FOFA causing havoc, says business broker
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.
Open letter to Scott Morrison
EXCLUSIVE Now that he’s secured his leadership, Prime Minister Scott Morrison ...
FASEA open to accepting foreign qualifications
The Financial Adviser Standards and Ethics Authority has released its online for...
More advisers embracing advicetech: Report
A new report reveals that around 85 per cent of advice firms plan to invest mor...