The regulator will consult with industry on what’s blocking the provision of limited advice, which it says consumers want more of. According to ASIC’s advice lead, Kate Metz, word on the street is that licensees are the ones getting in the way.
Advisers are generally more satisfied with how their licensees are supporting them this year according to CoreData, but there remain two key service offerings that – if another licensee could provide them better – are significantly more likely to prompt an adviser to change dealer groups.
IOOF’s decision to offer discounted fees to MLC advisers has been labelled a failure of leadership amid accusations it will be funded by continued product subsidisation. Not so, says IOOF head of advice Darren Whereat; “There are no freebies, we’re just offering advisers certainty.”
Empty AFSL’s with no client books have gone from having virtually no value to being sold for an average of $70,000, with ex-institutional advisers clamouring for an independent ticket yet reluctant to wait on ASIC to approve a new license.
GPS Wealth and Affinia were the big winners at this years' awards, while no award was given for the Institutionally Branded Licensee of the Year due to "an insufficient number of qualifying licensees".
Darren Whereat reveals IOOF’s pitch to MLC advisers and explains where the group sits on conflicts, compliance and culture. The head of advice is nothing if not forthright. “Don’t guild the lily and don’t put any fluff around it,’ he says. “Tell it like it is.”
IOOF's decision to leave some of the industry’s most iconic licensees in the hands of MLC left some scratching their heads, but head of advice Darren Whereat says there were a handful of reasons behind the move.