Why a super fund’s stance on governance may hold pointers for planners
Professional Planner wouldn’t usually pay too much attention to a superannuation fund’s stance on a corporate governance issue. But there’s a current example of the board of a fund taking a stand against the board of a listed company that raises some questions for financial planners. You might not have heard of First Super before
November 12, 2014
Does a sell-off mean sharemarkets have returned to the bad old days?
While nobody enjoyed the recent sharemarket sell-off, Ron Bewley thinks his June 30 index forecast is still solid. There is no doubt that September was not a good month for share investors in Australia. Fuelled by crises in Ukraine and Iraq-Syria, weaker iron ore prices, and talk of changing the regulation of banks, the ASX
November 12, 2014
ING DIRECT Living Super hits $1bn FUM
Just two years after launching, ING DIRECT Living Super has hit $1 billion Funds Under Management (FUM), testament to the increasing appetite that exists for no fee and low fee super options. Launched in 2012 as a direct to the customer offering and made available through accredited advisers in mid-2014, Living Super houses the first
November 11, 2014
First Super to oppose re-election of CBA Board members who served during financial advice scandal
First Super will use its vote at the forthcoming Annual General Meeting of the Commonwealth Bank to oppose the re-election of two directors who were on the Board during the CBA financial planning scandal. “Widespread conflicted financial advice practices at Commonwealth Financial Planning resulted in a Senate Committee Inquiry – which recommended a Royal Commission
November 10, 2014
The rum ration bites the dust again: the end of quantitative easing
For several centuries, sailors in the Royal Navy enjoyed a daily ration of rum, designed to fortify sailors to do what sailors had to do under what were often horrendous circumstances. And we are not talking a nip here, at least not to begin with. Originally, before common sense began to prevail, the daily ration
November 10, 2014
What behavioural finance can tell us about life insurance advice and commissions
On October 9, the Australian Securities and Investments Commission (ASIC) released a damning review of the insurance advice provided by some financial advisers. The common theme was that the client was worse off, while the adviser pocketed a large benefit by way of an up-front commission. Financial advice tended to be much better in circumstances
November 10, 2014
Advisers can learn about competing managed account models at one location
IMAP, Institute of Managed Account Providers, has assembled some of the industry’s leading managed account providers to sponsor Managed Accounts Central at the upcoming FPA Congress in Adelaide. At Managed Accounts Central delegates will have free access to PCs and a technology centre for email checking and internet access. HUB24, netwealth and Philo Capital will
November 07, 2014
Roskow plans to launch a new, lighter-touch financial advice venture
Financial planning business Roskow Independent Advisory is planning a spinoff advice venture targeting lower-complexity clients. The idea of a sister business grew out of a recognition the existing firm was not providing maximum value to all clients, says Neil Salkow, director, Roskow Independent Advisory. The as-yet-unnamed venture will follow the same Roskow principles, but offer
November 07, 2014
US financial planner hopes Australia forges a different path to professionalism
From SixtyFive, the bar on level 65 of 30 Rockefeller Plaza, you can see quite a lot of New York City. From this vantage point near the top of one of the city’s iconic art deco buildings, at night and with the appropriate cocktail in hand (a Manhattan – what else?) the scale of the
November 07, 2014
Upfront commissions: the life industry’s scapegoat
Outlawing upfront commissions won’t see more consumers take out cover or change the behaviour of advisers who habitually provide inappropriate advice. The solution lies in better educated advisers and consumers plus an image makeover for the industry, writes Scott Moses. Advisers have been led to believe that they add the most value for clients upfront.
November 07, 2014
Emerging markets still offer value for investors who change their approach
Investors concerned about slowing economic growth and the prospect of muted equity returns in emerging markets should think twice before exiting the sector, global asset manager AllianceBernstein said today. “There are still good returns to be made in emerging markets and the key to capturing them lies in a change of investment approach,” said Sammy
November 06, 2014
