Everybody shut up! The adviser’s eight-step guide to seeking Fundamental Truth
In the digital age and the era of the 24-hour news cycle, advisers are bombarded with information and data. This “noise” is the adviser’s natural enemy, but without a disciplined approach to staying focused on what’s important it’s impossible to make sound long-term investment decisions for clients, according to Paul Taylor, portfolio manager for the
August 06, 2014
Move away from institutions sees non-aligned licensees driving innovation
The advice market is in a significant period of disruption. I would even say it’s at a pivot point that will shake the foundations of the value propositions being provided by different licensees. The long-held consensus view is that the market share of financial advisers operating under a vertically integrated licensee oscillates between 75 and 85 per
August 06, 2014
Let the regulator regulate and leave professionalism to the pros, says SPAA
Self-regulation of financial planning is a real possibility of the Parliamentary Joint Committee (PJC) on Corporations and Financial Services inquiry into proposals to lift the professional, ethical and education standards in the financial services industry. The chief executive officer of the SMSF Professionals’ Association of Australia (SPAA), Andrea Slattery, says the creation and enforcement of
August 04, 2014
Technology to play bigger role in financial advice, but legislation lags
New technology offerings are enabling financial planning firms to lift their disclosure standards well beyond current requirements, according to the head of a specialist technology provider. Julian Plummer, managing director of Midwinter Financial Services, a specialist firm providing financial planning software, says they are experiencing more demand than ever. “Disclosure is now more important than
August 04, 2014
FORUM: Why success is is simple as A, B, and C
Success looks different for every financial planning firm. But a Professional Planner/MLC Advice Partnerships forum has identified some of the common elements. And it all starts with the client. In practice management terms, that means segmenting clients into relevant and distinguishable groups, and ensuring that the service the firm offers to each segment is both valued
August 04, 2014
Strong growth prospects ahead for SMSF advice: Core Data
A majority of self managed super fund (SMSF) advisers expect revenue from SMSFs to grow by more than 10 per cent over the next three years, according to a new study from Core Data. Conducted between the end of March and start of May 2014, the SMSF Professionals Study asked 101 questions of an overall
August 01, 2014
What will end this nightmare of shonks and greed, of clowns and cowboys?
Sometimes the financial planning industry lives right down to its reputation. It’s just a bad joke, a recurring nightmare of shonky advisers, stupid and greedy licensees and a rapacious, self-first culture. Relatively few financial planners and licensees suffer these shortcomings, but that is cold comfort while clowns and cowboys continue to generate all the headlines.
August 01, 2014
AFA code precursor timely as PJC turns its attention to standards and regulation
The Association of Financial Advisers’ release this week of a paper entitled Code of Conduct – 6 Principles of Professionalism sets the scene for the association to produce a full-blown code of professional conduct in coming months. Its release is timely. Codes of conduct will form part of a current Parliamentary Joint Committee (PJC) on
August 01, 2014
FoFA regs debate not dead, just resting, as opposition tables further disallowance motion
The Federal Opposition is seeking to force Finance Minister, Senator Mathias Cormann, back into Future of Financial Advice (FoFA) negotiations, according to Senator Sam Dastyari and Bernie Ripoll, Shadow Minister for Financial Services and Superannuation. A further motion for the disallowance of FoFA regulations was tabled in the Senate on July 16, 2014 – the
July 30, 2014
PIS rethink on compliance was key to emerging from EU with a clean bill of health
When Professional Investment Services (PIS) entered into an enforceable undertaking (EU) in 2010, the business was widely regarded as a basket case. The Australian Securities and Investments Commission (ASIC) had a long list of concerns with PIS, its systems and processes, painting a picture of a financial planning licensee seemingly struggling to do even the basic
July 30, 2014
SMSF wills versus testamentary trust wills – what’s the verdict?
Estate planning for clients with a significant balance in a self-managed superannuation fund (SMSF) has always posed special issues for the professional planner. One view is that, to promote certainty for dealing with the client’s super on death, plus provide asset protection and potential tax savings on investment income, the client should make a binding
July 30, 2014
Brotherly love won’t influence the course of Australian Unity-Premium Wealth takeover
It’s usual in takeover negations for the chief executives of both firms to be closely involved. In the case of Australian Unity’s approach to Premium Wealth Management, however, the situation is a bit different. They’re brothers. Paul Harding-Davis, CEO of Premium (on the right in the picture), and his younger brother, Australian Unity Personal Financial
July 28, 2014
