The term financial advisor actually covers a huge number of fairly distinct disciplines. Financial planning and annuity product sales, for example, are very different fields.
In most instances, the financial planner and the person who handles the annuity purchase are the same. However, this does not have to be the case.
Some of the very best financial advisors do not have insurance licenses or they may work on a fee-only basis in which case they do not receive any compensation from product sales.
For instance, one of the leading groups of fee-only financial advisors essentially outsources all of their annuity sales. This is not to say that these fee-only advisors are unwilling to discuss or recommend annuities—it is simply their fee-only compensation structure that creates a situation where annuity transactions are referred to business partners.
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