Takeaways from 2024
The work never ends – advocacy, regulation, and the Compensation Scheme of Last Resort (CSLR) debacle that just won’t quit. But this year showed how much can be achieved when advisers unify. Watching the collective disgust turn into action against the CSLR platform was both infuriating and inspiring.
Wins like tax deductibility on initial advice fees and the Financial Advice Association Australia Congress as a meeting ground for whip-smart professionals have been highlights.
The camaraderie within the profession feels stronger than ever. It’s not just about commiserating (which has certainly been a theme in years gone by); it’s about solving problems together and elevating advice for the benefit of the entire Australian community.
That sense of unity is what keeps me hopeful for what’s next.
Outlook for 2025
I’m cautiously optimistic about 2025. The momentum is there – we’ve seen what can happen when advisers, professional bodies and stakeholders, and even clients get vocal. But getting things “done” when legislation is required remains a sticking point.
The barriers to delivering affordable advice are still too high, and the slow-moving wheels of reform can wear you down. I fear I will be less romantic about the year once the election football gets kicked around.
My hope is that we keep building on the wins, like tax deductibility of advice, and get serious about fixing the talent pipeline and gender equity in advice. The stats around women advisers are frustrating – a reduction to 22 per cent from Wealth Data.
It’s not just a “diversity” issue; it’s a community issue. Women need to see themselves reflected in the advice world to feel empowered to engage with it and ought not to have to walk across fire to succeed; both mainstream and trade media need to accept their role in delivering on fair representation. What is fair isn’t always equal, and what is equal is not always fair.
Overarching thoughts
What do you think is the biggest issue currently impacting the profession and what could be done to address it?
The biggest issue isn’t a single thing – it’s the entire ecosystem. Accessibility, affordability, talent pipelines, tech – none of these exist in a vacuum. The CSLR fight is the perfect example: we spent months battling something that should’ve been a no-brainer, when those resources could’ve been channelled into something constructive, like making advice actually more affordable.
It’s also exhausting to see continued hesitation around the Professional Year Program. Training any key person in a business is just part of the gig. Why is it viewed so differently in advice? This might be the vocal minority, but more research in this space would be useful.
What is a small issue that impacts you or your business – one that is outside your control – that could be easily fixed? How?
Why isn’t super splitting a bigger deal? It’s one of the most equitable and accessible strategies out there for couples, but you’d hardly know it from how rarely it’s discussed.
Financial planners under-utilise it, super funds make it a nightmare to implement, and the real losers are the couples who could be benefiting from better balance in their retirement savings. Streamlining this process isn’t rocket science – it’s just good practice. Super splitting deserves a louder voice in the advice space because the impact on families could be massive.
Is there anything else you think is important that you would like to share with the advice community?
What does progress actually look like for our profession? More advisers, more affordable advice, and more people seeing the value of it before a crisis hits. Who’s accountable? All of us. Whether we’re running businesses, creating policies, or simply showing up for our clients.
