Roy Morgan Research has come out in support of the paused amendments to FOFA, pointing to both industry and consumer protection benefits.
In a statement issued yesterday, the researcher said the proposed changes may help alleviate public image and perception problems suffered by the financial planning industry, reflecting on its previous finding that “only 25 per cent of [Australians] rate [advisers] favourably in terms of ethics and honesty”.
“Considering that the level of financial literacy among the Australian population is generally quite low, it’s vital for consumers to have confidence in the advice they receive from financial planners and other industry professionals,” said Roy Morgan Research CEO Michele Levine.
“The amendments to the FOFA legislation will hopefully encourage more focus on consumers’ best interests, and make financial advice more accessible, affordable and trustworthy for Australians while protecting them from commission-hungry sharks.”
The statement also suggested that issues in the financial advice industry not adequately addressed by FOFA or the proposed amendments – specifically listed as “independence (and ownership), commissions and consumers’ best interests” – should be scrutinised by the Murray Inquiry.
ASIC has revealed it was forced to take action on more than a dozen incidents of...
The government has flagged it may look at extending regulatory provisions for sc...
New data from Roy Morgan has shown despite overall superannuation fund satisfact...
Get the latest news! Subscribe to the ifa bulletin
Get notifications in real time and stay up to date with content that matters to you.
