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World Financial Group logo

World Financial Group (WFG), formerly World Marketing Alliance (WMA), is often confused as a multi-level marketing organization. They actually operate and are structured like a standard Insurance Agency. The main difference is that they allow you to recruit others into the organization and build your own agency within the company. They market variable life insurance, variable annuities, mutual funds, and other financial products to the middle-income market in the United States through a network of 50,000 associates, of whom 8,500 are licensed securities brokers registered with the co-owned World Group Securities, Inc.Template:Inote The business is often reported as a fraudulent pyramid scheme by its critics although its continued operation suggests that the NASD (National Association of Securities Dealers) disagrees.

In Canada, WFG operates under two names; "World Financial Group Insurance Agency of Canada Inc.", which offers life insurance and segregated funds, and is regulated at a provincial level; while "WFG Securities of Canada Inc.", is regulated at a federal level and offers mutual funds. WFG Securities of Canada Inc. is a member of Investment Funds Institute of Canada and Mutual Funds Dealers Association of Canada.Template:Inote

The company is a member of AEGON, the Dutch multinational insurance company and owner of many US insurance companies (i.e. Transamerica). WFG's headquarters are in Duluth, Georgia. Formerly known as World Marketing Alliance (WMA), the company was founded in 1991 by Hubert Humphrey, who subsequently founded World Lending Group. A Money MagazineTemplate:Inote report generally critical towards Humphrey and WMA was published in 2000. Humphrey sold WMA to AEGON in 2001.

WFG is often mistaken to be another Multi-level Marketing Organization because of its recruiting practices. However, WFG does, in fact, operate differently than MLMs. In most Broker Dealers and Insurance Agencies, there is a Hierarchy of management. The "higher ups" in the company share in the profits brought in by the sales made by field agents. WFG operates no differently other than you are allowed to (and often encouraged) develop your own hierarchy. Because multi-level marketing has a bad reputation arising from its association with illegal pyramid schemes, WFG prefers to avoid the term. Critics say that WFG's business model is a scam and fraudulent. It is particularly criticized for an emphasis on recruitmentTemplate:Inote. However, proponents note that recruitment allows WFG to broaden their operations, and training is provided by third-party vendors such as WRL, Chase, USAllianz, etc. Participants do not have quotas but must pay their own way for licenses. Proponents also argue that the company has vastly improved with far better compliance under Aegon's supervision (as evidenced by a notable decline in penalties and fines imposed by the NASD), while critics claim that many of the same people from the pre-Aegon days remain in WFG and therefore little has changed.

External links

References

"worldfinancialgroup.com". Legal & Disclosure. Retrieved August 24. {{cite web}}: Check date values in: |accessdate= (help); Unknown parameter |accessyear= ignored (|access-date= suggested) (help)
"2004 Annual Report". AEGON Review of Operations: Americas. Retrieved January 24. {{cite web}}: Check date values in: |accessdate= (help); Unknown parameter |accessyear= ignored (|access-date= suggested) (help)
Feldman, Amy (May 2000 (Vol 29 Issue 5)). "Hubert the Great". Money Magazine. {{cite news}}: Check date values in: |date= (help) URL accessed on January 24 2006.
"About World Financial Group and Multi-Level Marketing". WFG-offline.com. Retrieved August 20. {{cite web}}: Check date values in: |accessdate= (help); Unknown parameter |accessyear= ignored (|access-date= suggested) (help) Site defunct as of March 13 2006.

@@ Line 1: / Line 1: @@
 [[Image:Worldfinancialgrouplogo.gif|thumb|right|World Financial Group logo]]
-'''World Financial Group''' (WFG), formerly World Marketing Alliance (WMA), is a [[multi-level marketing]] organization with variable life insurance, variable annuities, mutual funds, and other financial products to the middle-income market in the United States through a network of 50,000 associates, of whom 8,500 are licensed securities brokers registered with the co-owned World Group Securities, Inc.{{Inote|AEGON Annual Report 2004|AEGON2004}} The business is often reported as a [[fraudulent]] [[pyramid scheme]] although its continued operation suggests that the [[NASD]] (National Association of Securities Dealers) disagrees.
+'''World Financial Group''' (WFG), formerly World Marketing Alliance (WMA), is often confused as a [[multi-level marketing]] organization. They actually operate and are structured like a standard Insurance Agency. The main difference is that they allow you to recruit others into the organization and build your own agency within the company. They market variable life insurance, variable annuities, mutual funds, and other financial products to the middle-income market in the United States through a network of 50,000 associates, of whom 8,500 are licensed securities brokers registered with the co-owned World Group Securities, Inc.{{Inote|AEGON Annual Report 2004|AEGON2004}} The business is often reported as a [[fraudulent]] [[pyramid scheme]] by its critics although its continued operation suggests that the [[NASD]] (National Association of Securities Dealers) disagrees.
 In [[Canada]], WFG operates under two names; "World Financial Group Insurance Agency of Canada Inc.", which offers [[life insurance]] and segregated funds, and is regulated at a provincial level; while "WFG Securities of Canada Inc.", is regulated at a federal level and offers mutual funds. WFG Securities of Canada Inc. is a member of Investment Funds Institute of Canada and Mutual Funds Dealers Association of Canada.{{Inote|WFG Online 'Legal & Disclosure'|WFGLegal}}
@@ Line 6: / Line 6: @@
 The company is a member of [[AEGON]], the Dutch multinational insurance company and owner of many US insurance companies (i.e. Transamerica). WFG's headquarters are in [[Duluth, Georgia]]. Formerly known as World Marketing Alliance (WMA), the company was founded in 1991 by [[Hubert Humphrey (MLM)|Hubert Humphrey]], who subsequently founded [[World Lending Group]]. A ''Money Magazine''{{Inote|Feldman|Feldman}} report generally critical towards Humphrey and WMA was published in 2000.  Humphrey sold WMA to AEGON in 2001.
-WFG is a hybrid [[multi-level marketing]] (MLM) company. Because [[multi-level marketing]] has a bad reputation arising from its association with [[illegal]] [[pyramid scheme]]s, WFG prefers to avoid the term. Critics say that WFG's business model is a [[scam]] and [[fraudulent]]. It is particularly criticized for an emphasis on recruitment{{Inote|WFG-offline home page|WFGofflineHome}}.  However, proponents note that recruitment allows WFG to broaden their operations, and some training is provided by third-party vendors such as WRL and Chase.  Participants do not have quotas but must pay their own way for licenses.  Proponents also argue that the company has vastly improved with far better compliance under Aegon's supervision (as evidenced by a decline in penalties and fines imposed by the NASD), while critics claim that many of the same people from the pre-Aegon days remain in WFG and therefore little has changed.
+WFG is often mistaken to be another Multi-level Marketing Organization because of its recruiting practices. However, WFG does, in fact, operate differently than MLMs. In most Broker Dealers and Insurance Agencies, there is a Hierarchy of management. The "higher ups" in the company share in the profits brought in by the sales made by field agents. WFG operates no differently other than you are allowed to (and often encouraged) develop your own hierarchy. Because [[multi-level marketing]] has a bad reputation arising from its association with [[illegal]] [[pyramid scheme]]s, WFG prefers to avoid the term. Critics say that WFG's business model is a [[scam]] and [[fraudulent]]. It is particularly criticized for an emphasis on recruitment{{Inote|WFG-offline home page|WFGofflineHome}}.  However, proponents note that recruitment allows WFG to broaden their operations, and training is provided by third-party vendors such as WRL, Chase, USAllianz, etc.  Participants do not have quotas but must pay their own way for licenses.  Proponents also argue that the company has vastly improved with far better compliance under Aegon's supervision (as evidenced by a notable decline in penalties and fines imposed by the NASD), while critics claim that many of the same people from the pre-Aegon days remain in WFG and therefore little has changed.
 ==External links==