Wholesale client tests too complex
Six different ‘wholesale client’ tests and three different ‘sophisticated investor’ tests currently apply to financial services clients and deciding whether self-managed superannuation fund trustees are wholesale or retail is fraught with difficulty according to The Fold Legal. “Get it wrong and advisers may breach the law,” The Fold’s Senior Lawyer, Lesley Thorne said. While clients
December 17, 2013
Growing market for retirement advice
Financial planners still don’t fully understand the importance of building a sustainable income stream in retirement, according to industry experts including ASIC deputy chair Peter Kell, Texas Tech University Professor Michael Finke and Dimensional Fund Advisors executive director Nigel Stewart. Last week Dimensional Fund Advisors hosted a boardroom presentation by Professor Finke, who leads the
December 17, 2013
Former ANZ adviser fraudulently obtained $5.9 million
After decades of breaking the law, former ANZ financial planner Melinda Scott has pleaded guilty to seven charges of fraudulent behaviour including falsifying documents and illegally accessing clients’ funds. The former Millennium 3 adviser admitted in Downing Centre Local Court to fraudulently obtaining $5.9 million worth of clients’ money for her own purposes without her
December 17, 2013
CBA busted by ASIC again
The Commonwealth Bank of Australia is in trouble with the Australian Securities and Investments Commission again, with the regulator accepting its second enforceable undertaking from the banking giant in just over two years. CBA-owned CommSec and Australian Investment Exchange have been ordered to appoint an independent expert to review their handling of client money and
December 17, 2013
Great advice for more Australians
Brad Fox says the AFA has a very clear mandate going into 2014: to help the advice community to deliver great advice to more Australians. From our conversations within the advice community, 2013 was a frustrating year for all – advisers, licensees and product and service providers. Now that we have a new government and
December 17, 2013
Centric Wealth MDA lifts efficiency gains
Centric Wealth, the financial planning firm backed by CHAMP Private Equity, will move almost its entire $4 billion in funds under advice into a managed discretionary account structure over the next couple of years, with $2.8 billion already transitioned. Since 2011, when Centric Wealth appointed specialist MDA provider, Philo Capital Advisers, to re-engineer its investment
December 13, 2013
Australians bank on $500,000 payday
Australians expect to receive a large inheritance from their ageing parents, which has dangerously left them exposed to a potential retirement savings shortfall, according to the latest HSBC Future of Retirement Report. The report, titled ‘Life after Work’, found Australian retirees want to pass on an average inheritance of $US501,919 to their heirs, which is
December 13, 2013
Christmas giving without end
At Christmas time the thoughts of many turn to giving. We give presents to our family and friends and many of us give donations to charities in response to end-of-year appeals. It’s easy to respond to appeal letters that find their way into mailboxes but this may not be the best way for clients to
December 13, 2013
A super review – looking back and ahead
Superannuation rules are constantly changing and 2013 was no different. Crissy Demanuele reviews the year that was for superannuation and how the changes will impact on advice strategies in the year ahead. The amount invested in superannuation in Australia grew by approximately 15.5 per cent over the past year to an estimated total of $1.62
December 13, 2013
New adviser group gains momentum
Self-licensed, Sydney-based financial planning firms WLM Financial Services, Northstar Financial Advisers and More4Life Financial Services will help spearhead the creation of a national association to promote the benefits of alternative investments and target return strategies. The formation of the Real Return User Group was confirmed at a meeting early this month which was attended by
December 12, 2013
The average practice, far from average
Almost 40 per cent of financial planning and accounting firms believe they will boost profitability by at least 20 per cent in 2014, while cutting back the number of clients they service. Preliminary results from the Macquarie Practice Consulting 2013 Financial Planning Best Practice Benchmarking Survey reveal that 83 per cent of advisers expect to
December 12, 2013
Advisers report a surge in confidence
Financial planners are the most optimistic and energetic they’ve been in years, with 94.5 per cent of advisers positively upbeat about the long term viability of their businesses, according to a new report. The latest Zurich Risk Adviser Sentiment Index, which was conducted by Beaton Research and Consulting, found risk advisers are currently the most
December 12, 2013
