As the industry continues to debate the merits of opt-in, the Opposition has confirmed it would rescind the policy if it were to regain power in the next election.<\/p>\n
Speaking at the Financial Planning Association (FPA) National Conference last week, Senator Mathias Cormann<\/strong> said:\u00a0 “If we come into Government we will be overturning it.\u00a0 There’s absolutely no ‘ifs’ or ‘buts’ about it because we think it is bad policy.”<\/p>\n “Bernie Ripoll’s inquiry never recommended that there should be some attempt by Government to force people to re-sign contracts with their advisers on a regular basis,” he said.<\/p>\n “We have wasted the last two years…\u00a0 Why don’t we get on with the reforms where there is broad support and that are actually going to make a difference, rather than to come up with things that are going to make things more complex, less affordable and which make us the world champions of red tape?”<\/p>\n Senator Cormann’s comments were made during a heated industry panel discussion, which included FPA CEO, Mark Rantall<\/strong>, MP Bernie Ripoll<\/strong>, and Industry Super Network (ISN) CEO, David Whitely<\/strong>.<\/p>\n Introducing the session, facilitator Tony Jones<\/strong> said the panel would cover a wide range of industry issues, but the panellists found themselves continually returning to the debate over opt-in.<\/p>\n Arguments were made for and against the policy which much discussion focused around the intent of the opt-in provision.<\/p>\n Mr Whitely argued that the purpose of opt-in was to take action on ASIC’s recommendation to the Ripoll Inquiry to remove asset-based fees from the industry.<\/p>\n “If you don’t like opt-in, the much easier solution to this is to support a proposal that bans asset based fees,” he said.<\/p>\n Mr Ripoll said a requirement to communicate regularly with clients was not an administrative burden but a way to improve disclosure.<\/p>\n “Opt-out sounds great, but the reality is we know for a fact that people can’t opt-out, they don’t know how to opt-out, some of them don’t even know they’re in,” Mr Ripoll said.<\/p>\n “In terms of red tape I’d actually say there’s no more red tape than you do today.\u00a0 Who here doesn’t communicate at least once every 24 months with their clients?”<\/p>\n Speaking on behalf of his Association’s members, Mr Rantall said he was disappointed that the FoFA consultation had devolved into a debate over one area of reform, being opt-in, and accused the ISN of side-tracking the Treasury on this issue.<\/p>\n “What a tragedy that we can’t all get together as Australians and provide a better deal for consumers, because I know everyone in the audience would support that view wholeheartedly,” he said.<\/p>\n","protected":false},"excerpt":{"rendered":" As the industry continues to debate the merits of opt-in, the Opposition has confirmed it would rescind the policy if it were to regain power in the next election.<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[282,8,241],"tags":[],"class_list":{"0":"post-13354","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-associations","7":"category-compliance-regulation","8":"category-conferences-and-events"},"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/13354","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=13354"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/13354\/revisions"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=13354"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=13354"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=13354"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}We have wasted the last two years<\/h6>\n
What a tragedy that we can’t all get together as Australians and provide a better deal for consumers<\/h6>\n