{"id":31476,"date":"2015-11-03T10:52:22","date_gmt":"2015-11-03T00:52:22","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=31476"},"modified":"2015-11-04T05:29:48","modified_gmt":"2015-11-03T19:29:48","slug":"licensees-poor-advice-and-churning","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2015\/11\/03\/licensees-poor-advice-and-churning\/","title":{"rendered":"Licensees, Poor Advice and Churning"},"content":{"rendered":"<div id=\"polls-153\" class=\"wp-polls\">\n\t\t<div class=\"pollHeader\"><strong>Do you believe your licensee takes appropriate action in dealing with serial churners?<\/strong><\/div><div id=\"polls-153-ans\" class=\"wp-polls-ans\"><ul class=\"wp-polls-ul\">\n\t\t<li>No <small>(54%)<\/small><div class=\"pollbar\" style=\"width: 54%\" title=\"No (54% | 90 Votes)\"><\/div><\/li>\n\t\t<li>Yes <small>(25%)<\/small><div class=\"pollbar\" style=\"width: 25%\" title=\"Yes (25% | 42 Votes)\"><\/div><\/li>\n\t\t<li>Not sure <small>(20%)<\/small><div class=\"pollbar\" style=\"width: 20%\" title=\"Not sure (20% | 34 Votes)\"><\/div><\/li>\n\t\t<\/ul><div style=\"text-align: center\"><\/div><\/div>\n\t\t<input type=\"hidden\" id=\"poll_153_nonce\" name=\"wp-polls-nonce\" value=\"be8de46055\" \/>\n<\/div>\n\n<p>Our latest poll has been motivated by comments made by ASIC&#8217;s <strong>Peter Kell<\/strong> at last week&#8217;s AFA National Adviser Conference, during which he contemplated the role played by licensees in dealing with advisers with a poor &#8216;track record.&#8217;<\/p>\n<p><!--more--><\/p>\n<figure id=\"attachment_31484\" aria-describedby=\"caption-attachment-31484\" style=\"width: 150px\" class=\"wp-caption alignright\"><a href=\"https:\/\/riskinfo.com.au\/news\/files\/2015\/11\/Peter-Kell-2.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-31484\" alt=\"ASIC deputy chair, Peter Kell... \" src=\"https:\/\/riskinfo.com.au\/news\/files\/2015\/11\/Peter-Kell-2.jpg\" width=\"150\" height=\"180\" \/><\/a><figcaption id=\"caption-attachment-31484\" class=\"wp-caption-text\">ASIC deputy chair, Peter Kell&#8230;<\/figcaption><\/figure>\n<p>Speaking at an advocacy session during the Conference, Kell pointed out that that &#8216;systemic issues&#8217; have had as much of a role to play in perpetuating the potential for poor advice as those who participate in its practice (see: <a href=\"https:\/\/riskinfo.com.au\/afa2015\/business-structures-allowed-poor-advice-to-continue\/#.Vjf9bCvgVHs\" target=\"_blank\">Business Structures Allowed Poor Advice to Continue<\/a>).<\/p>\n<p>In our story last week, we reported the ASIC deputy chair saying \u201cWe would all be kidding ourselves if we said the problems in the industry are just the result of a small number of bad apples. There have been more systemic issues, not necessarily because of the people, but the way structures have been put in place.\u201d<\/p>\n<p>Kell added there has been an ongoing problem of failing to report poor advisers or notify other advice groups when they have moved to another licensee: \u201cPeople have not identified them or when they move to another firm,&#8221; he said.<\/p>\n<p>This poll question relates to a subset of the poor advice practices discussed by Kell at the AFA Conference, namely churning. Historically, advisers have voiced their frustration, whenever the issue of churning has arisen, that life companies know who the serial churners are, but don&#8217;t do enough to address the problem. Does the same apply to licensee firms?<\/p>\n<p>Kell noted ASIC doesn&#8217;t expect dealer groups to be perfect: \u201cThe key test is not whether you maintain an absolutely flaw free record. It is how you respond to problems.&#8221; He asked whether dealer groups take prompt and appropriate action to rectify poor advice issues when they arise,\u00a0 \u201cOr do you fail to do most of those things thinking \u2018we have identified this, but it is embarrassing and we might move a person on\u2019 or \u2018they are doing well for us&#8217; and just give them a behind the scenes talking to.\u201d<\/p>\n<p>What has been your experience with your own licensee? Has your dealer done enough to address poor advice &#8211; specifically churning, within its ranks? Or do you think there&#8217;s more it can have done over the journey to appropriately address this issue, if and when it has arisen? Tell us what you think&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Our latest poll has been motivated by comments made by ASIC&#8217;s Peter Kell at last week&#8217;s AFA National Adviser Conference, during which he contemplated the role played by licensees in dealing with advisers with a poor &#8216;track record.&#8217;<\/p>\n","protected":false},"author":3,"featured_media":31526,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8,49,270],"tags":[4247],"class_list":["post-31476","post","type-post","status-publish","format-standard","has-post-thumbnail","category-compliance-regulation","category-polls","category-remuneration","tag-feature"],"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/31476","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=31476"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/31476\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/31526"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=31476"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=31476"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=31476"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}