Banks still paying millions to dealer groups
Australia’s major banks have confirmed that millions of dollars a year are still flowing to financial planning dealer groups to support the banks’ products in the market.
A series of answers provided to the Parliamentary Joint Committee (PJC) on Corporations and Financial Services review of Life Insurance has confirmed the degree to which payments continued to be made in the interests of educating advisers.
The ANZ Banking Group confirmed to the committee that it paid $2.7 million to external dealer groups last financial year with the payments “used for education and training of their financial planners”.
Similarly Westpac’s insurance arm, Westpac Life Insurance Services Limited was confirmed as making “payments to certain adviser dealer‐groups for the purpose of adviser education and training, including for changes to products”.
However, in explaining its approach, Westpac said the Life Insurance Framework (LIF) reforms, commencing 1 January, next year, “will ensure these payments are quarantined for this purpose”.
Recommended for you
AFCA has confirmed United Global Capital’s membership of the body will not be extended to accept further complaints, avoiding a repeat of the Dixon Advisory scenario.
Three of Australia’s largest financial advice groups have shared their thoughts with Money Management on whether they would include crypto on their approved product lists.
Shadow treasurer Angus Taylor has vowed to introduce a bill to legislate a raft of financial services reforms if the Coalition is elected.
Money Management examines the share price of financial advice licensees over one year to 31 March, with M&A actions in the final quarter having a positive effect for two licensees.
