What comes down must go up: How to react when US interest rates rise
Distracted by the drama in Greece and China, investors may have overlooked that the end of the easy US money era is coming to an end. The messages from the Federal Reserve have little ambiguity, even when its words are chosen carefully. The cost of borrowing will shortly rise in the US. This begs the
August 08, 2015
Industry funds could be key in restoring public confidence in advice
Industry superannuation funds are ideally placed to fill a gap in the advice market for individuals who fall outside the retail planning industry’s typical demographic, according to a report released yesterday. Conducted between December 2014 and May 2015 and spanning 19 not-for-profit funds serving 10 million members, with $314 billion in assets, the study was
August 06, 2015
A focus on people will underpin the professionalisation of financial planning
It’s fair to say that compliance, a focus on clients’ best interests and adherence to ethical and professional standards are not uniformly good across the financial planning community. Some individuals and some businesses clearly do these things much better than others. Processes and systems are no guarantee of a healthy and ethical culture; and a
August 06, 2015
Opportunities abound in the global rise of the independent financial adviser
The evolution of financial advice in Australia from a transactional sales process to a true profession servicing clients is now widely seen as representing an enormous opportunity, not only for clients, but for advisers themselves. Just ask Dave Butler, the US-based head of the financial adviser business of global asset management firm Dimensional. After working
August 06, 2015
SSFS puts finishing touches on $50 million financial planning overhaul to enter ‘digital era’
State Super Financial Services (SSFS) is putting the finishing touches on a $50 million overhaul of its processes and systems in a move it says will significantly enhance the delivery of advice through its 160 financial planners across the country and enable it to begin looking outside its traditional NSW public sector client base. SSFS
August 04, 2015
Changes to terminal medical condition definition provide more flexibility for SMSF members
Before 2008, having a terminal medical condition was not a “condition of release” for superannuation. Under the early-release provisions that existed before then, a terminally ill member who had not ceased work was restricted in terms of the amount of the benefit that he or she could access. However, all that changed in 2008. Since
August 04, 2015
Self-managed super fund White Paper: Part 6 – What does it all mean?
In an exclusive six-part series developed especially for the SMSF Association state technical conferences, Darren Stevens, Bravura Solutions’ director of product management and strategy, explains how social change and technology are driving the evolution of superannuation platforms. Based on Stevens’ presentation to the conference, the series identifies the five key trends having the greatest impact
August 03, 2015
Sometimes it’s just too hard for a planning licensee to say goodbye
Financial planning licensees that effectively impose exit penalties on departing practices are counter-productive to businesses seeking to retain good planners, according to Grahame Evans, managing director, GPS Wealth. “They’re making it all but impossible for people to accept transfer agreements,” Evans says. Payments linked to professional indemnity (PI) insurance run-off cover and requirements for positive
August 02, 2015
A band-aid is not enough to improve the long-term wellbeing of the profession
One day “financial planning” will be accepted as a worthwhile profession, “financial adviser” will be considered a worthwhile title, and both will be held in high regard. However, we all need to accept that this is not an overnight shift – it will take a decade or longer to iron out the embedded culture of
August 01, 2015
‘Fat and happy’ platforms in the line of fire with fintech disruption set to escalate
Technology that equips self-managed super fund advisers to compete effectively with larger institutional players will be a major source of disruption in the advice industry over the next few years. Darren Stevens, director of product management and strategy for Bravura Solutions, told the SMSF Association state technical conference earlier this week that platform providers underestimate
July 30, 2015
Fintech not thintech: The growing demand for flexible technology
Given that financial services revolves around trading information and counting money, digital technology would seem like a natural fit. Yet many of our larger financial institutions are not taking advantage of the accounting and communications edge that the rapidly evolving digital world is providing. It is ironic to see an industry driven by time and
July 30, 2015
