Commissions debate no longer relevant
|
|
Whether you are for or against commissions doesn’t matter anymore, according to the managing director of Elixir Consulting, Sue Viskovic.
“The fact is it’s not a debate anymore, change is coming whether we like it or not,” Viskovic told a session of the Praemium Business Solutions Conference.
Although commissions have not been banned in Australia as they have in the UK, the threats to commissions are fast accumulating.
The Parliamentary Joint Committee Inquiry on Corporations and Financial Services did not recommend legislating against commissions, but it did suggest that there is no place in the industry for them.
But even if the Government decided not to legislate against commissions, Viskovic remained convinced that the industry super funds' campaign against commissions would continue to gain traction.
“Industry super funds — and other players in the market as well — will educate consumers about how easy it is to transfer out of their current super fund into a more cost effective one and stop paying those big, bad financial advisers,” Viskovic said.
Recommended for you
With an advice M&A deal taking around six months to enact, two experts have shared their tips on how buyers and sellers can avoid “deal fatigue” and prevent potential deals from collapsing.
Several financial advisers have been shortlisted in the ninth annual Women in Finance Awards 2025, to be held on 14 November.
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.
