- More Trusted Advisers Identified;
- Charge Against Adviser Withdrawn;
- Financial Services Australia’s Largest Industry;
- Westpac CEO Steps Down;
- MetLife High Court Challenge Dismissed
More Trusted Advisers Identified
A further 32 financial advisers have been added to the Beddoes Institute’s Most Trusted Advisers (MTA) Network.
Designed to serve as a referral source for consumers to advisers that other consumers profoundly trust, the MTA Network now has a total of 64 advisers on its register.
Director of the Beddoes Institute, Dr Adam Tucker, said the group was seeing phenomenal results from the advisers in the network.
“And their clients are gaining better outcomes than we have seen from other adviser relationships,” he said.
“The survey process is tough, and it is honest. Under a confidentiality agreement and with the consent of their clients, advisers have to hand over their whole client base to us for review.”
Consumers can source an adviser within the MTA Network by downloading the MTA App. Membership of the MTA Network is by invitation only, and advisers must meet strict benchmarked criteria in order to qualify.
Charge Against Adviser Withdrawn
An adviser facing court on a charge of making a false or misleading statement has had the charge dropped.
Walter Fullerton-Smith, a former Storm Financial adviser, was due to appear in Sydney District Court on Monday 17 November to answer one charge of making a false or misleading statement to obtain a financial advantage.
However, the Commonwealth Director of Public Prosecutions has withdrawn its charge, following the recent death of an elderly prosecution witness, and other developments. It is understood that the elderly witness, who has not been named, was to provide vital evidence in the case against Mr Fullerton-Smith.
The charge was brought against Mr Fullerton-Smith following an investigation by the Australian Securities and Investments Commission (ASIC) in 2012. Mr Fullerton-Smith has been permanently banned from providing any financial services (see: ASIC Action Leads to Two Permanent Bans).
Financial Services Australia’s Largest Industry
A new report commissioned by the Financial Services Council (FSC) has confirmed that financial services is Australia’s largest industry, accounting for 9% of GDP.
The report, conducted by UBS Global Asset Management, also showed that Australia has the fourth largest pool of superannuation funds in the world.
“While growth in other industries is slowing down, financial services is continuing to grow,” said outgoing FSC CEO, John Brogden.
“Our report shows that financial services is making a significant contribution to the Australian economy. It pays more corporate tax than any other sector, employs more than 400,000 people – most are well-remunerated and well-education − and contributes $130 billion to the economy each year.
“With the right policy settings, Australia has an enormous capacity to increase financial services exports,” Mr Brogden said.
Westpac CEO Steps Down
As has been widely reported, Westpac CEO, Gail Kelly, will stand down from her position, effective 1 February 2015.
Ms Kelly has been in her current role for seven years, and is regarded as one of Australia’s most successful CEOs. During her tenure, the value of the company has more than doubled, with market capitalisation increasing from just under $50 billion to around $104 billion. She has also championed the development of a diverse workplace, driving the growth of women in senior executive roles.
Replacing Ms Kelly as CEO is Brian Hartzer, Chief Executive, Australian Financial Services. In his current role, Mr Hartzer is responsible for Westpac Group’s retail, business banking and wealth businesses, including BT Financial Group.
Mr Hartzer described his appointment as a “great privilege”.
“Gail leaves a first class organisation,” Mr Hartzer said. “Westpac has a proud history of helping customers and supporting the economic development of the country. I intend to strengthen that leadership by making Westpac one of the world’s great service businesses, pushing the boundaries in digital transformation, and delivering strong results so that we are the best performing bank in the region.”
MetLife High Court Challenge Dismissed
A case involving a disputed TPD claim has been dismissed by the High Court.
As we reported in August 2014, MetLife issued a High Court challenge against the findings of the WA Court of Appeal, which awarded damages to a policy holder with a mental health disability claim (see: Case Study – Ward v Metlife).
The High Court refused leave for MetLife to challenge the appeal on 14 November 2014. This means the determination of the WA Court of Appeal, which found in favour of the claimant, will stand.
