Experienced Advisers Dominate in Single Adviser Licensees


The change in Government has seen speculation about the opportunities that may be given to experienced advisers and Wealth Data has found that within the single adviser licensee sector, nearly 90 percent have more than 10 years experience.

Wealth Data’s Colin Williams’ latest Weekly Financial Adviser Movement report highlights that 89.4% of advisers in a single adviser licensee commenced before 2012 while licensees with between five and nine advisers had the lowest rate at 58.2% of advisers with more than 10 years experience.

Williams’ chart looks at the size of licensees and has been filtered for licensees that are in the Financial Planning Business model.


Courtesy of Wealth Data. The column on the end highlights the percentage of advisers who commenced before 2012.
Colin Williams.

He says while the devil will be in the detail, his tables show there are a lot of advisers who could well gain from any change (also see: Fixing Advice Sector Key Priority for New Minister).

When licensee peer groups are looked at, the data shows that 63.1% of all advisers have a year commencement date of before 2012. The highest percentage at 67.9% is for the Investment Advice (focus on investments only) and Financial Planning at 66.5%.

Courtesy of Wealth Data.

Williams says that Accounting – Limited Advice (SMSF advice) is the least experienced at only 12.5%, “…as most of the advisers in this business model commenced from 2016. Therefore, any benefits for advisers with more than 10 years experience will have little use to this sector of the advice market.”

Key Weekly Movements

Meanwhile, Williams says key adviser movements show that for the fourth week in a row the data was dominated by licensees effectively closing (down to zero advisers).

“This week, 31 closed bringing the YTD to 229, more than double the number for the previous corresponding period, which was 103.”

He adds that in the financial year to date, “…the numbers look worse as many are backdating losses, with 369 closed versus 166, for the same corresponding period.”

Key Adviser Movements:

  • Net change of advisers – down 89
  • 25 licensee owners had net gains for 35 advisers
  • 69 licensee owners had net losses for 126 advisers
  • One new licensee commenced and 31 ceased
  • One provisional adviser commenced and zero ceased