Fred H. Jonske has served as president and CEO of M Financial Group since 1996. He holds a bachelor’s and a master’s degree in mathematics from the University of Michigan. He is a fellow of the Society of Actuaries and serves as a member of the American College Board of Trustees, the ACLI Financial Services Steering Committee, the American Academy of Actuaries and the AALU.
Prince: What do members gain from being part of M Financial?
Jonske: M Financial Group offers member firms a number of advantages. Our commitment to innovation provides access to more than 25 exclusive products from six carriers, each priced specifically for the affluent client using our superior mortality, persistency and expense experience. The experience of member firm clients is segmented by the carrier, so the carrier also enjoys the benefits of the superior experience.
Our commitment to collaboration facilitates a forum in which member firms can build relationships, share ideas and enhance the value they deliver to clients. While each member firm controls its own destiny as an independent organization, they can also leverage the creativity and knowledge of the combined group and are encouraged to reach out to others in the M community to network, learn and share best practices.
Our commitment to client advocacy—which is evident in everything we do, from product development to reinsurance, in-force management to service—helps our member firms further differentiate themselves from competitors and exceed the expectations of the affluent market. We understand that member firms have choices, so we are continually refining these advantages to make sure they align with what member firms want and need. But most of all, we are focused on the client—if we do everything we can to ensure they succeed, we will succeed as well.
Prince: What are the requirements to become an M member firm?
Jonske: Becoming a member firm is a rigorous process that typically takes 12 to 18 months. We have a very distinct culture—collaborative, entrepreneurial, innovative—and we want to be sure that our relationship with a firm is mutually beneficial for the long term. For this reason, we talk to 18 firms for every one that we invite to join the M community.
In addition to having prospective firms visit with our team in Portland, Ore., we visit the firm’s offices and meet their team. Prospective member firms are focused on the affluent market and have production requirements, but more importantly we want to see a passion for, and ability to, grow sustainably. New member firms must have demonstrated leadership in their respective communities through involvement in charitable or industry-related organizations.
Finally, it is critical that a new firm is willing to get involved and be part of the collaboration critical to our success. We’ve learned the hard way that if a firm just wants to be part of M to access proprietary product or in-force management, but does not want to connect with others to share and learn, they are better off going somewhere else.
Prince: How does M Financial stay at the cutting edge of the industry?
Jonske: The vision of our member firms, coupled with our ability to execute, is the driving force behind our innovation, which touches product, service, technology and relationships. Every day our firms are in front of affluent families—and their attorneys, CPAs and family offices—working to address a need or an objective. Because they are closest to the market, they are better positioned to see opportunities to differentiate.
Then they communicate these ideas—through our unique governance structure where member firm principals comprise the two dozen committees and task forces that guide our strategic development in key areas—to the leadership team in Portland. With the involvement of the experienced and dedicated professionals in Portland, who bring industry knowledge, technical expertise and execution capabilities, we come up with solutions—together. If there is a product that will more effectively help a client meet their goals, we work with our partner carriers to build it. If we can streamline the underwriting process to make it more efficient for the client, without compromising protective value, we deploy a project team to make it happen. If our firms see increased emphasis on carrier financial strength, we explore relationships with carriers—like TIAA-CREF Life Insurance—where we can deliver this financial strength, exclusively, to member firm clients.
Our firms will always put the pressure on us to execute on their vision and deliver results for clients, and we wouldn’t have it any other way.
Prince: What are the goals of the organization over the next few years?
Jonske: M Financial is a company born from disruptive change—we introduced the producer group model that has allowed us to advocate for clients in meaningful ways. So creating that next disruption in the industry that benefits clients is very important to us.
Growth is also a perpetual priority for M Financial and we spend a lot of time with firms, our board and our partner carriers to identify areas where we can accelerate our growth. First and foremost, providing differentiated life insurance and executive benefit solutions, products and services to affluent individuals and Fortune 1000 companies is our top focus and we always want to do it better, more efficiently and in ways that clients truly value. We are also exploring ways to meet the needs of the emerging affluent, who we think can benefit from M’s differentiation, and the international citizen, foreign nationals who have an interest in U.S.-based or offshore products. Technology—from service delivery to social media—is another key component of our strategy.
More than anything, we want it to be clear to everyone that we are the premier client advocate in the financial services industry—not because we say we are, but because we demonstrate it and clients recognize that we do it because they see the results firsthand. We are proud of our accomplishments over our first 35 years, but there is much to do in the years ahead.
