Another week of sharp adviser losses
Adviser numbers have fallen sharply for the second week in a row, experiencing a net change of -33, largely driven by licensees closing up shop due to having zero advisers, according to Wealth Data.
With a dozen licensees closing this week, the total closures over the last two weeks was 26, but smaller licensees may not have reported correctly due to being caught up in an Australian Securities and Investment Commission’s (ASIC) review of the Financial Adviser Register.
“Hence the large number of licensees being reduced to zero advisers. Again, this week we saw more advisers being ceased with their exit date backdated into 2021,” Wealth Data founder, Colin Williams said.
The closure of 12 licensees accounted for 17 adviser losses was led by RSM Corporate down net of five, while AIA, Centrepoint and Pitcher Partners Brisbane were all down by a net of three. None of the advisers commenced elsewhere in the week.
Meanwhile, six licensee owners were down a net of two including Count, Fiducian, WT Financial and Insignia, while a long tail of 31 licensee owners fell a net of one, including Fitzpatricks, Fortnum, and Telstra Super.
Looking at switches, only seven advisers ceased and recommenced on the register this week.
In terms of growth, Australian Retirement Trust (merged entity of Sun Super and Q Super) increased advisers by net three, all under the Sunsuper licensee. Capstone was up by two, taking one adviser away from Count and reappointing a former adviser who had a break.
A tail of 19 licensee owners were up net one each including Shartru, Castleguard (Lifespan), ASVW Holdings and two new licensees starting with one adviser each.
AUTHOR
Liam Cormican
Recommended for you
The month of April enjoyed four back-to-back weeks of growth in financial adviser numbers, with this past week seeing a net rise of five.
ASIC has permanently banned a former Perth adviser after he made “materially misleading” statements to induce investors.
The Financial Services and Credit Panel has made a written order to a relevant provider after it gave advice regarding non-concessional contributions.
With the election taking place on Saturday (3 May), Adviser Ratings examines how the two major parties could shape the advice industry in the future.
