investment Conference, the annual extravaganza funded by Baron Funds
CEO Ron Baron
. Baron rents the entire Lincoln Center and hosts thousands of shareholders who listen to presentations from executives of firms in which Baron invests.
Scheduled presenters include Addison, CoStar Group founder and CEO Andrew Florance
and LKQ Corp. president and CEO Robert Wagman
. The full agenda can be found here
A key part of the conference is stunning surprises in featured entertainment. Last year's conference featured Harry Connick Jr., Kristen Chenoweth, Joss Stone and Celine Dion.
During his presentation, Addison drilled down on his company's dedicated focus to the middle income market.
His company's average client makes $65,000, has $4,500 in mutual fund investments and 70 percent of assets in qualified retirement plans.
His company has 21,900 licensed mutual fund representatives, all independent contractors who have full time jobs such as a policeman, teachers, and so on.
Primerica motivates these part-timers not only with salaries, but also with opportunities to take trips to exotic locations on the company's dime.
Addison sees great opportunities for growth because there are so few firms paying attention to the middle income demographic.
"Many people have lost hope and faith that they can get anywhere in their lives," Addison said, adding that in the financial services industry, many have the attitude that "it is not profitable to talk to people who want to have money."
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