CPA Australia pricing licensing with caveats
The accountants licensing pricing model being pursued by CPA Australia Advice appears to be geared towards encouraging the take-up of its comprehensive adviser option.
That is the analysis of competitor groups who have examined the CPA Australia Advice pricing model which starts at $695 a month for a basic adviser package, growing to $1,250 a month for a so-called level 2 "Strategic Adviser" package and topping out at $1,760 for the Comprehensive Adviser package.
However a number of dealer group heads noted that CPA Australia Advice was promoting its pricing at the same time as acknowledging that the business still remained to be fully licensed by the Australian Securities and Investments Commission (ASIC).
The pricing structure announced by CPA Australia Advice appears less than competitive when weighed against the offerings of some financial planning dealer groups at the entry levels but highly competitive at the upper level because it is inclusive of xplan software licensing.
Commenting on the CPA Australia Advice licensing offer, Premium Wealth Management chief executive, Paul Harding-Davis said it represented an interesting approach but that accountants would have to make some key assessments.
"Beyond that, CPA Australia Advice has taken on an interesting challenge in recruiting to its offering without necessarily holding a license," he said.
The CPA Australia Advice web-site detailing the pricing offer notes that CPA Australia Advice has applied for an AFSL and an ACL and "the services described and the materials on this website may change in the event that ASIC grants the licences to CPA Australia Advice. There is therefore no warranty as to their currency. CPA Australia Advice will not process applications from any prospective Authorised Representative unless ASIC grants the AFSL and ACL licences".
Recommended for you
Government has introduced a bill to Parliament to legislate the first stream of the QAR reforms.
ASIC now has a 1:1 ratio when it comes to court success in the enforcement of crypto activities and more action is expected as Treasury seeks to introduce a regulatory framework.
A leading governance body has hit out at “specialist interest groups proposing ad hoc law reform” when it comes to reforms of financial services legislation and believes an independent body is needed.
The release of ALRC’s final report into financial services legislation has highlighted financial advice as a “significant” focus as it seeks to reduce costs and help advisers understand their obligations, alongside the Quality of Advice Review.