Advisers should change more than just commissions
Advisers should utilise the proposed overhaul of financial advice as an opportunity to review more than just their remuneration structure, according to Strategy Steps director Assyat David.
Under the proposed changes trailing commissions, volume rebates and other sales-based payments to advisers would be banned from 2012.
David believes that these changes will not only affect the way fees are collected, but will push the financial planning industry further along the path towards greater professionalism.
“Changing times such as these encourage advisers to be more innovative, re-examine their client needs and how best to deliver real value to their clients and their businesses,” David said.
She added that advisers should also focus on their service providers to ensure they offer them support to achieve greater professionalism and an enhanced client value proposition.
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