The financial planning model has seen the lowest level of resignations and switches in 2022 while the holistic model saw the highest number of new AFSLs.
According to Wealth Data, between 1 December, 2021 and 21 April, 2022, a total of 2,556 resignations occurred and 683 advisers switched and current.
The financial planning business model suffered the least losses while accounting-limited advice saw significant losses of 98%.
Small licensee owners, those which had less than 10 advisers, suffered the smallest losses in percentage terms and gained the greatest number of switched advisers.
Meanwhile, there had been 52 self-licensed AFSLs (defined as a firm with less than 10 advisers) who had commenced during 2022 as of 21 April, 2022. These 52 firms had 118 advisers attached to them and three licensee owners represented more than 50% of the advisers who switched.
The vast majority of these had financial planning- holistic advice models and those who had moved had left large licensee owners. Only 11 advisers had moved from a licensee with less than 10 advisers to another small one.
Looking at closures, defined as a licensee which reduced to zero advisers, the number of closed licensees was 65 during 2022, affecting 115 advisers. Most of these closed licensees came from the accounting- limited advice (self-managed superannuation fund) model.
Of the 115 advisers affected, only 25 were current as of 21 April and 22 of those were from financial planning business models.
