Johnston burns bridges to go it alone
Financialplanning executive Ross Johnston has left dealer group Bridges to embark on a new venture as an independent consultant.
His consultancy, called Fintech Solutions, will provide a range of services including financial planning strategy advice, guidance on building dealer platforms, and estate planning consulting.
The financial planning industry has seen a raft of mergers and acquisitions in recent years and Johnston expects many disgruntled staff to leave larger organisations to launch their own ventures, creating a market for independent consultancy services like his own.
“A lot of financial planner groups are being bought by dealer groups, but the best financial planners will drop out of these dealer groups because they don’t want to conform, they are used to operating with a high degree of independence,” says Johnston.
Johnston expects to see some of the most qualified financial planners in the industry band together to form independent dealer groups, and Fintech Solutions will target this growing market.
Though his departure from Bridges was amicable, Johnston feels the company has slipped in the aftermath of its acquisition by Tower two years ago. Following the merger, Johnston says Bridges has seen a decline in growth in funds under management and its market position has weakened.
Johnston will use his experience to help advisers develop financial planning strategies, advising them on product selection, tax issues, risk profiling and asset allocation. He will also help dealer groups set up ‘virtual’ dealer services by outsourcing back-office dealing operations to external companies.
Recommended for you
Licensee Centrepoint Alliance has completed the acquisition of Brighter Super’s annual review service advice book, via Financial Advice Matters.
ASIC has launched court proceedings against the responsible entity of three managed investment schemes with around 600 retail investors.
There is a gap in the market for Australian advisers to help individuals with succession planning as the country has been noted by Capital Group for being overly “hands off” around inheritances.
ASIC has cancelled the AFSL of an advice firm associated with Shield and First Guardian collapses, and permanently banned its responsible manager.
