Jefferson National Financial Corp. (JNFC) has announced plans to relocate its company headquarters from New York to Louisville, creating 95 jobs at an average annual salary of more than $85,000. In addition, the company plans to more than double its existing 14,000-s.f. office space in Louisville, where it currently employs a staff of 55.
Jefferson National Financial serves more than 43,000 customers nationwide and distributes financial products and services through a nationwide network of 1,600 Registered Investment Advisors and other independent fee-based advisers.
JNFC CEO Mitchell H. Caplan said $2 million in tax incentives preliminarily approved by the Kentucky Economic Development Finance Authority were a significant factor in the company’s decision to grow and expand in the Louisville area. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets.
JNFC’s expansion plans follow an $83 million management buy-out of the company, led by Caplan, the former CEO of E*Trade Financial, who joined JNFC in 2010.
“Starting in 2005, Jefferson National completely re-engineered the way variable annuities are bought and sold with a singular focus on serving fee-based advisors,” Caplan noted following the buy-out announcement. “Transforming the product with a proprietary technology platform, and rebuilding the distribution from the traditional wholesaler-driven model to a unique direct-marketing model, we have been able to dramatically reduce costs, create greater consumer value and become the leading variable annuity provider to the fee-based channel.”
“Jefferson National Financial Corp.’s proprietary technology and unique distribution model have positioned them as a leader in the fast-changing financial services industry,” said Daryl Snyder, vice president of economic development at Greater Louisville Inc. “We’re delighted they see Louisville as the right location to attract the talent they need as they grow their corporate headquarters.”