When knowledge saves time and avoids the risk of rejection
If you’re thinking of applying for a limited Australian financial services licence (AFSL) and have been keeping an eye on the industry media, you’ll know that nearly half the applications received by the Australian Securities and Investments Commission (ASIC) have been rejected. So, why is the rejection rate so high, and what can you do
December 20, 2015
‘Would you like financial planning services with that?’ and other lessons from the US
A Melbourne-based independent financial planning firm has urged other planners to test their business models against the innovative US market after they radically transformed their business model following a series of fact-finding tours in the US. Innate Financial Services Group’s Shane Nicholas, Luke Eres and Mirko Cugura (pictured) headed stateside more than half-a-dozen times in
December 17, 2015
Suffragettes need superannuation – and financial planners
Women access financial planning less than men, earn less than men, accumulate less than men and retire with less than men. But they live a lot longer than men. One-third of women receiving an age pension live below the poverty line. Single women who do not own a home suffer the most – they are
December 17, 2015
Cover story: Searching for balance and what’s best for your own needs
Financial planning is a technically demanding career requiring specialised knowledge of financial products and relevant policies and regulations. Practitioners are legally obligated to only provide advice that is in the best interests of their clients. They spend a lot of their time focused on what is right for the client, but how often do they
December 17, 2015
Reflections from key individuals put the past year in perspective
It has been a year when we were invited to consider life on both a human and a cosmic scale. We witnessed the continued rise of Islamic fundamentalism and its humanitarian and geopolitical consequences; and we saw for the first time details from the surface of one of the furthest objects in our solar system.
December 17, 2015
Does your client’s previous advice need a fresh pair of eyes?
The obligation to review financial advice arises implicitly from several licensee obligations related to supervision of representatives, acting fairly, and having adequate risk management and compensation measures in place (Corporations Act 2001, ss. 912A, 912B). Advisers are also required to act with reasonable skill, and to provide personal advice that is appropriate and in a
December 15, 2015
A quick recap on SMSF limited recourse borrowing arrangements
The biggest change – or more accurately the biggest non-change – in the government’s recent response to the Financial System Inquiry (FSI) is its decision not to act on a recommendation to “remove the exception to the general prohibition on direct borrowing for limited recourse borrowing arrangements [LRBAs] by superannuation funds”. More specifically, the final
December 15, 2015
Guardian shutdown signals the beginning of the end for external institutional advice
Suncorp is offloading its external advice channel Guardian. In recent times we have seen netwealth ditch Financial Planning Services Australia, and also the much-publicised Genesys shutdown by AMP. Other channels are likely to follow. It is very difficult for the advisers caught up in this process. They will be inundated with offers as other licensees
December 13, 2015
Empathy key to success for Associate Financial Planner of the Year
The FPA Financial Planner AFP of the Year winner has warned that financial planners must hone their “soft skills”, like empathy, or risk being left obsolete by new technology. Taking out the award at age 29, ipac South Australia’s John Molnar says he entered the profession more than a decade ago to help people out
December 13, 2015
IN FOCUS: Time to concentrate on fund manager performance
Every equity fund manager has a favourite stock story. Irrespective of how a manager picks stocks, there is invariably one – and sometimes there are a few – that stand out from the rest of the market and which demonstrate powerfully how the manager does its job. But these stocks may not have a chance
December 13, 2015
Compliance costs should fall on planners who shirk association membership
The Financial Planning Association of Australia (FPA) says financial planners should be required to fund an independent compliance supervisory body that monitors their adherence to an ethical code if they choose not to become members of professional associations under proposed new laws. The FPA’s stance comes after the government chose not to mandate membership of
December 10, 2015
