The SMSF Advice licence, which is part the AMP Group, was established in response to the removal of the SMSF accountants’ exemption, according to its website.
ASIC data shows at least 29 advisers licensed by SMSF Advice Pty Ltd left in January 2017 and December 2016. Only one adviser joined during this time.
Out of this total, at least 12 were picked up by non-aligned licensee Akambo Private Wealth. Two crossed over to the National Tax and Accountants’ Association-owned AFSL, the SMSF Advisers Network, while another joined the SMSF Expert licence, ASIC data shows.
An AMP spokesperson declined ifa’s request for comment.
Chris Willaton, Akambo’s director and head of investments, told ifa his company has been approached by many accountants in recent months.
“We have been working with accounting groups for the past eight years providing advice and investment management solutions, and have over 20 formal relationships with accounting groups nationally,” he said.
“Given the changes to advice provisions for accountants from 1 July this year, there is growing level of urgency from many accounting groups to have an advice solution that has a strong operational and performance history in this space. We have been approached by numerous accounting groups in recent months who see us as a natural fit.
“We have also been heavily promoting our brand off the back of our success at the recent ifa Excellence Awards, which has been a strong endorsement for the solution we provide.”
Its a disappointment to see so many leave any licensee. The accountants that have left will also lose access to arguably some of the best SMSF technical advice out there – just to reiterate I did say arguably the best. But AMP only set up that license to drive money onto their administration platforms and to their retail products. That’s a fair business decision but unfortunately a flawed one because the juggernaut that AMP is doesn’t suit the independence that the accountant channel wants to be seen as having. AMP is a very good licensee for certain advisers that fit into a fairly narrow vertically integrated product distribution model but it was never going to cut it with accountants. They will shut this licensee for sure.