Removal of ‘safe harbour’ improves best interests certainty: Sinodinos
The Assistant Treasurer, Senator Arthur Sinodinos, says the government has ditched the so-called “safe harbour” step in the Future of Financial Advice (FoFA) legislation because of its potential to undermine the other six steps underpinning the best interests duty and to make financial planners too risk-averse in the advice provided to clients. “The best interests
February 02, 2014
Retention key to acquisitions as Findex offers financial planners an alternative to institutions
The days of Financial Index Wealth Accountants (Findex) flying under the radar are long gone. An acquisition reportedly worth $130 million will tend to do that. Over the past 10 years, Findex has averaged four to five acquisitions a year. The Findex team has become adept at identifying potential targets, negotiating deals, integrating businesses and
January 30, 2014
An association with teeth is a step towards self-regulation
With the release of draft legislation to amend the Future of Financial Advice (FoFA) legislation – and a three-week consultation period – it seems as though the end might finally be in sight for this regulatory saga. I know, I’ve said that before. But this time it might be true. The changes seem to have taken
January 30, 2014
What the past can teach us about the current emerging turmoil
Hang around for long enough in investment markets and you’ll see it all roll around again. As Sir John Templeton pointed out, it’s never really different this time. This week’s developing world turmoil is familiar territory to anyone who showed an interest in financial markets in the 1990s. Emerging markets toppling like dominos as the
January 30, 2014
Retail life insurance set to dominate risk market landscape
Retail market participants in Australia’s $12.4 billion risk insurance sector are increasing their grip on future growth potential, spearheaded by new, low cost personal superannuation products. This is a key insight with the release today of Rice Warner’s latest Risk Insurance Market Projections Report. The report reveals a dynamic market with growth of 5.1% per
January 30, 2014
More than meets the eye in an ‘alarming’ decline in use of advice
There’s more than meets the eye in research released yesterday by Goldman Sachs Asset Management (GSAM) that finds an “alarmingly low” proportion of investors rely on a financial adviser to make investment decisions. The research found the proportion of people relying on investment advisers had declined from 17 per cent in 2012 to 10 per
January 28, 2014
Old technology holding back development says netwealth
Technology solutions based on the capability of the technology provider more than on the needs of advisers must become a thing of the past, according to an executive director of netwealth, Matt Heine, As netwealth finalises the mid-year launch of a separately-managed account (SMA) option for its investment and superannuation platform, Heine says independent organisations
January 28, 2014
Bennelong Long Short Equity Management launches Alpha 200 Fund
Bennelong Long Short Equity Management (BLSEM) has launched a new Australian equities strategy, the Bennelong Alpha 200 Fund (the Fund). The Fund is a long/short market neutral strategy with the objective of generating consistent returns regardless of market conditions. The investment team applies fundamental research to identify pairs of securities, seeking to capture alpha whilst
January 28, 2014
Most IPOs over-promising, under-delivering: Skaffold
Stock research application house, Skaffold, has warned investors to remain cautious and stay focused on value, when considering IPOs. According to Skaffold, Investors who believed the 2013 resurgence of IPOs would deliver them above-average returns for their portfolios have received a rude awakening. CEO of Skaffold, Chris Batchelor, said Skaffold had run the ruler over
January 28, 2014
E-commerce a key theme at 2014 SPAA conference
Delegates at the SMSF Professionals’ Association of Australia (SPAA) national conference will gain a better understanding of the significant e-commerce challenges of new contribution arrangements that come into effect on July 1. SPAA’s director of technical and professional standards, Graeme Colley, says a key underlying message from the event will be “the impact of e-commerce
January 28, 2014
Want to target SMSFs? Forget FUM
Financial planners who want to most effectively service the burgeoning self-managed super fund market need to abandon a traditional reliance on funds under management to generate revenue and concentrate instead on charging a fee for providing professional services, a leading industry consultant says. Tony McDonald, the former managing director of the ASX-listed Snowball Financial Group
January 23, 2014
SPAA backs review of SMSF borrowing, advice
The SMSF Professionals’ Association of Australia (SPAA) has thrown its support behind reviewing limited-recourse borrowing arrangements (LBRA) and a proposal that anyone providing advice on any aspect of a self-managed super fund’s investments should be licensed. SPAA’s director of technical and professional standards, Graeme Colley, says the Cooper review of the superannuation system recommended such
January 23, 2014
