AMP is on course for compliance with Investment Financial Services Association’s (IFSA) super charter from its July 1 members’ deadline next year, according to financial services managing director Craig Meller.
Meller has been tasked with reworking the group’s remuneration and product structure to position the group’s planners for a low/no-commission remuneration market.
The network, which is a member of both Financial Planning Association (FPA) and IFSA, has about 1300 advisers with AMP and 300 with Hillross Financial Services, making it one of the largest networks in the planning sector.
“We are at the end of the planning phase for rolling out the development that our planners will require to comply with the IFSA charter,” Meller told Money Management.
“From July 1 next year, any fees that an AMP-aligned planner gets when they are providing advice on super will be agreed upfront with the customer.
“The fees may still be collected through the product but, if so, they will have a customer’s instructions to do that.
“Conversely, if the customer’s not happy with the service and they don’t want to pay the fee, they won’t have to.”
Meller said approximately 70 per cent of AMP-aligned planners have “already been using our fee-for-service system”, and are therefore already familiar with the IFSA charter’s compliance requirements.