This article is factually incorrect. The 30% commissions, which are claimed to result in better valuations, will be scrapped by LIF, reducing to just 20%. Some life insurance companies have already begun cutting them in anticipation. Asteron for example cut them from 32% to 27.5% last year. Thats a 14% cut in adviser income. I would also like to see the conclusive evidence of misconduct that is referenced in this article. I have never seen any numbers around churn. The closest evidence, was a small study by ASIC which was targeted solely at a small number of advisers suspected of churn. This doesn't support the claim of widespread malpractice suggested in the blog. It would be helpful if we could all just stick to the facts.
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