Chapter 13 – The Legacy

“Success is stumbling from failure to failure with no loss of enthusiasm.”
–Winston Churchill
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His key didn’t work. Thinking nothing of it, he tried another and then another, but none of his keys fit the office door that morning. And that’s how Ed Coyle learned that he was no longer a Pacific Mutual District Manager. Sometimes, despite being an effective and productive employee, things just don’t work out, and sometimes—it’s for the better!

Ernie Wentcher, Dad’s former Agency Manager at Equitable, knew that Dad was a producer and welcomed him back. Ernie liked Ed and wanted him on his team, renewing a business relationship that would last for many more years. In hindsight, I think that Ernie played a mentor as well as a father figure role in Dad’s life. He helped shape some of Dad’s biggest decisions, including moving his family to the North Shore after buying Bea Wentcher’s (Ernie’s wife) childhood home on Ridge Avenue in Winnetka. Ernie came from an established, successful family, and he introduced this South Side boy to a whole new world. Suddenly, Dad no longer felt like an outsider or that he wasn’t good enough.

Ernie & Bea Wentcher dining with Coyles at 215 Ridge

“He was ok with me,” Dad said, suddenly becoming very sober and serious. “He was more than ok.” I heard respect and gratitude in those words and in his voice, though it all happened oh so long ago.

1975 – 215 Ridge Avenue, Winnetka, IL—Ed Coyle Jr.

So, Ruth’s best Christmas present didn’t come in a box that year. Her husband got a new set of keys, and he returned to Equitable’s 29 LaSalle Street office, without missing a paycheck.

Equitable Life Insurance and Casualty Company was conceived in 1931, when Dr. Roderick “Doc” Ross recognized the need for an affordable way to help families through times of illness and bereavement. During the Depression, Doc watched families who couldn’t afford to bury their dead, families who were forced to surrender life insurance policies just to meet their expenses. Doc wanted to help.

He began by organizing the ”Wasatch and Summit County Benevolent Society”, composed of 500 members who agreed to pay one dollar in the event of a member’s death, and he sold society memberships door-to-door. By 1935, he had 2,100 members. On May 19, 1939, the society became Equitable Life and Casualty Insurance Company, and between 1940-1950, Equitable acquired nine more companies. By 1947, the company went public, offering life, health and income protection as well. A few years later, Ed Coyle joined the Equitable team.

Ernie Wentcher was an Agency Manager for Equitable. His agency included 20-30 sales agents and three or four district managers. Ed Coyle soon became one of those three or four district managers. His new job requirements suited him just fine. Instinctively, he was a born salesman, but at Equitable, he became a sales machine. His prime concern was to make the sale, and he had a dispassionate, take-no-prisoners philosophy about underperformers.

“You have to keep hiring. One out of three agents makes it. If they don’t make it, replace them quickly.”

Our father’s career thrived along with his new company’s success. Doc Ross’s ”Benevolent Society” grew steadily, employing more and more Ed Coyles, and within ten years, the LaSalle Street office became too small. In 1965, Ernie and Ed moved into the Equitable Building at 40l North Michigan Avenue, a very prominent and historic Chicago landmark address shared by Pioneer Court, located at the foot of this building. Jean Baptiste Pointe Du Sable built a log cabin in this very same spot in 1779.

I read about Jean Baptiste in my third grade Chicago history book, but never imagined that my father’s path would cross his almost 200 years later. This Haitian born Frenchmen was the first non-indigenous (non-Indian) resident of Chicago. Pointe Du Sable’s father was a French pirate; his mother, Suzanne, was a slave. He was educated in a Catholic school in France and then moved to Louisiana, then Michigan. He kept moving and eventually landed in Chicago with his Potawatomi wife, where he set up a fur trading post on the same site as the future Fort Dearborn, built 30 years later. The only remnant of this early Chicago history is a plaque on the Michigan Avenue Bridge. Time marches on.

This writing project has made me immensely aware of time and how fleeting and changeable it is. A cliché, I know, but a very poignant and haunting truth nonetheless. I began by writing one man’s story, Ed Coyle’s, and have discovered the stories of so many others—stories of creative ingenuity, inspiration, courage and risk taking. Makes me think about my own story. What will be my legacy? That’s a good question to ask yourself every day. As my mother often says—this isn’t a dress rehearsal!

Following Doc Ross’s company history, I learned that in 1991, French insurer, Axa, invested one billion dollars in Equitable, and by 1995, Equitable and Axa group ranked as one of the most powerful financial services alliance with more than 230 billion in assets. Unbelievable, considering that only 60 years earlier it was just a little 500-member “benevolent society” in Utah, begun by a man who was inspired by a vision to help poor, bereaved widows.

In 2009, AXA Equitable celebrated its 150th anniversary. Sadly, the tall, neon letters proudly embedded across the top of the Equitable Building are no longer lit at night, and these 35 stories of glazed bronze solar glass are now simply known as 40l N. Michigan.

The structure was designed and built by world renowned architects at Skidmore, Owings and Merrill, who also gave us the Sears (now, Willis) Tower, the John Hancock, and most recently, the Burj Dubai, the tallest building in the world. The Tribune Co. demanded that the Equitable Building be set back a respectable distance from its art deco neighbors, Tribune Tower and Wrigley Building, so as not to overshadow their trophy tower on North Michigan. On December 23, 2003, WMAQ opened a one million dollar ground-floor showcase studio at 401 N. Michigan, a stone’s throw away from Du Sable’s once humble log cabin.

Dad moved into a 29th floor office, on top of the world and on top of his game. These were his career building years, and he set upon developing a plan—The Package.

Ed Coyle’s plan always included a product that was not only different, but something that no one else could offer. He never accepted the conventional or the status quo and always tried to distinguish himself as the one with the best answer. He was a leader.

Basically, life insurance is planning. You need death benefits in order to maintain financial security and independence. Doc Ross, Equitable’s founder, understood this life and death concept, this basic human need. And so did our father, in spades. Ed’s plan was simple and the essentials were these—“keep your cash, plan for disability/death, take care of your family.” He was on the forefront of a fledgling business, life insurance planning, which ultimately, within his lifetime, transformed into Comprehensive Financial Planning.

Dad’s sense of “how to do business” was shaped by necessity—“no sale, no paycheck”. His number one priority was to accumulate commission payments in order to make mortgage payments, put food on the table and save for the future. He executed clear sales oriented goals and possessed a fearless ability to act upon opportunity and the tenacity to keep moving, changing and adapting, whenever necessary. Needless to say, his growing family made him hungry and motivated. Family responsibility was not only an integral part of his sales pitch, but a constant personal concern.

On the positive side, his children probably played a significant role in moving Ed Coyle away from ”the company” and towards independence. In the mid-1960’s, he began exploring possible ways to help finance future college costs. He delved into tax planning for his own family, and eventually applied the knowledge learned to an expanded ”Package” which he later marketed on a larger scale. In other words, he began thinking outside of the life and casualty insurance box and started contemplating tax planning. His product became more nuanced and sophisticated.He had come a long way from the ”Insured Home Owner’s Investment Policy’’ and wash & wear suit of 1953.

“He was very innovative from day one.” So says my brother, Kevin, Dad’s business partner. On October 24, 1969, Compensation Investment Corporation was born, a company designed to administer deferred compensation from Dad’s sales commissions. I was one of the shareholders, along with my other seven brothers and sisters, and our lower tax bracket ensured deductibility planning, the fruits of which became our college accounts. Second Compensation Investment Corporation was created on April 14, 1972; then 1st and 2nd Compensation were merged. Ultimately these merged companies became Consulting Research on October 11, 1977, and by 1978, Ed Coyle left his downtown Equitable office and embossed his own company name on a suite door in Northfield, IL. The Company was renamed in 1995—Coyle Asset Management Company, and once again in 2012—Coyle Financial Counsel.

Next, he applied for a securities license in 1982, allowing him to add investment products to ”The Package”. Now he not only delivered life insurance but also investment partnerships as well as stock and bond portfolio guidance. He gradually leveraged out of insurance and transitioned into the financial planning and the asset advisory business.

A license with an independent broker dealer provided the umbrella required by federal rules and regulations and compliance requirements. The brokerage firm bore a supervisory responsibility, and Consulting Research had access to their investment products—oil, gas and real estate partnerships. Our father was where he wanted to be now—independent and in the thick of a very dynamic investment period. This was the heyday of partnerships, and lots of investors were looking to raise money for shopping malls. Without question, the late 70’s and 80’s were Dad’s go-go-years.

In 1985, Dad brought Ed Kelly into the company. He also shared his office (and rent) with Clint Black at this time. They “co-officed”. That’s how Kevin described the arrangement. Ed Coyle liked to surround himself with like-minded people that he could use as a team. He was a natural networker and gravitated to “centers of influence”. Clint was a compatible office mate.

1985 brought another change. Coyle decided to charge fees for the service of selecting mutual fund market allocations. He worked these selections through Schwab, before Schwab instituted their no load trading desk. It’s all automated now, but back then, everything was done by hand. Dad’s staff had to process all the paper work each and every time they moved a fund.

At the same time he invested in some new financial software that allowed him to download client information with a phone-computer hook-up and then formulate individualized client plans from the analyzed data. Consulting Research charged a fee for these customized plans, a novel concept. Fee based planning had never really been done before. Ed Coyle was always looking for the next “new thing”, and this program was very high tech (though primitive by today’s standards). Like I said in the beginning, our father saw major changes over the course of his career, and he was eager to get out in front and ride all the waves.

Dad never advertised for salesmen, but somehow they made their way to him and asked for a chance. Gary Klaben came on board in 1988. Ed agreed to teach Gary the business with the understanding that he would have to pay his own way. His schooling began immediately.

With Gary in hand, Dad instinctively harkened back to his District Manager days and proceeded to recruit his son Kevin too, in 1989. Kevin was working as a Trust Officer in Chicago, and like Gary, he realized that he didn’t want to work for someone else for the rest of his life. So he joined Gary, and they went to school together.

They purchased the local ERISA Red Book which listed public information by zip code. These prospectors were looking for a very particular kind of gold—small businesses with pension plans of one million or more but no more than 10 participants. The Red Book listed the plan’s trustee names and addresses. Kevin and Gary divided the book between them and highlighted the small businesses. Then they bought a Chicago atlas with street markers and drew their routes, canvassing towns within an hour’s distance, including Morton Grove, Mundelein and Elk Grove. Dad encouraged them to find a way to “sweeten” their sales pitch, and with Mom’s gourmet advice, they decided to buy 100 2-pack Fanny May chocolate gift boxes. They handed these mouth watering delights over to each secretary guarding her office, along with their introductory brochure. They called them ”candy grams”, and their pitch went something like this…

“Please tell Mr. So & So that this is for him. We’ll be back next week to answer any questions and pick up the brochure. Please don’t throw it away. And here’s a little something for your trouble.”

In looking back, Kevin admits that some of their biggest clients came from candy grams.

Gary and Kevin “paid for all their own stuff”, and they have no hard feelings about it, either. Kevin plainly acknowledges that “that was part of the lesson, part of learning how to run a business. He taught me how to sell, but he made me pay for it.”

Kevin knew that he didn’t’ want to work for a big company, that he wanted his own business. He asked himself, “Who do I know that can mentor me? I’m interested in investment and taxes. Seemed like a good idea.” Gary looked for a mentor for two years before finding Ed Coyle. “It seemed like he knew what he was talking about. He put me in my place. I realized, OK this guy will be hard on me, and he’s going to teach me.”

“We did everything he told us to do for three years,” said Kevin.

“Most people won’t do that. Today kids want to sit in the big boy chair right away. We didn’t want to sit in the big boy chair. We knew we had to earn it. You can’t just hire somebody and put him in the chair. He won’t have that entrepreneurial feel, that ownership. It’s about fear and spirit—you gotta work. That’s how we were raised that first year or two. Talk about empowering!”

Kevin and Gary began assuming more responsibility in the early 1990’s. After three years of training, they began to feel competent, like they “knew what they were doing”. They were ready to step up, and it was time for their teacher to give up some control. “You don’t stay under someone’s indentureship forever,” Kevin said. Ed Coyle experienced this same transition, not just with Uncle Ray, but with his Equitable mentor, Ernie Wentcher as well.

These were dynamic times. Businesses were changing and the economy was faltering. Between 1989-1991, they not only weathered a tax revision, but a recession too, making client service a higher priority over product sales. “You need to service a plan to make sure it performs in line with client expectations,” my brother claims passionately. You need to take the perspective of the client and get on his side of the table.” And so Gary and Kevin assumed a new role—servicing Dad’s clients, as well as their own, and moving the business away from purely a sales model, towards counseling and advising.

Dad’s sales operation was evolving, and customer service was quickly becoming a new administrative concern. Up to that point, Ed Coyle never needed to attend to customer service. He focused on The Package—“it practically sold itself”. His #1 priority was sales.

Ed Coyle is a “macro guy”, a “big picture guy”. All successful entrepreneurs are visionaries. They see what others can’t even imagine yet. They are “take the mountain” guys, and they start things. But once started, there is always the next challenge—to move the company to the next level. Doc Ross’s Equitable life insurance policy is now just one part of a much bigger financial picture, a single piece of a plan that has finally come to earn not only respect, but a fee. Kevin and Gary came to understand that somebody needed to monitor the moving parts as well as manage relationships—to document and communicate.

“You must show the client what you’re doing to deserve a fee. You have to follow up, manage and make sure ”The Package” works, always keeping a watchful eye on the big picture as well as the underlying details.”

So say Kevin and Gary. I never knew how complicated and personal my father’s business had become until I interviewed my brother for this chapter. For sure this was no longer “our father’s Oldsmobile”. It wasn’t just about sales anymore.

Kevin and Gary are practically evangelistic about their “high client touch” approach, though at the same time acknowledging its drawbacks, that it is “stickier, more work and less profitable”. “Then why do it?” I asked incredulously. Without hesitating, the response was immediate.

“It’s our instinct. It’s the way we want to serve people, the same way we’d want our own family treated. And by so doing, we are adding value and earning client trust.”

So, this is how two young businessmen came to “round out their service platform”, all the while still learning from their mentor, Ed Coyle, who continued to search for new and better ways to connect with the customer. In 1990, Dad attended a seminar in California and learned about living trusts. Like I said before, Ed was a supreme networker and knew how to work a room, looking for new ideas and the smartest person with the most experience, someone who could teach him something. He had a theory, “There are only one, two, or three percent of people who know what they’re talking about.” He wanted to be in that top three percent. Our father had high standards for himself, for those around him and for his company. He was determined, hardworking and never took anything for granted. And he sure didn’t want to be left behind. His mantra…

“Invest in your business; invest in good people; invest in your process.”

After returning from California, Ed decided to sponsor his own living trust seminars. This was a powerful sales tool that really helped Gary and Kevin dig into the core of the business and learn about estate planning. But Ed wasn’t satisfied, and he kept looking. He called in a marketing consultant who developed a turnkey” seminar—“Asset Allocation”, a concept that finally put them in the sweet spot, a compelling idea with a very motivating title.

”How to Manage Your Money and Reduce Fear”.

This can-do-how-to presentation resonated on a very basic human level and produced plenty of appointments, leading to more cold call experience for Gary and Kevin. They look back on those days with honest appreciation. “We cut our teeth” thanks to these seminars. I remember those days too. Projectors and movie screens needed transport, menus had to be selected and reservations made at the local country club. All hands were needed to make it happen. It was a busy time for Coyle and Company.

This seminar period continued through 1996, and Kevin maintains it was “tough sledding” but worth the effort. Their client base grew steadily, and soon they no longer needed those Fanny May 2-packs. Their cold calling days were officially over, and new clients now came from referrals. And Consulting Research became Coyle Asset Management Company. A new name and a new face. Their asset advisory practice had combined with a new customer service platform, turning them into investment advisers. They were no longer commission salesmen.

In the mid-1990’s, Ed Coyle began to step back. His partners were well trained, growing the business and assuming more management responsibility. Feeling the company to be in good hands, he decided to travel. So, Ruth and Ed took a “trip around the world”, to Asia, Africa and India. He did it for business reasons. Dad was never good at rewarding himself and could only justify travel if done for practical purposes. He considered it a “research” trip, so he could tell his clients, “This is what’s going on in the world. This is what is impacting your investments.” And he bought some beautiful oriental rugs along the way too.

I don’t know how much my father enjoyed traveling, but I do know that he has three loves—his wife, his business…and golf. This third love eventually motivated Ed Coyle to finally buy something for himself, after 40 some years of hard work, worry and providing for eight children—a condo in Palm Desert, California. I have visited my Dad’s golf retreat five times over the last ten years and still marvel at the desert’s ability to transform him. “Look at the mountains!” he commands delightedly. “Aren’t they beautiful?! Every day here is just like a hot fudge sundae.” Dad finds a measure of peace here.

Needless to say, Ed and Ruth quickly became snow birds and spent 4-5 months in Palm Desert. This accelerated the management transition that had already begun. It was time to turn things over to his successors. His clients needed a full-time caretaker, and Kevin and Gary were ready to take on the responsibility.

In building a business, if you’re lucky, there comes a time to harvest what you’ve gained, to protect what you’ve earned. In the building stages, you focus on growing revenue, on repeat business—on ”sales”. When your company matures, however, your focus changes.

By the late 1990’s, Coyle Asset Management was on the horns of an entrepreneurial/management dilemma. Ed Coyle’s drive and ingenuity had produced a thriving planning and advisory business with twelve employees, but now some management decisions had to be made. Many companies hit a wall when entrepreneurs don’t know how to manage, but Ed Coyle is a lucky man. It was his great fortune to have schooled, tested and challenged two young men, never imagining that he was grooming them to take his operation to the next level. Kevin and Gary had ”invested” ten years in Coyle Asset Management to date, developing their own clients while also servicing Dad’s, and as far as they were concerned, it was a ”long term” investment.

And so the evolution of a business came full circle—from one individual to a team. Kevin explains.

“We wouldn’t be here without Dad, obviously, but we also needed Gary’s instincts, mind and gut. Without Gary, the company wouldn’t be here. And without me, it wouldn’t be what it is today either.”

It all began with an idea and a man with fierce determination and initiative, and in the end, good management decisions will make it all last. It began with life insurance policies and became a consulting approach that Gary and Kevin call their ”Advocacy Process”.

Ed Coyle’s protégés continue to keep his entrepreneurial spirit alive. The company now numbers 15 and recently moved into a beautiful 4th story office with a commanding view of the Chicago skyline and a spacious conference room equipped with the latest technology.

2700 Patriot Blvd., Glenview, IL–Coyle relocated here in June 2006

Coyle’s Glenview office art work featured in Chicago Art Source brochure

Coyle Financial Counsel continues to invest in advances that improve their ”Advocacy Process”.

“Dad was always about staying ahead of the curve, and that’s what we’re all about…which is kinda cool!”

Kevin is unapologetically proud of what the business has become and is passionate about it too.

“It’s about making a difference in people lives. It’s about representing their affairs with passionate vigilance.”

In the spirit of objective journalism, I had to ask Kevin one more question. “Will it last?”

His answer was enthusiastic. “Yeah, oh yeah, it’s going to thrive!” For a moment, I thought my Dad was in the room. My brother is truly his best student.

Business partnerships can be downright disagreeable sometimes, and father-son relationships are just plain complicated. Put the two together, and you might get some real fireworks. Kevin has gained some wise perspective along his way.

“My father is always telling me what to do, but that’s his job. And often, what he says is right. His message was legitimate. He just happens to be my father. I’m not perfect. No one is perfect. Why expect perfection from our parents? That’s the problem with generational communication. Separate the message from the messenger. All I know is…the glass is half full. Working with Dad has taught me humility.”’

Finally, I asked Dad’s business partner/son, for the nuggets, the heart and soul of what makes Ed Coyle effective. He started by saying. “I benefited from his 40 years of prospecting, selling and getting to the yes action. He taught me how to ask for the order.” Then he continued as if channeling Dad, eerily sounding just like him. By the time he was finished, I was ready to start cold calling myself.

“Use the Body System and get your Body in front of Somebody. Fill up your appointment calendar; do your case work at night and on weekends and prospect, prospect, prospect. Effort, effort, effort. Discipline and determination. Is Tuesday morning all right or is Wednesday morning better?”

Then Kevin got philosophical.

“He was passionate. He was a preacher. This works very well for people who are looking for a leader, but it didn’t always work when Dad butted heads with another Type A who didn’t want to be broken. People gravitated to him for leadership. He could take charge and help them make decisions. He was high energy.”

Finally, he became reflective.

“The experience that Gary and I had with Dad prepared us not only to take our company where it needed to go, but also to practice the type of counsel we give our clients today. Dad started from a dead stop. Gary and I stepped in at 2nd base. We had momentum and a different life story, giving us the confidence to evolve from sales to a service model. Dad’s dream was always to create something that survives him. Now it’s our turn to hopefully do the same.”

Coyle’s mission statement has always been simple. Originally it was Sales. By necessity, it became PR. With wisdom, it developed into Service. A few pages ago, I engaged in a little self reflection about life, mortality and legacy. As I listen to my brother’s heartfelt words, I know without a doubt that this is my father’s legacy—not just a company, but a man.

He should be very proud.

Open House, October 26, 2006 – Coyle Financial Counsel, est. 1972 – (moved from Northfield, June 26, 2006)
Front—Ryan Coyle, Kevin Coyle, Ed Coyle, Tara Coyle, Bryna Coyle, Gail Coyle, Kathy Blackshaw Coyle, Colleen Danstrom Coyle, Ruth Coyle; Behind—Roger Blackshaw, Rich Danstrom, Ed Coyle II, Sean Coyle