Smarter investment proposition will drive half of all efficiency gains for PIS financial planning practices
More than half of a targeted 50 per cent reduction in the back-office expenses for Professional Investment Services financial planning practices will come from switching to managed accounts, the chief executive officer of Centrepoint Alliance (CPAL), John de Zwart, says. About 12 months ago, CPAL unveiled an efficiency program designed to slash the amount of
March 04, 2015
Planning software a key way to boost advisers’ client facing time
Next to client service, compliance is a leading priority for financial planning firms. Planning software is one way planners seek to improve compliance efficiencies and minimise risk to their clients and business. A new report has found financial planning software heavyweights Iress’ XPLAN, Rubik Coin and AdviserNETgain are still the top three providers of this
March 04, 2015
COVER STORY: New thinking is reshaping retirement strategies and portfolio construction
Many of the traditional tools used by financial planners to set retirement income strategies just aren’t up to the job any more. And as strategies evolve, they demand new, innovative and flexible product solutions. Technology continues to evolve to allow far more complex strategies to be developed and implemented. The optimal path from employment to retirement is
March 04, 2015
Licensees urged to have ASIC register information verified
At the end of March the first phase of the Australian Securities and Investments Commission’s financial advisers register (FAR) will go public. Between now and then, every Australian financial services licensee must ensure they have provided details about their advisers’ past employment details. By the end of May, when phase two of the FAR goes
March 02, 2015
Costello, Murray at odds over borrowing inside super
The former treasurer, Peter Costello, says the Financial System Inquiry’s (FSI) proposed banning of lending inside self-managed super funds is unnecessary. “People who go into SMSFs are people who know business…taking on some debt is not unusual for these people. They by and large are people who’ve put together a few assets and are by
March 02, 2015
Why effective retirement advice is about probabilities, not forecasts
Managing risks and dealing with uncertainty for clients in retirement puts the onus on planners to present clients with probabilities and options, not straight-line return forecasts. Consultant Paul Maddock, who has previously worked with MLC, BT and SFG, says the planning process should start with a detailed discussion between the planner and the adviser on
March 02, 2015
Bashford contemplates life after AMP and says the Futuro is bright
Two years short of a planned five-year engagement with the financial service giant AMP, Futuro Financial Services is now looking forward instead to life as a newly single licensee. AMP acquired 10 per cent of Futuro in 2012, and initially intended to move to 100 per cent ownership by 2017. Yesterday Futuro announced that for
February 27, 2015
IN FOCUS: Direct fix for bond investors
The rising life expectancy of Australians and the rapid growth in self-managed super funds (SMSFs) are fuelling a resurgent interest in fixed-income investment for financial planners and their clients. As a key defensive asset class, bonds are particularly important for investors requiring a reliable income stream and stable growth. “They’re looking at the risk of
February 27, 2015
IOOF to review models and APLs as Drennan unites research teams
One of the first tasks facing Matt Drennan, appointed last week as group head of research and portfolio construction for IOOF, is uniting two research teams that have come together following the acquisition of SFG Australia by IOOF in May last year. “It brings together two key responsibilities,” Drennan says. “One is the research team
February 25, 2015
Time to act before the benefit of the doubt is gone forever
A lot has been said about the “benefit of the doubt” recently. As the scandal engulfing National Australia Bank develops, any doubt about the need for deep, fundamental change in the financial planning industry is fast evaporating. In the wake of revelations of similar issues at Commonwealth Bank, NAB’s issues merely seem inevitable. It’s almost
February 25, 2015
Reframing the retirement conversation is the key to effective planning
Longevity is no longer an emerging issue for financial planners and their clients; it has emerged. It’s leading to new questions that are reframing conversations about retirement planning. “How long do you have left?” is fast supplementing the traditional questions around risk tolerance and age-based investment issues. How long a client can actually expect to
February 25, 2015
US President Obama joins push to ban conflicts of interest in financial advice
US President Obama has unveiled new rules for financial advisers requiring them to place their clients’ interests ahead of their own. In a measure that resembles the Future of Financial Advice (FoFA) best interests duty, Obama said he was “calling on the Department of Labor to update the rules and requirements that retirement advisers put
February 24, 2015
