Brokers should prep for industry change
Mortgage brokers have been told it is inevitable their industry will follow financial planning and they should prepare accordingly.
The principal of Financial Consulting Australia, Joe Mennea said the broking industry has made significant advances to implement improvements to standards, which would lift the standing and appreciation of the service they provide.
Mennea warned, however, that reviewers of the industry should be cautious to not suffocate brokers and their relationships with clients, but that brokers should be ready for change, for example mandatory educational qualifications, nonetheless.
“Entry level academic qualifications and accreditation supported by ongoing study and professional pathways to reflect importance of the industry can only serve to provide customers with reassurance and confidence,” said Mennea.
160 students undertook the Diploma of Finance and Mortgage Broking Management course, with mentor founder and principal, Mark Sinclair, likening the course to that required of financial planners.
“It was inevitable that the broking sector would follow the financial planning industry and respond to industry and government pressure, market consolidation and heightened scrutiny in general,” said Sinclair.
AUTHOR
Anastasia Santoreneos
Recommended for you
Results are out for the latest sitting of the ASIC financial advice exam, with the pass rate falling for the second consecutive sitting.
Adviser losses for the end of June have come in 143 per cent higher than the same period last year, and bring the total June loss to over 350.
ASIC’s enforcement action is having an active start to the new financial year, banning a former Queensland financial adviser for 10 years in relation to fees for no service conduct.
ASIC has confirmed the industry funding levy for the 2024–25 financial year, and how much licensees can expect to pay.
