The Brokerage sets a new standard
Mortgage dealer group The Brokerage has raised the entry bar for its brokers with a new professional standards policy.
As well as being members of the Mortgage Industry Association of Australia (MIAA) and meeting its requirements, all broker partners of the group must now have a detailed written business plan, professional office location, website presence and a comprehensive customer retention strategy.
The Brokerage has also introduced a fee for those new to broking, with the industry averaging 30 new entrants each week.
The Brokerage director and group communications spokesman Michael Osborne said the group hoped to lift the industry’s standards by first raising those of its own brokers.
“Sitting back and waiting for regulation simply isn’t good enough,” he said.
“Consumers and lenders expect more.
“What we are saying is that we are not going to play ball with you unless you show us that you are a serious operator.”
MIAA chief executive Phil Naylor said the dealer group’s new standards were consistent with that of the association, which was pushing the Government to increase regulations.
He said the risk of an under-regulated broking industry was that the consumer might be placed in the wrong product, which could cost them greatly.
The minimum standards required by the MIAA for its members include two years experience in mortgage lending, certificate four in mortgage broking and the successful completion of an online examination.
“Over time we are intending to raise those standards,” Naylor said.
Recommended for you
Digital advice tools are on the rise, but licensees will need to ensure they still meet adviser obligations or potentially risk a class action if clients lose money from a rogue algorithm.
Shaw and Partners has merged with Sydney wealth manager Kennedy Partners Wealth, while Ord Minnett has hired a private wealth adviser from Morgan Stanley.
Australian investors are more confident than their APAC peers in reaching their financial goals and are targeting annual gains of more than 10 per cent, according to Fidelity International.
Zenith Investment Partners has lost its head of portfolio solutions Steven Tang after 17 years with the firm, the latest in a series of senior exits from the research house.
