YFYS performance test has done its dash
The Coalition’s Your Future Your Super reforms, especially the contentious performance test, deserve credit for weeding out poor-performing funds and helping instil a more cost-conscious culture in super. But the test has largely accomplished its mission and its continuation undermines the system’s global competitiveness.
Industry
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Shield, First Guardian adviser has travel ban lifted
Ferras Merhi, the financial adviser central to ASIC’s investigation into the $1 billion Shield and First Guardian collapse has had his travel ban lifted by the Federal Court, despite opposition from the corporate regulator.
Shield sent almost $65 million to lead generators
ASIC is suing directors and compliance committee members of the Shield Master Fund’s responsible entity, Keystone Asset Management, for misuse of investor money. Among the allegations is that the managers of the fund sent almost $65 million to lead generators.
Entireti appoints new chair
Industry veteran Geoff Lloyd has added Australia’s largest licensee owner Entireti to his portfolio of chair roles, alongside Perpetual Wealth and Professional Planner publisher Conexus Financial. The appointment ends Fortnum founder Ray Miles’ tenure as chair after 17 years.
ASIC levy rises again as advisers hit with $600 increase
Financial advisers will see a 27 per cent rise in the ASIC adviser levy, with the FY26 levy estimated to come in at $1500 per licensee plus $3037 per adviser. Around $30 million of the $48.72 million total recovered will go to enforcement and surveillance with the rest focused on industry engagement and indirect costs.
Requiring trustees and MISs to join CSLR is the only solution
Levying financial advisers for the Compensation Scheme of Last Resort was always an arbitrary decision, and unsustainable. Given the rapidly increasing cost pressures, the government should include platform trustees and managed investment schemes in future special levies.
Opinion
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Accountants’ exemption a supply-side relief proposal, with baggage
As financial adviser numbers continue to languish, a proposal to resurrect an old idea has emerged. But the politics that led to its demise in the first place might be too much to overcome, even if it could form part of the advice supply-side solution.
AIOFP board exodus follows white label platform deal
Four directors of the Association of Independently Owned Financial Professionals have departed the board, citing concerns over the launch of a new platform in the wake of the Shield and First Guardian disaster. The white label arrangement with DASH comes in response to InterPrac advisers being blacklisted and is the controversial industry body’s second foray into platform product provision.
Advice firms need 25pc annual fee rises to be sustainable: Peloton
Advice firms will need a 25 per cent increase in ongoing fees to sustain desirable shareholder returns, according to data and analysis from Peloton Partners. The findings come as the latest Adviser Ratings Landscape Report shows the average advice practice profit margin sits at 23.5 per cent.
Putting values at the heart of advice
When it comes to strategic advice, incorporating a client’s values is just as important as their circumstances, needs and goals, according to Russell Investments. Values can also be a core consideration when selecting investments to ensure alignment with portfolios and outcomes.
Researcher Forum
Advice Policy Summit
This event is open to CEOs and senior leaders of financial planning licensees, dealer groups and boutique advice firms, along with C-suite executives in superannuation funds with oversight of advice, education and guidance.
Advisers sympathise with super members subject to poor service
Super Consumers Australia has called for improved member standards after its report found super funds are failing to answer members’ calls, with the nation’s largest fund AustralianSuper failing to answer 90 per cent of calls. But advisers who are familiar with the lacklustre service standards of industry funds also empathise with the challenge they have in delivering services with the lowest fees possible.
The biggest game in town: Inside AustralianSuper’s retirement income strategy
Since Jacki Ellis joined the nation’s biggest profit-to-member super fund as head of retirement just over one year ago, she’s been assessing and building the fund’s capabilities with the aim of delivering a fully personalised experience to all members by 2035. But that’s not to say there won’t be benefits for members who retire before that.
The ‘powerhouse’ women driving AZ NGA’s next growth phase
AZ NGA has grown into a $700 million behemoth under the leadership of co-founder and CEO Paul Barrett, who has become the public face of the group. But as the advice equity aggregator moves into its next phase of growth, it’s the counsel and experience of four key women that has become critical to driving the business forward.
Regulation