‘Topsy-turvy’ ride: Insignia continues losses as adviser numbers dip

According to Wealth Data figures, there are now 15,692 advisers left in the industry following a reversal of last week’s gains, with the firm’s founder calling it a “topsy-turvy few weeks”.

“After a solid gain last week, we once again dip into the red, down by 18. It was yet another busy week with 14 new entrants hitting the ASIC FAR, four new licensees commencing and a total of 105 advisers affected in some way by appointments/resignations,” said Wealth Data founder Colin Williams.

The bulk of the losses came from Insignia, continuing a trend for the licensee. Following a relatively stable last week where it lost just two advisers, the week ending 5 October saw Insignia shed 10 more, with six coming from its Godfrey Pembroke subsidiary.

There have now been 124 advisers leaving Insignia just this year, with the losses speeding up over the last few weeks.

“As disclosed by Insignia a short while ago, they are re-evaluating their advice offer, and we can expect further disruption over the coming weeks/months,” Mr Williams said.

In August, the licensee was bullish on its advice restructure, which included a new partnership model for its self-employed licensees comprising RI Advice Group, Consultum Financial Advisers, and TenFifty.

Insignia Financial chief executive Renato Mota said at the time: “This is a transformational initiative for our advice offering and will accelerate the return to profitability of our advice business, while ensuring our advice services model is positioned for sustainable growth.”

In more recent adviser movements, in the week to 5 October, there were four new licensees and 14 new entrants to the Financial Advisers Register (FAR).

Sequoia led the way for the week, adding six advisers to its ranks, including three new entrants. The licensee is now up 27 for the year.

Four of the advisers that left Godfrey Pembroke joined a newly established licensee, while two other new licensees kicked off with three advisers each.

Hillswest (PFP Financial) and Christopher Maceachern (Wealth Trail) both gained two advisers, while Morgans, Clime Group, and BYB Wealth Management were among the 21 licensee owners that added one adviser each.

AMP Group and Guideway both lost four advisers, with none showing as being appointed elsewhere. Count Group lost three, however the Count Financial licensee is up by nine as advisers move across from Count’s new licensee, Affinia, which is down 12.

Nextplan also lost three advisers, while five licensee owners, including Capstone, Fortnum, and Shaw and Partners, lost two each.

Centrepoint, Steinhardt Holdings, and Viridian Group were among 17 licensee owners that lost one adviser each.