Compliance can blind you to clients' interests
When forced to choose between clarity and compliance, most advisers make the wrong choice.
Whatever their reasons, they make the wrong choice because the research shows that disclosure and formal compliance frequently frustrate clients’ understanding, legitimise conflict and, too often, conceal the most egregious conduct behind prominent commitments to ethical conduct.
No substitute for a genuine focus on Best Interests
The financial services industry has much to recommend it; it’s complex, uncertain, frequently changing, over-regulated and highly scrutinised.
These elements make it a challenging and dynamic industry, but it’s precisely these conditions that also make the emergence of an advice profession both necessary and inevitable.
Keep pushing for reform, whether legislation keeps up or not
The recently enacted Corporations Amendment (Professional Standards of Financial Advisers) Act 2017 aspires to change the industry and restore public confidence but financial advisers need to look beyond this legislation and address the real challenges to the emergence of an advice profession – conflicts, capability and confidence.
The challenge of professionalism
The Corporations Amendment (Professional Standards of Financial Advisers) Act 2017 and the Corporations Amendment (Life Insurance Remuneration Arrangements) Act 2017 threaten to profoundly change our industry.
Regardless of your position, it’s important to consider whether, and to what extent, these reforms will address the root causes of the advice failures they aspire to address.
the limitations of disclosure
Mandated disclosure is seen as a protector of clients but is actually hampering the development of an advice profession. Published by ifa (ifa.com.au)
Why RegTech matters so much
Forget compliance. Embracing regulatory technology is an investment in the sustainability and relevance of your business.
Licensees and advisers alike struggle to reconcile compliance, productivity, liability and expense control. It’s a difficult balancing act, but, in a complex and highly regulated market, doing so well is essential for maintaining a successful and sustainable advice business.
court decision has churn implications
A ruling made against Commonwealth FP has significant implications for risk advisers and the churning debate, according to industry lawyers.
the war of independence
“Auditors are required to be independent of the entity they audit, so why are independent advisers not required to be independent of the entity whose products they recommend?”
This article takes a new look at the divisive issue of independence and proposes a radical solution to the search for a practical definition of independence.
Advisers, don't take it personally
Financial services lawyer Sean Graham says that planners need to address consumer concerns about integrity, rather than ‘shooting the messenger’.