Financial planning dealer group WB Financial will soon dissolve and fold into the Commonwealth Bank (CBA)-owned Financial Wisdom.
WB Financial, which is based in Queensland and currently runs its own financial services and credit licences, has around 14 aligned financial planning practices around the country, according to the latest data.
The bank refused to comment on the matter, but Money Management understands WB-aligned practices will fold into Financial Wisdom in the coming months, with some back-office and administration staff to be made redundant in the process.
It is not yet known whether all WB-aligned practices would be invited to operate under the CBA-owned dealer group.
The move comes after predictions by industry experts that the Future of Financial Advice (FOFA) reforms would place increasing financial pressure on financial services licensees without significant scale.
The period leading up to the FOFA start date has, in fact, seen financial planning businesses of all sizes seek shelter under the umbrellas of large institutions. DKN and Plan B were bought out by IOOF, Count was acquired by CBA and Iris Financial Group was acquired by AMP-owned Hillross in 2011, to name a few.
The WB Financial move also comes a couple of months after CBA announced it would shut down Whittaker Macnaught and offer some advisers the chance to start up their own businesses under Financial Wisdom.
