{"id":2242,"date":"2009-07-22T09:48:40","date_gmt":"2009-07-21T23:48:40","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=2242"},"modified":"2009-07-22T09:53:36","modified_gmt":"2009-07-21T23:53:36","slug":"latest-poll-your-say-on-limited-advice-in-super","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2009\/07\/22\/latest-poll-your-say-on-limited-advice-in-super\/","title":{"rendered":"Latest Poll – Your Say on Limited Advice in Super"},"content":{"rendered":"

\"Vote<\/a><\/p>\n

riskinfo is\u00a0giving advisers the opportunity to have their say in our latest poll\u00a0on the provision of limited advice to superannuation fund members:<\/p>\n

<\/p>\n

Do you agree that superannuation fund trustees should be allowed to provide limited, single issue, personal advice to their superannuation fund members?<\/strong><\/em><\/p>\n

This latest poll question follows\u00a0the\u00a0reaction\u00a0generated by ASIC’s\u00a0recent announcement\u00a0that it will issue a class order relief that will allow superannuation trustees to provide limited personal advice to their fund members.<\/p>\n

Already there has been a strong response to this move by ASIC, with superannuation and institutional associations in favour of allowing limited personal advice to super fund members, contrasted by\u00a0adviser associations, who are strongly\u00a0against this proposition (see last week’s article: Limited Advice in Super – Battle Lines Drawn<\/a>).<\/p>\n

The division of opinion between the associations\u00a0reflects the interests and points of view of the members they represent.<\/p>\n

One comment riskinfo has received is from an adviser who has recounted his experience with a similar arrangement that has been implemented in New Zealand:<\/p>\n

In New Zealand “KiwiSaver providers” like ING for example can state which fund you are in, and how you can get a Government contribution, but they have to refer to an Adviser for anything more than that. They frustrate the clients by saying, “I cannot tell you what to do, you’d be better talking to an Adviser”.<\/em><\/p>\n

It’s worked for Advisers and clients since July 2007. I hope that helps you folks over there.<\/em><\/p>\n

Not sure whether it does, but perhaps we can learn from the experiences of others, even if the circumstances are not exactly the same.<\/p>\n

The broad argument in favour of ASIC’s class order relief centres on the contention that many more Australians will have access to basic personal financial advice – ‘…a victory for common sense<\/em>.’<\/p>\n

Some advisers have expressed their opinion that there is room for limited personal advice to superannuation members by trustees, which may in fact generate more advice opportunities for planners:<\/p>\n

Forcing super fund members to seek out an FPA or AFA member for some very simple and straight forward advice will only mean that more Australians will be deterred from obtaining any advice at all.<\/em><\/p>\n

The argument against the class order relief\u00a0is based\u00a0around the issue of the superannuation fund trustee being able to offer limited advice without being aware of its members’ broader needs and circumstances.\u00a0 This is best summarised by AFA CEO Richard Klipin’s<\/strong> comment that:<\/p>\n

“…it is not financial advice when the trustee does not have to know the member, does not have to understand the member’s needs and objectives, does not have to provide advice which takes into account the member’s entire financial situation, does not have to complete a risk profile on the member and when all the trustee has to offer in terms of investment is its own superannuation fund<\/em>.”<\/p>\n

Other arguments against the class order relief include the fact that super fund trustees may provide advice without necessarily being subject to the compliance regulations under which all financial advisers must operate.<\/p>\n

So, have your say on this controversial issue.\u00a0 Make your vote count and add your own comments below.\u00a0 We will report the outcomes to you next week.<\/p>\n

\"Vote<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

riskinfo is\u00a0giving advisers the opportunity to have their say in our latest poll\u00a0on the provision of limited advice to superannuation fund members:<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[49],"tags":[],"class_list":["post-2242","post","type-post","status-publish","format-standard","category-polls"],"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/2242","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\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=2242"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/2242\/revisions"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=2242"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=2242"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=2242"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}