ISA’s Whiteley attacks banks on advice
Industry Super Australia (ISA) chief executive, David Whiteley has claimed the major banks are lobbying for the return of sale commissions for financial advice and compulsory super.
In a statement released on the ISA website, Whiteley has said the Government should "reject efforts by bank-owned super funds to dilute consumer protections in financial advice and remove the quality filter for super defaults".
"This particular challenge will be front and centre again this Thursday, when the proposal to abolish key Future of Financial Advice (FOFA) consumer protections is examined by the Senate Economics Committee," Whiteley's statement said.
"The major banks are lobbying for the return of sale commissions for financial advice and compulsory super, dilution of the best interests test and the ability to pay financial planners indefinite ongoing percentage based fees," he said.
The statement claimed the major banks were lobbying for the return of sale commissions for financial advice and compulsory super, dilution of the best interests test and the ability to pay financial planners indefinite ongoing percentage based fees".
It said the FOFA laws, in their current form, were estimated to deliver an additional $144 billion in aggregate savings by 2027.
Recommended for you
With the final tally for FY25 now confirmed, how many advisers left during the financial year and how does it compare to the previous year?
HUB24 has appointed Matt Willis from Vanguard as an executive general manager of platform growth to strengthen the platform’s relationships with industry stakeholders.
Investment manager Drummond Capital Partners has announced a raft of adviser-focused updates, including a practice growth division, relaunched manager research capabilities, and a passive model portfolio suite.
When it comes to M&A activity, the share of financial buyers such as private equity firms in Australia fell from 67 per cent to 12 per cent in the last financial year.
