Colonial First State’s (CFS’s) wrap platform, FirstWrap, has reached its $1 billion in funds under advice milestone – one year after it was launched.
CFS general manager of custom solutions, Chris Stevens, says business was attracted from both the independent financial advice market and from Commonwealth Bank of Australia (CBA) aligned dealer groups.
The FirstWrap platform sits alongside FirstChoice, which, according to Stevens, won’t be overly affected by the success of CFS’s new platform. He said both platforms were successful because they had their own target markets.
“FirstWrap tends to attract high-net-worth clients, given its more sophisticated product offering,” he said.
The minimum initial investment for FirstWrap is $20,000 to $50,000, while the initial investment for FirstChoice is substantially lower, with a $1000 minimum.
Stevens said the company was now focused on responding to the changes in the regulatory environment in the market and supporting advisers through that process.
“We are looking into flexibility around remuneration structures for financial advisers, to make sure they can adapt to what is a changing environment for us,” he added.
Stevens confirmed CFS would create solutions for self-managed superannuation funds, as well as model portfolio solutions, expected to be available on the FirstWrap platform early next year.
