There has been a mixed response from the financial services industry to the release this week of the first tranche of the Government’s Future of Financial Advice reform legislation.
Category: Remuneration
Opt-in Won’t Apply to Risk Commissions - Confirmation
August 30, 2011 – 7:18 pm
Advisers receiving commissions on risk advice will not be required to comply with the opt-in regulations outlined in this weeks’ draft Future of Financial Advice (FoFA) reform legislation.
Cost of Opt-in - Your Say
August 30, 2011 – 5:01 pm
One of the more contentious statements stemming from the release this week of the first tranche of the Future of Financial Advice draft legislation was the apparent acceptance by Financial Services Minister, Bill Shorten, that the cost of opt-in will equate to approximately $11 per client.
This observation from Mr Shorten has prompted us to ask how much you believe opt-in will cost the bottom line of your business.
Our question is:
Draft FoFA Legislation - Concessions on Risk Commissions in Super
August 29, 2011 – 11:56 am
Concessions on risk commissions in superannuation have been balanced by extending a ban on soft dollar benefits to include life insurance outside super.
These changes and other details have been announced today at the release by Financial Services Minister, Bill Shorten, of the first tranche of the Government’s Future of Financial Advice (FoFA) reform legislation package.
Key elements impacting the life insurance sector include:
Clear Adviser Position on Commissions for Advised, Non-advised Insurance
August 24, 2011 – 3:24 am
Financial advisers are in favour of a call to reconsider banning risk commissions along advised and non-advised lines, rather than along individual and group insurance lines.
FoFA Latest - Wait Almost Over
August 23, 2011 – 3:30 pm
The long-awaited Future of Financial Advice (FoFA) draft legislation is expected to be released within the next two weeks, according to a spokesperson for Financial Services and Superannuation Minister, Bill Shorten.
Call to Allow Risk Commissions on all Advised Services
August 17, 2011 – 11:17 am
The recent call for the Government to reconsider its position on banning risk commissions on group and default insurance policies is re-shaping the broader debate on banning risk commissions.
The argument is that the Government should not be making a distinction between individual and group risk, but should instead be distinguishing between advised and unadvised insurance.
Our latest poll question asks:
‘User Pays’ Advice System Won’t Work for Corporate Clients - CSSA
August 17, 2011 – 10:22 am
The Corporate Super Specialist Alliance (CSSA) has voiced its opposition to suggestions a ‘user-pays’ advice system should be introduced for members of corporate superannuation and other group schemes who are seeking financial advice.
Risk Commissions in Super May Stay - Shorten
August 3, 2011 – 4:45 pm
Financial Services Minister Bill Shorten has today said the Government is reconsidering its position on banning risk commissions on individual superannuation advice.
Adviser Opinion Divided on Future of Commissions
July 27, 2011 – 11:23 am
The majority of advisers say their business would not be sustainable if all commissions were banned, but there are indications a growing number of advisers may be preparing for this eventuality.
