A matter of time for Stockford
Thefate of the troubledStockfordgroup could be settled within a week after the company publicly admitted for the first time that it had decided on a wholesale sell-off of its financial planning practices as the only solution to its continuing share market woes.
In what could effectively signal the end of the Stockford group, the company said last week it had “resolved that the only option available, if it is to retain some value for its shareholders, is the sale of all or a material number of Stockford’s existing business units”.
The group said its discussions with Investor Group (IGP), which has made a bid for some of Stockford’s practices, were continuing, but could be completed within two weeks.
“While there is currently no agreement between Stockford and IGP for the sale of any one or more of Stockford’s business units, and no certainty that any agreement will result from the present discussions, Stockford expects to finalise its discussions with IGP within the next two weeks,” Stockford says.
Stockford also confirmed last week that it had given its principal advisers the option to buy their businesses back from the group.
According to Stockford principals, the option has been offered as an alternative for those who choose not to accept the IGP offer.
Recommended for you
An adviser has received a written reprimand from the Financial Services and Credit Panel after failing to meet his CPD requirements, the panel’s first action since June.
AMP has reported a 61 per cent rise in inflows to its platform, with net cash flow passing $1 billion for the quarter, but superannuation fell back into outflows.
Those large AFSLs are among the groups experiencing the most adviser growth, indicating they are ready to expand following a period of transition and stabilisation after the Hayne royal commission.
The industry can expect to see more partnerships in the retirement income space in the future, enabling firms to progress their innovation, according to a panel.
