ING to outsource product research
ING Australia will outsource the investment research for its aligned dealer groups to external providers in an effort to reduce any perceived conflict of interests between the product provider and its clients.
A statement from ING said following a review of its dealer group research and approved product list (APL) development process it was decided that the research function, which is currently managed in-house through Financial Facts, is better placed outside the organisation.
“The ability to provide an outside perspective is best provided through external providers not linked to ING Australia,” ING aligned dealer groups general manager Charles Smith said.
ING will launch the new research service in January 2010. It will involve two research houses that will supply all research to ING Australia’s aligned dealer groups and will form part of each dealer group’s Investment Selection Committee. An ING appointed independent reviewer will review decisions made by the committee.
“By utilising external research providers and independent reviewer expertise, this new service will provide best practice governance that better aligns our research structure to the needs of the dealer groups with a fully transparent approach, and places the function of selecting the APL with the dealer groups, where the law places the obligation,” Smith said.
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