In a statement, Synchron director Don Trapnell said the referral arrangement with Advantedge Financial Solutions is in response to the Life Insurance Framework, which is expected to impact advisers’ revenue stream when it comes into effect on 1 July.
At the same time, Synchron announced the launch of SyncAdvsr, a new software package designed to reduce advisers’ workload to maintain their businesses.
“We know that at any point in time, one in seven consumers is reconsidering their mortgage and finance arrangements,” Mr Trapnell said.
“We believe it is appropriate that Synchron advisers be afforded the opportunity to satisfy that need by referring clients on to a licensed finance broker and be remunerated for it. The arrangement with Advantedge will facilitate that.”
Meanwhile, SyncAdvsr is a “six-figure investment” by Synchron that will automatically generate fee disclosure statements and opt-in notices. It also monitors the return of those notices, the statement said.
Further, the software automatically calculates and produces commission and fee split statements for referral sources such as accountants, general insurance brokers and finance brokers.
Mr Trapnell said business efficiencies are now “imperative” in an environment where advisers face losing revenue.
“As such, we have made SyncAdvsr available to every Synchron advice business as part of the Synchron suite of services and we expect it to not only improve business efficiencies, but to also help advisers with client engagement and ongoing client relationships,” he said.
Oh, you mean a commission.