Fortnum and netwealth to merge
Independently-owned financial planning licensee Fortnum Financial Group is set to merge with platform provider netwealth Investments' subsidiary, Financial Planning Services Australia (FPSA).
The proposed entity with be jointly-owned by Fortnum and FPSA's 20 member firms, and will focus on providing innovative investment, superannuation, and administration solutions to financial planners and accountants.
Under the proposed agreement, netwealth will continue to provide a range of services including platform, managed account, financial planning software, and compliance services to the broader Fortnum and FPSA group of 54 principal practices and 130 advisers.
Commenting on the merger netwealth's joint managing director, Michael Heine, said FPSA advisers would get access to Fortnum dealer services.
"We decided to partner with Fortnum because we wanted a group with the technical compliance, practice development, business coaching and investment skills to support out advisers, but also a group that shared our commitment to championing a strong IFA market," Heine said.
"The new arrangement will deliver the scale and services required to meet the needs of professional advisers and their clients in a rapidly changing and highly regulated market."
Fortnum's managing director, Joel Taylor, said the merger would deliver cost and scale benefits, expand Fortnum's footprint nationally, and strengthen the voice of independently-owned advisory groups.
The deal is expected to be completed by 31 October.
Recommended for you
Insignia Financial has returned to profit in FY25, after a $185 million loss in the previous year, while its advice division grew their revenue per adviser by 14 per cent.
With licensee switching on the rise, particularly for newer advisers, compliance expert Sean Graham has shared red flags to watch out for when making the jump between AFSLs.
Beyond their investment benefits, over a third of advisers say utilising managed accounts solutions has allowed them to take on more clients, according to Praemium.
Insignia Financial’s wrap platform has appointed Heidi Press, former HUB24 head of product management, to spearhead the design and delivery of the MLC Expand platform.
