The fee disclosure requirements of the Future of Financial Advice reforms are hindering the movement of clients to a fee-for-service model, says an industry M&A consultant.
In a statement issued yesterday, Radar Results principal John Birt, a business broker specialising in financial planning practices, said in practice the FOFA reforms – and FDS requirements in particular – are running counter to their original intention.
“FOFA was introduced to give more Australians better advice at a lower cost,” he said.
“Some aspects of FOFA are doing the opposite; stopping planners from moving some clients from a commission system to a fee arrangement, basically to save the planner from more 'paperwork' and responsibility.”
The statement also announced that Radar Results will be a sponsor of the 2013 Financial Planning Association conference in October.
SUBSCRIBE TO THE IFA DAILY BULLETIN
- 19 Sep 2018Linchpin funded advice business in liquidationBy James Mitchell
- 19 Sep 2018McMaster: Where was ASIC on Beacon, CBA and AMP?By James Mitchell
- 18 Sep 2018Peter Kell resigns as deputy chair of ASICBy Eliot Hastie
- 18 Sep 2018Two former Macquarie advisers given 10-year banBy Adrian Flores
- 19 Sep 2018Raiz addresses Millennial advice gap with chatbotBy Reporter
- 18 Sep 2018FASEA a ‘disaster’ destroying the industry: AIOFPBy James Mitchell
- view all