AMP targets advice gap with new North offering

According to AMP, nine in 10 Australians are unadvised amid a “widening affordability gap”, with a growing gap between what advisers are offering and the needs of everyday Australians.

The platform noted that despite the number of advised Australians remaining stable, the profession is not attracting new clients. Advisers are also facing increasing pressure to deliver to meet the needs of unadvised Australians, as well as address the ever-increasing complexity of average financial needs.

For those who have simple investment and advice needs, such as lower income pre-retirees or younger people who are only just entering the accumulation phase of their superannuation journey, there are few advice solutions.

To address this gap, AMP North has launched a new investment menu called “Grow”, designed to “improve access to quality advice” and help “empower” advisers to expand their client base and help those with simpler investment needs. The menu was launched after client and adviser feedback.

Described as “streamlined” and “cost-effective”, AMP stated the menu will offer “the unique benefits of North by blending across menus and not being restricted to a single menu”.

“Grow allows advisers to focus on delivering personalised advice without the burden of account fees or complex administrative costs,” it added.

Clients on the Grow menu can also access AMP’s MyNorth Lifetime Solution, which “delivers retirement income for life at no additional cost”. The group stated this will allow advisers to “add significant value” to lower net worth clients early in their accumulation phase and “engage them earlier on in their advice journey as their needs evolve and become more complex”.

“We recognise that amid the rising cost of living, many Australians aren’t getting advice for the things that matter, despite the lasting impact and benefits of an ongoing advice relationship,” said David Hutchison, general manager of managed portfolios and investments at AMP.

“By offering a simplified pricing structure and unique managed portfolios, North Grow makes it easier for advisers to provide quality advice to clients who may have been previously underserved.”

According to AMP, the efficiency gains that come with the Grow menu include:

• Simplified pricing with no account, tiered administration and simple investment fees.
• Flexibility that caters to client’s needs, such as family fee aggregation for multigenerational households on North.
• The ability to “mix and match”, with clients able to “seamlessly mix their investments across North’s Grow, Select and Choice menus, with platform pricing blended accordingly”.
• Focused managed portfolios, with curated portfolios that cater to a range of risk profiles.

“North is committed to supporting advisers in their mission to provide quality advice to all Australians at every stage of their investment journey,” AMP general manager of product and pricing Gai Ferrington said.

“The launch of North Grow is testament to this commitment, offering a valuable new investment menu that helps advisers meet the diverse needs of their clients while maintaining the highest standards of service.”