The government last week announced how pre-FoFA conflicted remuneration arrangements would be treated going forward. Simply, all existing arrangements will be grandfathered indefinitely. There’s more. A 12 month transition period (to 30 June 2014) was also announced for financial planners. During this time new clients are still able to enter into pre-FoFA (conflicted) fee arrangements. […]
One of the key reforms announced by the Government as part of its Future of Financial Advice (FoFA) package will allow accountants to provide greater levels of financial advice, particularly with respect to self-managed super funds (SMSF’s). Presently, accountants are not required to hold an Australian Financial Services License (AFSL) but are permitted to provide […]
The Australian Securities and Investments Commission (ASIC) recently conducted a surveillance exercise in response to a single consumer complaint relating to use of the term ‘independent’. As a result, the ASIC found that 17 general insurance brokers, 3 financial planners and 1 life insurance broker were misleading consumers by claiming they offered independent advice. The […]
Of the 18,000 licensed financial planners in Australia, 85% are affiliated with large financial institutions such as banks, life insurance companies, fund managers and superannuation providers. Of the remaining 15% most are employed by independently-owned practices, but a tiny number (less than 40) work for independent financial advice firms. So what does this mean if […]
