Womens and multi cultural markets bsmg event

Welcome to BSMG’s Spring Kick-Off Event
How to Address the Women’s and
Multicultural Markets to Grow your Practice
500 South Main Street | Providence, RI 02903 | 800.343.7772
April 30, 2015

Change
New Opportunities
New Mindset
New Strategies
Increased Success
Have an Open Mind, Think Big

• Women control more wealth. Today, women control over 51% of the personal
wealth in the U.S. That percentage is estimated to rise to 67% by 2020.
• Women outlive men. Women, on average, are outliving men by five to six years.
That means that, for all of your married clients, chances are you will someday have
a single individual as a client: the wife.
• Women outnumber men as graduates. Women account for 57% of bachelor’s, 60%
of master’s, and 52% of doctoral degrees today
• Women are growing as breadwinners. Between 2007 and 2010, the number of
women earning over $100,000 grew by nearly 17%, compared with just 2.3% growth
for men. And nearly four out of 10 working women outearned their husbands in
2009
• Women lead household purchases. Women make approximately 80% of family
household buying decisions, including — importantly for you — whom to hire for
financial advising services.
• Women don’t have a preference for working with a male or female advisor
*Fidelity Investments: “Maximizing a Major Opportunity: Engaging Female Clients”, 2012
The Women’s Market

Suly Salazar-Layton
Responsible for the strategic direction, workshop
development and implementation of the Practice
Management program. Thousands of producers have
learned tools and strategies that have helped them take
their businesses to the next level and increase their
profitability. Native of Colombia and the co-lead for the
Genworth Hispanic Forum, Suly believes passionately
in helping advance the Hispanic community at
Genworth and in Richmond. She is a graduate of Yale
University.
Director of Practice Management

http://www.youtube.com/watch?v=oTqiVOpu5KQ
Connecting with Women & Couples
Connecting With Women And Couples FOR PRODUCER/AGENT USE ONLY

Company Confidential ©2011 Genworth Financial, Inc. All rights reserved.
Connecting with Women and Couples
Grow Your Business With Your Most Profitable Clients
FOR PRODUCER/AGENT USE ONLY.
NOT TO BE REPRODUCED OR SHOWN TO THE PUBLIC.163700 04/28/15

1
Important Information
This workshop is for informational purposes only and is meant to illustrate some of the best
practices that may make building your business more effective These practices are based on
Genworth research and the real life experience of the individuals interviewed. The use of
these practices or tools is strictly voluntary and is not required by the Genworth companies.
The information provided is for your own practice management purposes.
Always follow your company’s guidelines, policies and procedures. Also follow any policies
and procedures regarding review and use of third-party templates, social media, creation
and distribution of client and prospect materials, hosting of client and prospect events,
offering giveaways or prizes, and your firm's employment process.

Today we’ll help you focus on …
Connecting With Women And Couples FOR PRODUCER/AGENT USE ONLY 11
- Helping you expand outside of your comfort zone
- Finding prospects and creating interest
- Executing change in your practice

Women’s Economic Power
Earning more money
Inheriting more money
Controlling more money

The opportunity
Connecting With Women And Couples
1. U.S. Census, Educational Attainment, 2014; 2. LIMRA, U.S. Consumers Today: Women and Men, 2014; 3. Growing Under the Radar, American Express, 2012; 4. Catalyst,
Knowledge Center, Buying Power, 3/2013
51% of Bachelor’s
degrees 1
56% of Master’s
degrees1
40% of working wives out
earn husbands 2
57% of couples are
dual earners2
84% control or share
in decisions3
65% of global consumer
spending 4




The value of advice
1. U.S. Consumers Today: Women and Men, LIMRA, 2014
Women are 30% less likely to
have relationships with financial
professionals1
But recognize the value of professional advice
Over half feel that their need for
professional advice has increased
30%
> ½

Veto power

The Future of Retirement Income Study, Genworth, 3/2015
94%
of women said that it was important for a financial
professional to get to know them as a person, to understand
my needs, values and goals
Importance of relationships

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From The Expert - Stereotyping

Couple
Single, Widowed, Divorced
Existing or new client
Thoughtful approach to a new audience

A Different Buying Process
More
deliberate
decision
making
process
Questions
CriteriaInfluencers

Communication Styles
22
Her Big Picture Is Not His Big Picture
QuickTime™ and a
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are needed to see this picture.
Marti Barletta
Author of Marketing to Women, and of PrimeTime Women
www.trendsight.com

Don’t solve their problem before they have articulated it
Best practice: Let the client talk 80% of the time
W.A.I.T.
Listening to understand

Consider asking …
Changing the questions
Instead of …
Here’s what I want to accomplish
today.
‫‏‬What do you want to get out of this
meeting?
How are things going for you? If there’s one thing you could change about
your life, what would it be?
What are your financial goals? What does being financially OK look like to
(each of) you? What do you NOT want to
happen?
Do you have any other questions? •Do you have any questions I haven’t fully
answered?
•What information do you need to feel
comfortable taking the next step?

Women are financial
decision makers
Make them part of the conversation
Be aware of a woman’s veto power
Consider communication differences
Fact
Action
Putting It Into Practice

Women make referrals 3 times more than men
Research
Loyalty
Referral
Decision
http://www.investmentnews.com/article/20130716/FREE/130719934; viewed 9/2013
Loyal Referral Sources

Give her something to talk about
Ask three questions designed to
open up opportunities
Help your clients develop the
confidence to spot your ideal
client
Conduct appreciation events and
educational seminars
4 Best practices to help find new clients

In what ways do you go above
and beyond for your clients?
Where have you made an extra
effort?
What services have you
provided that were
unexpected?

Sorry for the
loss of your
best friend

Three questions to generate introductions
1 If there is one thing I could change about how we work together that
would improve our relationship, what would it be?
2
3
What do you like best about working together?
When you speak with friends who have a financial concern or
challenge, would you feel comfortable helping them by introducing
me to them?

Help current clients spot ideal clients
Define your target clients
Identify how you serve this group especially
well
Help them understand your process

Women recommend
Exceed her expectations
Define your referral request
Consider timing of request
Fact
Action

Holistic approach
How does product help her life?
Answer her questions
Help her feel knowledgeable
Creating interest

Running out of money in
retirement1
1. U.S. Today’s Consumer: Women and Men, LIMRA, 2014; 2. Genworth Beyond Dollars, 3/2013
83%
Women’s top financial concerns
Connecting With Women And Couples FOR BROKER/AGENT USE ONLY
Maintaining standard of living1
63%
Having to rely on family2
65%

Guaranteed income for life
Cannot outlive your money
All guarantees are based on the claims-paying ability of the issuing insurance company.
Annuities speak to her concerns

Protect against the cost of a long term
health event
In-home care as well as nursing home
care
She won’t be a burden to her children
Long Term Care Insurance benefits

Help maintain family’s standard of
living
Portability of individual policy
Estate planning to benefit heirs
Life insurance to address her
concerns

Women want to understand how her
concerns are addressed
Use a holistic approach
Think in terms of her concerns
Avoid technical language and jargon
Fact
Action

Take Aways
3 Things you can do with your clients …
or at home …
1. Listen to her stories
2. Practice “The power of the pause”
3. Increase communication touch points

Action Items To Consider
1. Review top 10 client list and create an action plan
to strengthen your relationship with her
2. Identify 5 key female clients who are influencers
and can be your advocates
3. Define your personal elevator speech so that your
clients know what to say about you

4
Important Information
This workshop is for informational purposes only and is meant to illustrate some of the best
practices that may make building your business more effective These practices are based on
Genworth research and the real life experience of the individuals interviewed. The use of
these practices or tools is strictly voluntary and is not required by the Genworth companies.
The information provided is for your own practice management purposes.
Always follow your company’s guidelines, policies and procedures. Also follow any policies
and procedures regarding review and use of third-party templates, social media, creation
and distribution of client and prospect materials, hosting of client and prospect events,
offering giveaways or prizes, and your firm's employment process.

• Growing Demographics
• Rapid, Systemic Change
• Huge Opportunity for advisors to pursue an
underserved, growing market
The Multicultural Market

ex-KGB operative Igor Panarin in 1998 forecast the future
fragmenting of the United States circa 2010 into four Divided States

Mike Thaxton
With more than two decades of experience closing large,
complex life insurance cases, Mike has substantial
expertise with advanced case design/presentation
strategies and effective premium financing options. More
than 100 times a year, Mike speaks to financial services
professionals across the U.S. on topics related to planning
for foreign nationals, estate planning, and business
planning. He is a Certified World Class Speaking Coach
and teaches financial services and other sales
professionals how to develop and deliver powerhouse
presentations that generate sales. Prior to joining
Transamerica, Mike was a successful independent life
insurance broker and a leading individual life sales
producer with three different brokerage organizations.
Mike has worked extensively with small-business
owners, high-income professionals, and high-net-worth
individuals in the U.S. and abroad. He earned a
Bachelor of Business Administration degree in
accounting from Texas Tech University.
Vice President
Global Link Solutions

500 South Main Street | Providence, RI 0290 | 800.343.7772
Planning for Foreign Nationals
A World of Opportunity
Michael Thaxton, Vice President
Transamerica Global Link Solutions

Non-Residents
Purchasing U.S. Real Estate

Where are Foreign Nationals?
New York
West Palm
Beach
Washington DC
Seattle
Los Angeles
Sacramento
Las Vegas
Phoenix
Dallas/Fort Worth
Boston
Colorado Springs
Denver
Minneapolis
Houston
Detroit
Sarasota
Tampa
Orlando
Miami
Atlanta
Philadelphia

• 11% of native born Americans have at least 1 foreign born
parent1
• 12.9% of U.S. population born in another country2
• 90 Fortune 500 companies had at least one immigrant founder3
• More than 40% of the 2010 Fortune 500 companies founded by
immigrants (18%) or their children (23%)3
• 24% of all engineering and technology start-ups have at least
one immigrant founder serving in a key role4
1Nation’s Foreign-Born Population Nears 37 Million. United States Census Bureau. http://www.census.gov/newsroom/releases/archives/foreignborn_popula
tion/cb10-159.html
2 US Census, 2010. https://www.census.gov/newsroom/pdf/cspan_fb_slides.pdf
3 The “New American” Fortune 500. June 2011. http://www.renewoureconomy.org/sites/all/themes/pnae/img/new-american-fortune-500-june-2011.pdf
4One quarter of U.S. tech start-ups founded by an immigrant: study http://www.reuters.com/article/2012/10/02/us-immigrants-startups-study-idUSBRE8910I
020121002
Changing U.S. Demographics

• 187,380 Ultra-high net worth individuals ($30+ million net
worth) control $25.8 trillion of wealth1
• 65,579 HNWI live in North America2
• 54,170 HNWI live in Europe2
• 43,726 HNWI live in Asia2
• 15,230 HNWI live in Latin America2
• 3,373 HNWI live in Mexico2
• As of EOY 2012 $2.7 trillion of foreign direct investment in the
U.S.3
Scope of Opportunity
1The States With the Most Ultra Rich Americans. Business Insider. http://www.businessinsider.com/states-with-the-most-wealthy-people-2012-9
2 The Wealth Report 2013 . Knight Frank. http://www.knightfrank.be/library/PDF/Wealth%20Report%202013.pdf
3 Foreign Direct Investment in the United States. http://selectusa.commerce.gov/sites/selectusa.commerce.gov/files/documents/2014/january/2013-12-
31_selectusa_report_-_fdi_in_the_united_states.pdf

Why Consider
the Foreign National Market?
• Growing market today
• Foreign Nationals face unique U.S.
planning challenges
• Significant need for information on
strategies and planning

What they don’t know…
A survey of immigrants to the U.S. with
a net worth of $10 million or more found:
Survey Question Asked
% Who
Answered Yes
Before emigrating to the U.S. those who sought advice
as to the consequences of acquiring a U.S. residency
for U.S. gift and estate taxes
34.5%
Obtained advice for making gifts of non-U.S. property prior
to coming to the U.S.
10.9%
After emigrating to the U.S., those who sought tax advice 49.6%
Of the above group, those who sought advice on U.S. estate
planning that could minimize estate taxes
6.8%
Source: “Clueless,” Trusts and Estates, December 2003

Understanding Needs
Foreign Nationals fall into two
categories:
• Resident Aliens
• Non-Resident Aliens

Resident Aliens
• Foreign National with permanent U.S.
home
• Worldwide assets subject to U.S.
estate and gift tax
• Denied certain tax advantages
available to U.S. citizens

Married Couple with Foreign National
No unlimited marital
estate deduction

The Issue
Foreign NationalU.S. Citizen

The Issue
Unlimited Marital
Deduction

The Issue
No Deduction

Alternative 1: QDOT
Mark
U.S. Citizen
Anna
Philippine Citizen
Resident Alien
$ $ $ $ $ $ $ $

QDOT
• No immediate estate taxation
• Assets “stuck” in U.S.
• Distributions limited to income and hardship OR
immediate estate taxation
• Need U.S. trustee, may require bond

Alternative 2: Life Insurance
Mark
U.S. Citizen
Anna
Philippine Citizen
Resident Alien
$ $ $ $ $$ $ $

Non-Resident Aliens
• Foreign National with permanent home in another
country
• Only U.S. assets subject to U.S. estate and gift tax

U.S. Estate Tax Comparison
Resident Alien
(RA)
Non-Resident Alien
(NRA)
Lifetime estate
tax exemption
$5,430,000 $60,000
Estate tax rate 40% top tax rate
Minimum 25% -
Maximum 40% top tax rate
Unlimited
marital deduction
Only if inherited
assets are transferred
to QDOT*
Only if inherited
assets are transferred
to QDOT*
Assets subject
to U.S. estate taxes
All worldwide assets
U.S. properties,
including most
intangible properties**
*Only if inherited assets are transferred to a U.S. citizen spouse or to a QDOT.
**Intangible property includes stock in a U.S. corporation and interest in a U.S. partnership

Non-resident Aliens
U.S. Gift and Estate Situs Rules
Type of
property transferred
Subject to
U.S. Gift tax
Subject to
U.S. Estate tax
Real property located in U.S. Yes Yes
U.S. tangible personal property
(i.e., cash, jewelry, paintings, automobiles)
Yes Yes
U.S. intangible personal property
(i.e., stocks in U.S. corp., interest
in U.S. partnership)
No Yes
Ownership interest in a U.S. life insurance
policy on oneself
No*
No
*A gift of a life insurance policy on oneself may be subject to the IRC §2035 look back rule, and therefore may be subject to estate taxes if included
within the decedent’s estate.

Alternative 1 … Complicated
Tangible Property Intangible
Property
Gift to Heirs

Alternative 2 … Simple
Life Insurance

What They Don’t Know
$60,000
Non-Resident AlienResident Alien
$5.43M

Why Planning Is Important
Eduardo
• Mexican citizen and resident of
Monterrey
• Purchased second home in
Texas with spouse

U.S. Estate Tax Exposure
home in Texas
estate tax liability in 2015$1.1M
$3M

Estate Erosion
Death in 2015
Tentative Tax
Less Credit
($1,145,800)
$13,000
Net Taxes ($1,132,800)
Net U.S. Assets $1,867,200
Estate Erosion = 38%

Life Insurance
• A simple solution
• Internationally competitive

Why Foreign Nationals Buy Life Insurance
• Pay estate taxes
• Legacy Planning
• Business Planning
• Asset protection
• Wealth transfer and estate equalization
• Facilitate business planning
• U.S. products are often considered superior to those of other
countries
• U.S. products can be structured to offer substantial tax
advantages

You’d Better Be Careful …
• Income Tax Treaties
• Estate Tax Treaties
• Gift Tax Treaties
• U.S. Legal Issues
• U.S. Tax Issues
• Home Country Legal Issues
• Home Country Tax Issues

Ley Sobre El Contrato de Seguro
Mexico’s Insurance Contract Law
• Mexican citizens are legally permitted to own insurance contracts
issued from other countries.
• Generally, MICL provides that amounts paid by insurance
companies to insured or insured’s beneficiaries are exempt from
Mexican income tax.
• January 2007 tax reform stated that the intention of Article 109
Section XVII of MICL is to only exempt from Mexican income tax
amounts received from insurance institutions authorized to do
business in Mexico.
• Insured should be physically out of Mexico when contracting for
insurance products with institutions not authorized to do business in
Mexico.
• Entity ownership advisable for significant transactions.

Foreign Account Taxation Compliance Act
• Part of HIRE Act passed March 18, 2010.
• Implementation began July 1, 2014.
• Original intent was to give IRS the ability to determine the
ownership of U.S. assets in foreign accounts.
• 88 Model 1 Agreements and 13 Model 2 Agreements have been
signed or agreed to be signed.
• Potentially impacts Americans who live abroad or have business
interests abroad.
• Potentially impacts foreign nationals who have financial accounts in
the U.S.
• Substantial penalties and prosecution possible for violations.

Why Plan for Foreign Nationals?
• Large, growing demographic
• Special financial planning needs
• Resident Aliens–
worldwide estate
• Non-resident Aliens–
U.S. estate
• No unlimited marital
estate deduction

Next Steps
• Review your book of business
• Reach out to contacts that match
the client profile
• Strengthen and build your referral
network

Look At Your Existing Business
• Immigrant clients?
• Clients with immigrant
spouses?
• Develop a champion client

7 Sources In Your Neighborhood
1. Nearby colleges/universities?
2. Nearby hospitals or military bases?
3. Nearby multinational corporations?
4. Talk to realty firms for leads
5. Align with immigration and/or
international tax attorneys and CPAs
6. Network with ethnic business associations
7. Get referrals from existing Foreign National clients

Top 5 Reasons to Place with Transamerica
1. Access to Advanced Marketing experts
• Attorneys and Certified Financial Planners providing
consultative support and case design
2. Dedicated international underwriting team
• Established in 1998–deep understanding of landscape
3. Bilingual Marketing Materials
• Spanish and Chinese language materials
4. Foreign Nationals Connection Website
• Hub for information, sales ideas, and materials & forms
• Viewable across mobile, tablet, laptop, and desktop
• www.transamerica.com/foreignnationals

5. Depth & Breadth of Product
• No product limitations
• Guaranteed products available
• Very competitive premiums
• Close more business
• Best underwriting risk class
generally available
Top 5 Reasons to Place with Transamerica

Transamerica’s Available Resources
Dedicated International
Underwriting Team
Foreign National Connection web
site
Contact
Advanced Marketing
(877) 238-6758
foreign.national@transamerica.com
Foreign
Nationals Team
Marketing Tools Support

Transamerica Life Insurance Company (“Transamerica”) and its representatives do not give tax or legal advice. This material is
provided for informational purposes only and should not be construed as tax or legal advice. Clients and other interested parties
must be urged to consult with and rely solely upon their own independent advisors regarding their particular situation and the
concepts presented here.
Discussions of the various planning strategies and issues are based on our understanding of the applicable federal tax laws in effect
at the time of presentation. However, tax laws are subject to interpretation and change, and there is no guarantee that the relevant tax
authorities will accept Transamerica’s interpretations. Additionally, this material does not consider the impact of applicable state or
foreign laws and regulations or income or estate tax treaties between the U.S. and other countries upon clients and prospects. Clients
should consult with and rely on their own legal and/or tax advisor to determine the consequences, if any, of owning or receiving
proceeds from a Transamerica policy.
Although care is taken in preparing this material and presenting it accurately, Transamerica disclaims any express or implied
warranty as to the accuracy of any material contained herein and any liability with respect to it. This information is current as of
February 2015.

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