So tell me, how does banning/removing a commission payment (paid by the provider) help in your objective " I am just looking for better results from retail funds per se"?
The facts are, ASIC wants more compliance (hundreds of pages per client) and is pushing this on Financial planners now. This is OK but it will cost. At the same time, commissions are to be turned off - leaving a lot of clients in the position where it simply will not be viable to service many clients. Where do you think these clients will end up Hedware. Some might, and I might go to Industry Land but most will remain where they are - but with not adviser and a product manufacturer (Bank or AMP etc) to guide them in the future. Hell, Treasury will likely decide it is time to give some CGT and Centrelink grandfather relief to the likes of AMP so they can close all the old funds down into one new fund.
Could you think of a better way to HELP the retail funds? They will now have a model to operate under Inter Fund advice, offer super to individuals/employers without any upfront costs and recover the costs over the longer term.
Advisers who offered some competition will have large up-front costs for the individual.
Industry Funds still getting truck loads of FUM via Inter Fund advice (and some even offer Qantas points) and that charging model. General advice - really?
Please reconsider who it is you think you are helping.
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