Looking back through the Professional Planner archives, it’s striking to note how many of the same themes present themselves; the quest for professionalism, fee models and the compliance burden were issues as vexing then as they remain today.
The industry has come a long way since 2010, however. Technology took a giant leap with the advent of managed accounts and full-service platforms, but lagged in the area of client relationship management; has Xplan really changed?
More importantly, the FoFA reforms, the education mandate and the ongoing rollout of reforms stemming from the Hayne Royal Commission have dragged the industry in the right direction. There is still a long way to go, and a lot would argue that some of the steps taken over the last decade have seen the industry go backwards. But little by little, advice is growing closer to something resembling its final form.
Of course, ‘final form’ is a misnomer. The advice industry will evolve constantly. But taking a peek back into the industry ten years ago is a reminder that by and large, this evolution is taking it to a much better place.
Here we have the ten stories from Professional Planner in 2010, in no particular order.
A great deal was expected from the Parliamentary Joint Committee (PJC) report into financial products and services. Like many things in life, the anticipation overwhelmed the reality. There was a sense of anti-climax when the report was released.
The Henry and Cooper reviews are the keys to achieving long-term stability and confidence in the superannuation system, according to the Minister for Financial Services, Superannuation and Corporate Law, Chris Bowen.
History will record the global financial crisis (GFC) as a painful but ultimately productive punctuation mark in the development of the financial planning industry. Perhaps more than any other single event, the GFC will be seen as marking the point at which the financial planning industry shifted from being a transactional, investment-and-product-focused industry, to one offering principally strategic advice and services – and charging for the provision of those services rather than for the sale of products.
Saturday, February 7, 2009 has become known as Black Saturday. On this day, Mother Nature showed us how fierce, terrible and unpredictable she can be. Despite the best plans and equipment, lives and infrastructure simply couldn’t withstand 1000-degree fire temperatures.
Rod Bertino says that even though the pace of change in the advisory profession shows no real signs of abating, the anecdotal feedback confirms that market sentiment is slowly improving and confidence is on the rise.
The new chief executive of the Financial Planning Association of Australia (FPA), Mark Rantall, has a message for members or former members who believe the association has caved in to pressure from regulators, consumer groups and the media: “The FPA is not rolling over.”
The past year has seen a flurry of government reports, ministerial announcements and even legislative change in the world of financial planning. If you can climb over the wall of noise that this generates, wade through the sea of newsprint dedicated to dissecting and (often) misinforming you about these changes, and navigate your way through all the detail – then, if you’re very lucky, you’ll make it to the safe and quiet shores of tomorrow.
The debate about professionalism continues to permeate the financial planning industry, with much discussion about what it might involve. I want to make it clear that this shift is something that I wholeheartedly endorse – as advisers we have a duty towards our clients’ wellbeing. The steady progression towards professional status will only assist us in meeting this responsibility. But what I am questioning is the form of professionalism that we choose to adopt – or the mechanics, if you will.
In an exclusive roundtable session with Professional Planner and Investment magazines, the Assistant Treasurer and Minister for Financial Services and Superannuation, Bill Shorten, discusses the government’s reform agenda – the key issues, and timing.
Paul Barrett says the industry is getting its message across about the value of advice, and is starting to attract high-calibre recruits.