Earlier this week, the NTAA issued a public statement which told consumers to seek advice from an accountant rather than a financial planner and used scathing language to describe the planning profession, saying it was “bereft of integrity”.
The FPA and AFA have not minced their words in response.
“The NTAA’s comments are grossly offensive, trivialise an important social issue and defame members of the financial planning profession,” FPA chief executive Mark Rantall told ifa.
“This shameful approach for seeking publicity in the pursuit of commercial interests has no place in the professional community, and demeans all professions.
“The FPA is taking the necessary action to seek an apology and retraction on behalf its members.”
AFA chief executive Brad Fox also voiced his displeasure at the comments, describing them as “surprising” and not reflective of the true relationship between the two sectors of financial services.
“It’s not normal behaviour for a professional organisation to try and point score off another, particularly where it’s a complementary profession,” Mr Fox said.
“Accountants and financial advisers have a long history of working very closely together – I’m not sure what the personal experience of the NTAA leadership has been with financial advisers but it doesn’t represent the norm.
“We work very closely with some accounting professional organisations and many financial advisers work closely in a business sense with accountants, sometimes under the same roof.”
In June, as the negotiations over the amendments to the Tax Agents Services Act were underway, shadow minister for financial services Mathias Cormann spoke out against the “turf war” between accountants and financial planners raging in the industry.
“If there is a turf war, it’s not coming from our side,” Mr Fox said.
Andrew, agree re leop. Troller and works for the NTAA.
[quote name=”george”]Gentlemen, Name calling and accusations will not provide clients and potential clients with the confidence needed to seek out a FP. at the end of the day, we will all prosper if we provide out clients with the highest possible service. The commission model is dead or should be dead. The sooner FP’s are not seen as product providers the sooner clients will see us as professionals[/quote]
Just like doctors hey who don’t push products hey hey hey.
leop, to date you still have not revealed your occupation or how you fit into the financial services industry. I wonder if you would be as defensive of your profession if by some chance we were to know how you derive your income. I respect your right to be anonymous but only if you can prove you are qualified to post your opinion.
Otherwise you will continue to be classified as a troller and therfore your statements will remain invalid.
Accountant held on fraud charges after being arrested attempting to board plane at Sydney Airport
Read more: http://www.smh.com.au/nsw/acco…
This response from planner representative bodies is a shame. It creates a useless war.
The community and the NTAA have provided their feedback to planners. It was stong but fair. You can’t expect an apology for honest feedback.
The onus is now on planners to respond. Hopefully by improving their standards, service and a full explanation of the risks inherent in their advice to clients.
Billy, not angry at all, Sometimes the truth just hurts. FP have long way still to go, but with the changes FPA have made from 1 July in regards to requiring a degree to join, is a great start. I agree there are accountants who see SMSF etc as another way of increase fees. My view is put the client’s interest first & by default you will be a succesful FP , strategy based not flogging products. The industry needs to be non allinged & not a distrubution channel for product.
still cant believe this story has legs the NTAA is setting up their own dealers licence thats what all this is about and they can only give general advice
Gentlemen, Name calling and accusations will not provide clients and potential clients with the confidence needed to seek out a FP. at the end of the day, we will all prosper if we provide out clients with the highest possible service. The commission model is dead or should be dead. The sooner FP’s are not seen as product providers the sooner clients will see us as professionals
ang, learn English before you criticise people for being uneductaed. Your sentence structure, grammar, spelling etc is appalling. People in glasshouses….
What you fail to understand is this, having a degree does not make you more intelligent, honest or capable to communicate, it is not the entire answer only a part. Do you get alot of nosebleeds on your high horse?
ANG you seem to be an angry person did you once suffer under the hands of an bad adviser maybe? Name calling is not dignified my friend and you should get some facts before running of at the keyboard. The accounting industry is one of the worst when it comes to technical skills from my personal experience. They call our industry mercenary, try asking why some accountant set client up in companies for no other reason then they can charge more, trust so they can charge more, smsf so they can charge more and the big one now is bear trusts so they can charge more. Gees buddy maybe get hold of a mirror.
Regarding education, of course there is the issue that financial planners down the track become over qualified for the job and realise there are other opportunities in the finance game that offers better pay with less personal risk. I am already thinking about that. I didn’t study for 15 years so I can produce compliant SOAs and post out FDSs and stick to out-dated risk profiling methods.
Ang,
I think [u]you[/u] need to go back to school. If you’re going to make sweeping generalisations about FPs and education standards, you might want to consider brushing up on your grammar. While you’re at it, you might also want to update your knowledge on FPs because you’re at least ten years behind the times. By the way, based on your ridiculous tirade, I don’t want to be your ‘equal’.
its not generalisation by far most FP are poorly qualified, I am glad to see you have got the qual but some many donot, so dont get offended by the truth, as stated it will take at least 10 years befor FP are on par with lawyers & accounatnts. I am not saying that more qualified people will lead to better advice, but by rasing the bar it will deter some from FP who are just to trying sell products
Hi Ang, 2 degrees in finance, post grad and a Masters, numerous other courses.
My accountant has been to tafe…
STOP THE GENERALISATIONS… they dont help anyone..
Ang, I would just be happy if people did not generalise their comments which automatically makes them wrong. I am an FP who had a business degree before becoming an adviser, I worked in para-planning and training while obtaining my Dip FP (Deakin) and Grad Dip in Applied Finance and Investments (SIA). I became a technical specialist and then became an adviser to my own clients – not every FP has no qualifications or minimal quals. I also have tax qualifications but have not been forced to become a Tax Agent and have not come from a sales background. Does that make me any less competent to provide strategic advice to my clients? The two sectors actually complement each other and reward the clients with better service and direction so quit trying to rip each other apart and work with what is already good in FP and Tax sectors and improve on what is not good yet.
the problem with FP is the lack of qualifications, if FP want to be treated as equals with accountants & Lawyers make Degree as min. qualifications before you start, not complete a joke of Dip Fin Services.You are not forced to become tax agents FP dont have the quals. or expertise to provide full range of tax services.The tax agents regime for FP is a joke, FP need to refer to fully qual. tax agents Fin planners need to get real & look where they come from basic sales & FOFA & scaled advice Banks & Industry funds are not going to help. Most Fp i have come across in the same league as Car salesman & Real Estate agents Sales people trying to get strategic advice??? It will be at laest 10 -15 years before the community regnises FP, until they have degrees & CFP qulaifications Praticing Certificate at least 3 years post experience before you are able to advise a client in your own right, just like law & accounting. NotRG146 & few weeks later you re Fin Plann. Guru ,Get real!
Jeeze Brad you really gave it to them didn’t you?
First time in my career the FPA finally said something I can agree with, the NTAA comments are slanderous.
Once we understand how to specialise in other aspects of financial planning, than just SMSF, we’d really be in the running!
Accountants, who has been setting up self managed super funds for clients clearly for revenue purposes? accountants, and who is giving SMSF a bad name for non compliance with ASIC, accountants.
We (financial planners) are being forced to become tax agents how dum is that on their associations part because if you force FP to get qualifications that let them do tax returns guess what they may just take that business away from accountants. Dum.