As it exits advice, incoming BT Financial Group chief executive Matt Rady sees the firm’s position in the market as an “enabler” of advice, not a provider.
The firm understands its role is no longer in giving advice; its collegiate adviser group – Kon Costas’ Principals Community – went solo late last year which followed the sale of Securitor and Magnitude Group to Veridian Advisory in 2019.
“We’re not an adviser, that’s a business that we exited and there are opportunities with investments and platforms,” Rady tells Professional Planner.
“Where the conflict arises is when you’re the person in the middle that’s making the recommendation of where to invest and that is something we do not do.
“Advice is really important for Australian retirees and we see our business basically enabling advice for as many people as possible and [to] be in the business of making that advice more efficient.”
But Rady says the advice industry, notwithstanding its challenges, is more settled than it has been over the course of the last few years.
“There’s a real focus back on clients and for BT, the purpose and what we’re trying to do is bring some real unrelenting focus back on our customers,” Rady says.
“Over the course of the last few years we’ve just been distracted by the myriad changes that’s been going on, so it’s about simplifying the business and bringing it back to its root purpose.”
When it comes to how the relationship with advisers will now work, Rady says the strategy is around “doing the little things well”.