IOOF lost 65 financial advisers during the first quarter of FY22 while it also lost 37 practices from the self-employed channel.
In a quarterly update announced to the Australian Securities Exchange (ASX), the firm said the total number of advisers lost during the three months to 30 September, 2021 was 65.
The main contributors to this loss were from Lonsdale (10), Consultum (13) and M3 (10).
“The number of practices in the self-employed channel was 539, a decrease of 37 in the quarter. The number of self-licensed practices at 104 was largely unchanged in the quarter,” it said.
“There was a decrease in the number of smaller practices in the self-employed channel due to the offboarding of 37 practices primarily from Lonsdale and M3 which ceased or transferred to new licensees.
“Correspondingly, the self-employed adviser numbers reduced by 63 with the main contributors being Lonsdale, Consortium and M3 as advisers moved to new licensees, with five moving to IOOF’s Self-Licensed Alliances model. The majority of the departures were considered unsustainable for the advice strategy and associated support model.”
Looking at total adviser numbers, which stood at 1,883 at the end of the quarter, IOOF said a slight increase in employed channel was offset by a decline in the self-employed and self-licensed channels.
“Continued focus on practice sustainability as well as professional standards contributed to some re-basing of adviser numbers,” IOOF said.