Servicing advisers

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The independent financial advice market is all too often viewed by banks and lending institutions as a gateway or means of accessing a broader consumer market, but few have recognised the potential in specifically tailoring financial solutions to advisers themselves.

gareth bird small

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The independent financial advice market is all too often viewed by banks and lending institutions as a gateway or means of accessing a broader consumer market, but few have recognised the potential in specifically tailoring financial solutions to advisers themselves.

It’s a strategy that Investec Professional Finance has been seeding for some time, and one that’s a natural complement to its already established professional services offering. Investec has worked diligently and systematically for many years now to carve out specialist niches within professional services - namely in disciplines of medicine, dentistry and accounting – with financial advisers a logical extension to this offering.

Financial advisers have a set of distinct needs compared to other consumer demographics. The ability for a financial institution to deeply understand their business objectives, including cash flow management and other key business fundamentals, is critically important. By virtue of their unique training and qualifications, financial advisers are in a strong position to identify various product features that align with their own business needs.

Investec’s trusted adviser philosophy is core to the premium service afforded to a small, niche group of professionals. Because Investec has a committed focus on these niches, our deep understanding of financing needs and requirements is far greater than what they could expect elsewhere, and therefore the ability to bring a more bespoke level of insight into transactions. A tailored offering arguably allows for more responsive, personable interaction than that of some of our peers.

Investec Australia now offers financial advisers a fully transactional suite of products which come with competitive features, including the ability to borrow up to 90 per cent for residential property and 85 per cent for investment loans with no Lenders Mortgage Insurance, and up to 75 per cent LVR for commercial property within a SMSF. There is also finance available for new or used vehicles and the ability to use an Investec credit card to buy a new car and earn Qantas Points on the purchase as well as rolling the expense into a fixed term contract with Investec and earn more Qantas Points on the monthly repayments. Additionally, advisers have access to the Investec One Account, which includes a high interest savings account, an optional overdraft facility up to $30,000, a debit card, online and mobile banking functionality, and around-the-clock personalised service.

The best demonstration of this niche focus is evidenced in the $100 million settled in residential loans in December 2013 alone - the combination of quality, competitive product, such as a variable fixed rate of 4.79 per cent per annum* (comparison 4.84 per cent per anum**, coupled with a compelling service proposition, has driven the high volume of loan applications and subsequent approvals. While a relatively small proportion of these approvals were derived from advisers (compared to more established professional services markets), it represents one of the fastest growing professional segments. It’s an encouraging sign that Investec has the capability to offer this demographic products and service that will drive their personal and business growth over the long-term.

Disclaimer

The information contained in this article ("Information") is general in nature and has been provided in good faith, without taking into account your personal circumstances. While all reasonable care has been taken to ensure that the information is accurate and opinions fair and reasonable, no warranties in this regard are provided. We recommend that you obtain independent financial and tax advice before making any decisions.


* This rate is an indicative rate as at 25 March 2014 and subject to change without notice.

** Comparison rate is calculated on the basis of secured credit of $150,000 over a 25 year term on a 80%
loan to value ratio. WARNING: The comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the costs of the loan.

The issuer of these products is Investec Bank (Australia) Limited ABN 55 071 292 594, AFSL and Australian Credit Licence 234975 (Investec Bank). All finance is subject to our credit assessment criteria. Terms and conditions, fees and charges apply. We reserve the right to cease offering these products at any time without notice. Please contact us for a copy of the Product Disclosure Statement. Information contained in this document is general in nature and does not take into account your personal financial or investment needs and circumstances.


About Gareth Bird, Head of Adviser Services, Investec

gareth bird mediumGareth Bird is Head of Adviser Services at Investec Specialist Bank Australia. He previously held private banking roles at Investec Bank in the UK and South Africa.

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