TheNow Financial Services(NFS) andInscorpfinancial planning groups are set to merge creating a combined planning group with about 250 advisers.
The new group will take on the name of Financial Services Partners and will retain the 50 per cent ownership structure in which advisers hold one half of the group and the FSP group of companies holds the remaining half of the planning group.
The FSP group of companies, headed by Dr Frank Wolf, has held a 50 per cent stake in both NFS and Inscorp since the late 90’s.
As a result of the merger chief executive of NFS, Geoff Rimmer, will take on the same role with the combined group and Inscorp general manager Peter Driscoll will take on the role of general manager for group operations.
The former managing director of Inscorp, Ray Snell, will join the board as a non-executive director while board chair Tim d’Emden will continue in that role joining fellow advisers Ron Lambert, Mark Dunsford and Steve Aspland on the board. The FSP group will continue its representation on the board through Wolf and Robert Swil.
According to Rimmer the groups merged in a bid to gain further scale ahead of its application for an Australian Financial Services Licence (AFSL), with NFS set to acquire the Inscorp group as part of the merger.
“Scale is part of the reason and we felt there was a need to rid ourselves of duplication before we apply for our AFSL. We plan to do that in July and open for business with the new licence in October,” Rimmer says.
“But we feel the merger will also make us more attractive for recruiting and acquiring those businesses which may struggle to obtain an AFSL on their own.”
The merged group will continue to operate from its head office in Sydney and retain the Melbourne office of Inscorp, and will continue its representation in other states with plans to open an office in Perth some time this year.
The group currently has about 250 advisers, with Rimmer saying these are a mix of financial planners and risk advisers and should write in excess of $16 million in new risk premiums this year alongside the $1.5 billion in funds under advice.
