A number of factors can lead to various product-mixes within an advisor book. To name a few, an advisor's personal preferences, incentives, and industry trends at the time of sale can impact the composition of a book.
In our experience, there are inherent policyholder-value issues with some insurance products more than others. In addition, clients often transition between long-term and short-term product strategies depending on the circumstances of their life.
The internal growth opportunity can verify subtantially depending on the types and status of policies in a book. It is important to conduct a comprehensive policy analysis during a book valuation to understand the true value behind each of the policies.