The industry awoke to hangovers, spent fireworks and MassMutual’s acquisition of MetLife’s U.S. retail advisor force—the MetLife Premier Client Group (MPCG).
The Springfield, Massachusetts-based MassMutual said Tuesday morning the acquisition increases the number of MassMutual advisors to 9,200, 401(k) advisors included.
“Many of the former MetLife advisors sell retirement plans and/or employee benefits, which helps expand MassMutual’s market presence,” MassMutual spokesman David Potter said in a statement. ” MassMutual’s purchase price of $165 million, net of adjustments upon closing, is not material to MassMutual’s capital and surplus.”
The acquisition expands MassMutual’s footprint in the U.S., according to the company:
- The network of MassMutual financial professionals increases 60 percent to more than 9,200
- The number of MassMutual sales and advisory offices across the country now totals more than 2,000 – an increase of nearly 45 percent
- In addition to the 5 million customers MassMutual currently serves, the company said it has “the opportunity to help millions more people and their families.”
As part of the transaction, MassMutual and MetLife have entered into a product development agreement under which MetLife’s U.S. retail business will be the developer of certain annuity products to be issued by MassMutual.
“Now that we’ve expanded our team to include thousands of new and talented advisors and employees–unwavering in their commitment to help policy owners and customers make better financial decisions–MassMutual has become a distribution powerhouse and pacesetter for the industry,” said Michael Fanning, executive vice president of MassMutual U.S. “This transaction puts us firmly on the path to become the number one provider of individual life insurance–and whole life insurance–in the United States.”
See Also:
- MetLife Launches New Longevity Annuity for DC Plans
- 401(k) Managed Accounts Coming from Joint MassMutual/Envestnet Initiative
With more than 20 years serving financial markets, John Sullivan is the former editor-in-chief of Investment Advisor magazine and retirement editor of ThinkAdvisor.com. Sullivan is also the former editor of Boomer Market Advisor and Bank Advisor magazines, and has a background in the insurance and investment industries in addition to his journalism roots.
