Are some advice remediation programs flawed?

advice financial planning education remediation

16 August 2018
| By Mike |
image
image
expand image

The robustness of the advice remediation programs conducted by the major banks has been questioned by an academic who has suggested some of the work has been carried out by contractors unqualified to deal with complex problems.

Adjunct professor in finance, Shantha Yahanpath has foreshadowed problems in the future from remediation programs which he claimed had been outsourced to consultancy firms which, in turn, had “sourced ‘contractors’ from recruitment companies and armed these contractors with ‘hot-housed’ financial planning diplomas”.

“Having taught financial planning programs at tertiary level, I can safely say that a financial planning diploma ‘hot housed’ within weeks is of little value even to handle simple financial planning problems let alone complex remediation problems,” Yahanpath said.

“The question is how robust these remediation programs handled by the ‘hot housed’ contractors are?” he said. “Most of the contractors use these programs as a short-term stepping-stone opportunity and some leave due to burn-out. Haven't they learnt anything from the problems created in the first place by taking short-cuts and keeping the regulators in the dark?”

Yahanpath claimed what was occurring in some remediation program was at odds with good enterprise risk management.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

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

3 weeks 5 days ago

This verdict highlights something deeply wrong and rotten at the heart of the FSCP. We are witnessing a heavy-handed, op...

1 month ago

Interesting. Would be good to know the details of the StrategyOne deal....

1 month ago

Insignia Financial has confirmed it is considering a preliminary non-binding proposal received from a US private equity giant to acquire the firm. ...

1 week 3 days ago

Six of the seven listed financial advice licensees have reported positive share price growth in 2024, with AMP and Insignia successfully reversing earlier losses. ...

6 days 7 hours ago

Specialist wealth platform provider Mason Stevens has become the latest target of an acquisition as it enters a binding agreement with a leading Sydney-based private equi...

5 days 11 hours ago