Findex to adopt fee-only advice model
Findex Group will move its financial advice licensees away from commission-based payments for risk advice and implement a pure fee-for-service model.
A spokesperson for Findex Group confirmed to ifa’s sister title Risk Adviser that the non-aligned group will transition away from its current hybrid commission model and introduce a fee-for-service model from 1 July 2015.
“Findex and Centric Wealth – one of its companies – will move to a fee for service model for insurance, and over the next few months Crowe Horwath will also convert to a fee for service model,” she said.
“They will get rid of commissions completely.”
The spokesperson said the decision to move to a fee-for-service model for risk advice had been something the group’s chief executive Spiro Paule “had been considering for years”.
Findex Group’s remuneration change follows the recent announcement from non-aligned licensee Fortnum Financial Advisers that the firm will adopt a fee-for-service model, with hybrid or level commissions in a bid to “self-regulate and ward off further legislative attack”.
AMP and Centrepoint Alliance have also announced they will drop upfront commissions.
FPA advocacy too ‘politically correct’, says CEO
EXCLUSIVE The Financial Planning Association of Australia has taken an advocacy ...
Wealth management investigations up 216%
ASIC has revealed a 216 per cent increase in the amount of wealth management inv...
FASEA guide ‘above the current law’: AFA
The recent guidance from the Financial Adviser Standards and Ethics Association ...