In a statement, QSuper said it would cease providing comprehensive advice to new fund members from 6 July, with existing comprehensive advice clients to continue to be serviced for the remainder of their current advice agreement.
QSuper chief executive Michael Pennisi said the fund was moving towards simpler advice offered over the phone around specific topics such as establishing a pension, as only a fraction of current members were making use of in-house comprehensive advice.
Mr Pennisi said as a result of a recent review of its advice model, QSuper had “significantly expanded the personal, over-the-phone financial advice service available to members which is provided at no additional cost to the member”.
“The expanded service provides advice on topics including establishing an account-based pension; commencing a transition to retirement strategy; and advice related to retirement income projections,” he said.
“The decision is based on several years of data, member feedback and, first and foremost, member needs.”
A spokesperson for the fund said comprehensive advice had been used by just 1 per cent of QSuper’s membership.
“The majority of our members who use comprehensive advice get that advice from their preferred external adviser,” the spokesperson said.
“We currently work with these external financial advisers to help them understand their clients’ QSuper account details and benefits.”
The fund said clients currently making use of the comprehensive advice service would be “provided with assistance to ensure that their advice needs are met in the future”.
The last time I spoke to Q Super about a client they could provide “intra fund advice” over the phone to establish a TTR and cancel her outside insurance including trauma. Receiving advice would take 3 months because they didn’t have any financial planners. I refused to provide advice to the client because I couldn’t do it profitably by following the government’s regulations — Q Super just ignored them.
Yep more Intra Fund Personal Advice with Zero AFSL compliance. I.e. Proper Advice is too expensive so let’s just use the ASIC loophole to charge all our members Advice that very few of them use. And that Intra Fund Advice requires no FDS, no product comparison, Let’s just flog our own in house super product.
What a screwed up Advice system these Govt morons have created.
“the fund was moving towards simpler advice offered over the phone around specific topics such as establishing a pension” WTF- so no questions asked advice – no risk profile – no needs analysis – income needs v expenses ignored, future capital expenditure disregarded. How is this advice???????????????
Totally agree. If this is the level of “advice” to be provided, then they shouldn’t be able to call them advisers but rather superannuation specialist.
Things are sorting themselves out. Advice by independent advisers seems to be the trend here.