2,900 advisers leave industry in wake of banks, AMP
The 2019 TOP Financial Planning Groups’ survey undertaken by Money Management has found that the departure of the Big Four banks and the change in strategy by AMP Limited resulted in the departure of almost 2,900 planners compared to last year.
But despite the ongoing change, the study confirmed that AMP managed to retain its spot as the largest player in the space notwithstanding an 8.8% fall in planner numbers across its groups. This may change as the company continues to adjust its planning business.
At the same time, IOOF was the only institution which significantly grew its planner numbers, mostly on the back of its completion of the acquisition of ANZ’s four aligned groups, making it the second-largest advice business in the sector by planner number.
Year-on-year the group saw the number of its planners to grow to 1,600 across all its group against 940 last year.
While the situation of the biggest players saw bank advisers forced to head to new homes, the fallout from the Royal Commission provided a fresh boost for mid-tier groups which successfully lured new advisers and, as a result, managed to climb up the rankings.
This would include Easton Wealth-owned, Merit Wealth which secured sixth place in the overall ranking this year, having increased its planner numbers to 400.
Further to that, SMSF Advisers Network, a group owned by the National Tax and Accountants’ Association (NTAA) which had a relatively small number of advisers a few years back, is now on its growth path.
In 2018 the group reported it had over 800 advisers and this year that number jumped to 991, as of July.
On top of that, this year’s study also found a number of companies which signalled the changes in their wealth management exposure.
For more detailed information please check Money Management’s full study that includes its annual ranking of the TOP Financial Planning Groups.
AUTHOR
Oksana Patron
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