Advisers still trying to tackle fee disclosure automation
With fee disclosure requirements for financial advisers just around the corner, Adviser Logic managing director Gundeep Sidhu says that he is still seeking clarity from dealer groups and practices about how they want this process automated.
Under Future of Financial Advice (FOFA) reforms, advisers who charge an ongoing fee (that continues for longer than 12 months) must disclose the services they have provided to clients over a 12-month period.
According to Sidhu, a number of his financial adviser clients are still grappling with the most efficient way to communicate this to their clients.
Adviser Logic is currently in the process of updating its email distribution capability, which will allow advisers to automate the process of disclosing these services to clients, he said.
He said he has taken the approach of going above minimum ASIC requirements by giving advisers the ability to segment their clients in relation to how often they want to be notified of the services they've received - whether that be over a monthly or (the minimum) 12-month timeframe.
He added Adviser Logic has plans to launch a separate section within its current application so advisers can adequately track their regulatory requirements for each client.
"So users will be able to keep track of what they are supposed to do and what they have done," he said.
"From a technology point of view it's a matter of maintaining a few dates and making sure the communication has happened with the client on those dates."
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