This was also the top driver for those who decided to leave their licensee in the past year, according to the Investment Trends May 2015 Planner Business Model Report, which surveyed nearly 900 planners.
The reason for unhappy financial planners has changed from last year, when those who intended to switch licenses said it was because they desired more flexibility, the report said.
Speaking to ifa, Investment Trends head of research Recep III Peker said this reason changed was because dealer groups were able to respond to that need of flexibility.
“At the end of the day, if you look at why they actually left their dealer groups, very few people say it was because flexibility, because the dealer groups responded to this,” he said.
“What causes them to leave a dealer group is poor support.”
Mr Peker added that these results show there’s an opportunity for dealer groups to stand out by tailoring their support services.
“Understanding planners’ needs and giving them the right support is important because each financial planners support needs change by where they are in the cycle,” he said.
“[For example], if you’re at a point where you’re just starting out and learning about getting new clients, then you need more help and strategies around how to acquire clients.
“But if you’re at the other end, it’s all about things like retaining staff and succession planning.”
Other reasons the report shows why planners are less likely to recommend their licensee include recent changes to the dealer group, financial planners feeling undervalued, high costs and poor processes and systems.
Despite this, the amount financial planners who intend to leave their licensee this year has also dropped. Last year, 14 per cent of financial planners had intentions of leaving their dealer group in the coming year, up from 8 per cent in 2013.
That figure has come down again to 9 per cent in 2015. Of those, 3 per cent said they wanted to set up their own AFSL – the highest since 2010, the report said.
The fact is most dealer groups only have their own interests at heart….aligning themselves with fund mangers and product providers and ensuring the APL is skewed. When under threat from ASIC they conveniently blame their advisers and then partner with education providers.
When can we rid ourselves of these vampires? Sounds harsh I know…but I think advisers have been led to believe they can’t run a business without one.