Rule changes made planners ‘new’ entrants again

A raft of legislative and regulatory change in the financial planning sector has essentially made long-time advisers feel like new entrants to the profession, according to the Association of Financial Advisers (AFA) chief executive Brad Fox.

Speaking at the opening of the AFA National Advisers Conference in Cairns yesterday Fox said the change of the past few years appeared endless but that change was part of financial advice.

However advisers had been forced onto the back foot and should instead be taking proactive steps to promote themselves and their profession.

“Some of you are new advisers again because the rules have changed, the environment has changed, you have to change,” Fox said.

“You 100 per cent have opportunity to grab and control and own the change you want to have. You ca’nt put your head in the sand because we are under too much scrutiny,” Fox said.

“We need to fix these negative perceptions, we are not going to ignore it but, stare right into it and proactively do something about it. It is the reputation of our members here.”

He stated that among AFA members it was their third largest concern according to surveying conducted among its members in June.

Fox also said planners would be safe from the arrival of ‘robo-advice’ even though planners were in top ten professions to be challenged by technology.

“I can’t see time a robot can sit belly to belly can give someone the confidence that they are okay to retire,” Fox said.

“When you sit face to face with a client is a piece of human glue that gets in there and says ‘it is okay’ and I don’t see a computer doing that,” Fox said.

“I don’t see general advice doing that, or intra fund advice doing, I see you doing it.”