Compare the pair of sole purpose tests
Outsider knows that all financial planners will be gratified to have heard that Industry Super Australia has joined with research and consultancy outfit SuperRatings to update the so-called ‘compare the pair’ advertising campaign.
Unless you’ve been living under a rock for the past decade or so, you’ll know that the ‘compare the pair’ advertising campaign played a significant role in removing commissions from the financial planning industry and in driving the Future of Financial Advice legislation.
So how has the campaign changed, you ask? Well, ISA and SuperRatings have come up with a plan to compare the pair over the short, medium and long-term – that is three years, 10 years and 15 years – rather than the single year equation which ran for so long.
Outsider is a little stunned at the boldness of the plan outlined by ISA chief executive, David Whiteley in circumstances where many of the chief executives of the superannuation funds which have paid for the advertising are being asked to front the Royal Commission into Misconduct in the Banking, Superannuation and Finance industry.
Outsider suspects that the Royal Commission may wish to compare its version of the sole purpose test against the version being relied upon by the ISA, but he is sure Mr Whiteley is more than up to the challenge of explaining how it all works.
AUTHOR
The Outsider
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