Why ethics trumps regulation in creating a healthy corporate culture
As the managing director of BT Investment Management, Emilio Gonzalez routinely encounters conflicts of interest – conflicts between, on one hand, what might be best for the business that employs him and, on the other hand, what might be in the public interest, or in the interests of society more broadly. Gonzalez (pictured) says he
September 03, 2015
COVER STORY Let’s talk about ethics: Holding professionals to account
Most of us believe we know the difference between right and wrong. Unless our aim is explicitly to take advantage of others, then we believe we can generally identify and do the right thing. And even if exploitation were our prime objective, we’d probably still know, deep down, that it’s not the right thing to
September 03, 2015
Graduate talent and sustainable financial planning businesses sit side-by-side
Financial planning practice principals have considerable room for improvement in attracting young talent and planning their own succession, according to a national study conducted by Zanetti Recruitment and Griffith University. “I think there are a lot of professions that utilise graduates far better than we do and I think the industry as a whole [including]
September 01, 2015
Moving beyond ‘growth’ and ‘defensive’ labels to focus on the risk that lies beneath
A debate is raging in the superannuation industry and it centres on the definition between growth and defensive assets. Those classifications have acted as signposts on the pathway to deliver better risk-adjusted (or more precisely volatility-adjusted) long-term returns for so many years that the terminology has become standard. Question marks have been raised at the
September 01, 2015
AIOFP’s latest message to members slams the AFA and FPA and reveals the association’s offensive
Infighting between financial planning industry and professional associations has kicked off again with the Association of Independently Owned Financial Professionals (AIOFP) directly attacking both the Association of Financial Advisers (AFA) and the Financial Planning Association (FPA), along with the Financial Services Council (FSC) for being “institutionally aligned” and therefore not representing the interests of financial
September 01, 2015
First of the Professional Planner|Zenith Fund Awards 2015 finalists revealed
On October 9 this year, the winners of the Professional Planner|Zenith Fund Awards 2015 will be announced at an event at Ivy Ballroom in Sydney. Today Professional Planner reveals the first tranche of finalists in these prestigious funds management awards. The first tranche covers nine of a total of 19 fund categories, which include Distributor
August 31, 2015
Archaic client charging methodologies continue to plague financial planning
Financial planning is still dominated by outdated charging methodologies which considerably disadvantage clients, according to Jim Stackpool, principal of Certainty Advice Group. Stackpool identified the new model of financial planning practices, what he terms ‘generation four’ businesses, as those that make their money through advice and not products. “We still have archaic means of charging
August 28, 2015
Exclusive guide for accountants on best licensing solutions before 2016 deadline.
Accountants who currently give advice on setting up or winding up self-managed super funds (SMSFs) have been urged by both the SMSF Association and the Australian Securities and Investments Commission (ASIC) to get moving on an appropriate Australian financial services licence (AFSL) solution before time runs out. ASIC has reminded accountants who do not already
August 28, 2015
CPA Australia’s new financial planning venture exposes a tangled ethical web
The controversial announcement by accounting body CPA Australia that it is establishing an independent (section 923A-compliant) financial planning business is both commendable and curious. It’s commendable because the initiative publicly demonstrates CPA Australia’s strong support for adoption of the highest ethical standards by members offering financial planning services, as originally proposed by the Accounting Professional
August 28, 2015
Cashflow service could become a nursery for Gen-Y financial planning clients
A quirky “non-financial planning” business model built around low-cost cash flow management rather than traditional full-service advice is expected to become something of a ‘nursery’ for prospective clients. James Williamson, principal of Sydney north shore-based financial planning practice Millhaven Financial Services – which operates under the Australian Financial Services License of AMP’s Charter Financial Planning
August 27, 2015
China stock market decline is really no more than a nod to reality
If Shanghai’s stock market correction in July suggested that investors should be watching China not Greece, then the recent devaluation of the yuan confirmed it. What’s happening in Greece is largely irrelevant compared with the unfolding drama in Asia. Trying to work out the implications of Beijing’s dramatic intervention in the currency markets is complicated
August 27, 2015
From cash and churn to crash and burn
The roar of disapproval that greeted John Trowbridge’s review of the life insurance sector in March this year has died down to a hum of dissatisfaction. In mid-April, Assistant Treasurer Josh Frydenberg declared the industry had only weeks to put forth a credible alternative. In response, the Financial Planning Association (FPA) came together with the
August 27, 2015
