August was a record-breaking month for productivity of the average full-time broker in financial institutions, according to a new report.
This was a key finding of an AXA Kehrer-LIMRA Monthly Monitor Survey.
The report shows that sales of both fixed and variable annuities as well as mutual funds elevated transactional productivity to the highest level since April of 2010.
Even without the benefit of quarterly fee revenue, monthly fees were sufficient to drive total productivity to its highest level since January of 2008.
Financial institutions have been successful in their drive towards recurring revenues to hedge against fluctuating sales environments, the report says.
In August, 12B1 and managed money fees accounted for 51% of total broker productivity, just short of the all time high of 56% reached in July of 2011.
“In 2005, only 30% of total broker revenues were recurring,” says Janet Cappelletti, associate research director at Kehrer-LIMRA. “By 2010 this figure reached 42%; and we’re on target this year to hit almost 50%.”