• Home
  • About Us
    • Who We Are/ Testimonials
    • What We Do
    • Our Fees & Service
  • Advice
    • Wealth Creation
    • Wealth Protection
    • Wealth Preservation
    • For Women
  • Ethical Investment
    • Our Ethical Portfolios
    • Charitable Giving
  • Impact Investment
  • Not Bank Owned!
  • Blog
  • Contact Us
    • Links

Getting Financial Advice – Buyer Beware!

Posted on:  11 Apr 2014    Posted in:  News

 

Questions raised about ‘systemic bias towards in-house products’ at institutional licensees (in CBA Bank and AMP). As Aleks Vickovich (ifa.com.au) reports, whistleblowers have been lifting the lid on sales incentives in the current Senate inquiry.

JustInvest is a family business, licensed via Sentry Financial Services (not a bank). We own our business, so we don’t get bonuses based on reaching sales targets! Contact us today to discuss the type of strategic financial advice that we offer.

Details follow:

‘According to Mr Morris, the culture of bonuses within vertically integrated businesses is a far greater problem than pre-FOFA product commissions due to the “cascading effect” right up the chain to senior wealth management executives. “[Commonwealth FP’s] remuneration model has changed, but it only has a ‘reduced emphasis’ [on sales],” Mr Morris told the inquiry, paraphrasing from the Commonwealth Bank’s submission’.

http://www.ifa.com.au/news/13113-cba-whistleblower-fofa-won-t-fix-broken-system?utm_source=IFA&utm_campaign=IFA_Bulletin11_04_2014&utm_medium=email

‘”Given that many of these AFSL holders are owned and operated by institutions that supply the financial products recommended to retail advice clients, AFSL holders develop APLs which virtually exclude all other products from providers who compete with their parent company,” Mr Wood wrote. “As a result of the systemic bias within the AFSL holder organisations, clients are not recommended to use alternative financial products provided by a competitor of the AFSL holder’s parent company regardless of any superior ability to meet the client’s needs.”’

http://www.ifa.com.au/news/13091-amp-planner-blows-whistle-on-product-bias?utm_source=IFA&utm_campaign=IFA_Bulletin07_04_2014&utm_medium=email

There is some good information about financial advice and how to look for a Financial Planner on the ‘MoneySmart’ website:

www.moneysmart.gov.au/investing/financial-advice/do-you-need-advice

 

 

Search our Site

Browse by Category

  • Ethical/ RI (47)
  • Events (18)
  • for Women (7)
  • News (109)
  • Retirement (14)
  • Risk Insurance (10)
  • Superannuation (33)

Recent News

  • Top 5 Environmental Films: Ethical Investment Week 2020 Top 5 Environmental Films: Ethical Investment Week 2020
    26-10-2020
  • Saving 'Planet A' with your Super Event Saving 'Planet A' with your Super Event
    19-10-2020
  • Spotlight on Engagement: Encouraging Companies to Manage ESG Risks Spotlight on Engagement: Encouraging Companies to Manage ESG Risks
    16-09-2020
  • A Cautionary Tale: Super Funds..sometimes you get what you pay for! A Cautionary Tale: Super Funds..sometimes you get what you pay for!
    9-09-2020
  • Risk Insurance for Health Workers: Covid-19 Risk Insurance for Health Workers: Covid-19
    14-05-2020
JustInvest Financial Planning Pty Ltd is an Authorised Representative of Ethical Investment Advisers AFS Licence 276544
© 2020 JustInvest Financial Planning Pty Ltd. All Rights Reserved
  • Contact Us
  • Sitemap
TwitterStumbleUponRedditDiggdel.icio.usFacebookLinkedIn