What, who and when? The white elephant in the opt-in requirement
It’s nearly twelve months since the Government proposed to streamline the Future of Financial Advice (FoFA) changes, including a proposal to repeal the opt-in requirement. Streamlining FoFA was supposed to reduce red tape and the costs that are passed onto clients. However, the manner in which the Government has managed the reforms has resulted in
December 17, 2014
Talk of mass adviser flight to independence is an exaggeration, says licensee head
There is no mass exodus of financial planners from institutionally owned Australian Financial Services licensees to non-aligned and independent channels, according to the head of advice group Paragem. “Ten years ago, the debate was the same regarding institutional ownership of financial planning licensees ending,” says Ian Knox, managing director of Paragem. “Every few years we
December 17, 2014
Common sense in the FoFA saga – but expect normal service to resume in 2015
It’s good to end the year on something resembling a bright note. With just two days to go until most of Australia shuts up shop for a couple of weeks (or more) of well-earned R&R, the vexing issue of grandfathering has been largely sorted out. And amendments to the Future of Financial Advice (FoFA) regulations,
December 17, 2014
FEATURE: Has the era of the major professional services firm dawned in financial planning?
A puzzling feature of the financial services landscape is that large-scale professional services firms, like those found in law or accounting, don’t exist the same way in financial planning. The new financial planning business co-founded by former MLC chief executive Steve Tucker and former JBWere chief executive Paul Heath is an attempt to address that,
December 15, 2014
Level commissions for risk advice may not solve the sector’s woes
A mandated level commission remuneration structure for life insurance advisers, as recommended by the Financial System Inquiry (FSI) final report, would be a step too far, according to the head of a risk-focused financial advice practice. “I don’t think level premium is the ultimate answer, because it makes providing advice to a range of clients
December 15, 2014
Six implications for advisers from Murray’s approach to behavioural biases
Search for “behavioural bias” in Murray’s Financial System Inquiry (FSI) Final Report and you’ll find 20 references. Why? Because according to the report, how we behave can have big implications. If advisers didn’t have enough reason to tailor their advice to accommodate human decision-making biases already, it seems regulation will force them to pay attention.
December 15, 2014
TAL enhances Accelerated Protection product and service
Australia’s largest life insurer TAL has launched some key enhancements to its award winning financial protection retail product suite, Accelerated Protection. The new version of Accelerated Protection not only contains various product improvements, but a number of newly enhanced service elements have been introduced. TAL Life General Manager Retail Insurance Gavin Teichner said the changes
December 12, 2014
Blue sky above the rain: the theme for 2015 is ‘Let’s get on with it’
Financial planners are putting regulatory uncertainty behind them and focusing on business growth in 2015, according to a survey conducted at the Financial Planning Association National Congress in Adelaide last month. The survey, conducted by BoQ Specialist, found that planners have enough confidence in their businesses and business models to use personal assets to fund
December 12, 2014
AMP practice plans property service alongside advice, mortgage broking
Melbourne-based financial planning practice Oak Financial Partners intends to add an in-house property management arm to its operations within the next 12 to 18 months, according to principal Cameron Vallve. This would cater to demand from a number of the firm’s clients that hold investment properties, and is driven by a number of internal staff
December 12, 2014
Steve Tucker: The world is not flat and the market will solve advice conflicts
As various governments and regulators have struggled to create the right settings to ensure clients receive the best advice from financial planners and advisors, it seems to me they are fighting against over 30 years of embedded beliefs and systems. Perhaps it’s inevitable that the market itself will need to solve this challenge. The ownership
December 12, 2014
Total Financial Solutions appoints Ibbotson Associates Australia investment manager and investment consultant
Ibbotson Associates Australia Limited, part of the Morningstar Investment Management group, has been appointed by financial planning dealer group Total Financial Solutions (TFS) Australia as investment manager for the firm’s Privilege Portfolios separately managed accounts. Ibbotson is also providing TFS with investment consulting and advice capabilities including investment committee and governance oversight, investment advice including
December 11, 2014
Without the right technology, some advisers will have no choice but to service fewer clients
Investment Trends report: 91 per cent of advisers surveyed nominated assistance with client servicing as greatest area of business need from technology Andrew Alcock from HUB24 believes in the future of platforms that have the technology to deliver the most efficient outcomes for advisers and their clients. “Clients like the online access, and advisers want
December 11, 2014
