Superannuation sentiment appears to shift on advice commissions

superannuation-funds/association-of-superannuation-funds/superannuation-fund-members/superannuation-industry/commissions/advice/financial-planners/

3 June 2008
| By Mike Taylor |
image
image
expand image

Attitudes appear to be changing within the superannuation industry on whether financial planners can provide appropriate advice when they are remunerated by way of commissions.

For the first time ever, the IUS/Super Review Super Outlook survey has come up with a split decision from respondents on the key advice question.

Asked, “Do you believe appropriate advice can be given to superannuation fund members in circumstances where planners are being paid by way of commissions?” the survey elicited a 50/50 response, with half saying yes and half saving no.

This compares with the strongly negative results recorded on the two previous occasions the question was asked within the IUS/Super Review survey.

What is more, a strong majority of respondents favoured allowing superannuation fund members to use a portion of their superannuation funds to pay for appropriate financial advice.

The survey revealed that 85.3 per cent of survey respondents favoured allowing the use of superannuation to pay for advice.

Equally importantly, the survey suggests that superannuation funds should be allowed to play a greater role in the provision of advice to their members.

Asked whether the regulators should relax the rules with respect to financial advice so that more could be provided by superannuation funds, 81.9 per cent of respondents said yes.

While the survey was conducted through October, November and early December and during the Association of Superannuation Funds of Australia conference on the Gold Coast, the results with respect to financial planning appear to indicate a greater involvement of financial planners in the superannuation industry.

The proportion of respondents describing themselves as working in the financial planning sector has increased by more than 25 per cent since the IUS/Super Review survey series was started.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

2 months 3 weeks ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months 4 weeks ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

5 months ago

ASIC has suspended the Australian Financial Services Licence of a Melbourne-based financial advice firm....

1 week 6 days ago

The corporate regulator has issued infringement notices to three AFSLs whose financial advisers provided personal advice to a retail client while unregistered....

2 weeks 4 days ago

ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test....

3 weeks 2 days ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND