Theannouncement by Fiducian at the end of last month that it had acquired Bodinnars Personal Financial Planners marks a new era for a small private company, which over the past 18 years has carved a name for itself as one of Sydney’s oldest and most respected retirement and investment specialists.
And while Bodinnars will retain its business name in the immediate future, it will ultimately be lost to the Fiducian brand and will join the status of Fiducian’s 14 other branded franchises it owns throughout Australia.
For Bodinnar chairman Harold Bodinnar, one of the founding dealers of the business back in 1984, the future will see him take on more of a marketing role over the next three years. This will help him cement the relationship with Fiducian and to maintain the close contact with some 3,000 clients.
Established as a licensed dealer in securities, as well as investment advisers and financial planners, Bodinnars Personal Financial Planners now has around $420 million funds under advice, with two offices in Sydney and one in both Campbelltown and Brisbane.
The business provides financial planning and superannuation planning services, wealth accumulation and retirement planning, portfolio evaluation and review, and asset and income protection advice.
Speaking on behalf of the other three business owners — Rex Doughty, Don Paviour-Smith and Greg Hayes — 67 year old Bodinnar says the announcement to develop further an existing relationship with Fiducian was “a big decision”.
“The time had come to make a decision on the future direction of the company. We either had to change course and select a new master fund operator or develop further the relationship with Fiducian,” he says.
Bodinnar says the decision to do the latter seemed logical because of the potential to add further value to an existing relationship. This would give the business the ability to concentrate on financial planning, while the administration could be taken over by Fiducian.
“We believe that there was merit in accessing technical information. The future of businesses like ours is to be more focussed with one group that could provide the support, while remaining open to the market,” he says.
Fiducian managing director Indy Singh says the state-of-the-art technology Fiducian has developed will be immediately made available to Bodinnar’s advisers and clients.
“Bodinnars planners and their clients will enjoy new levels of online strategic help, technical and planning support, and what we believe is one of the best reporting systems in the world.”
Bodinnar says the firm did not want to sell out to a fund manager, which could have the effect of tying down the group in terms of product independence.
However, with the decision to go with Fiducian, Bodinnar says he is expecting the deal will expand the current product relationship with Fiducian to include new products, as well as the badged annuity product Fiducian now offers.
Fiducian has seven service products including its investment and superannuation master trusts, its own collection of Fiducian funds, corporate superannuation, a cash management trust, a badged annuity and financial planning franchises.
However, he says while Bodinnars will support Fiducian products, the advisers will continue to act in the best interests of their clients.
