BT dealer groups step into mortgage advice
|
|
BT-owned dealer groups Securitor and Magnitude are among the latest to formalise a relationship with a mortgage broker as they seek to expand their potential revenue streams and broaden services to clients.
Australian Finance Group (AFG) has been named the provider of mortgage aggregation services to advisers under the Securitor and Magnitude banners.
The move, one also taken by groups such as AMP in recent months, is aimed at tapping into new revenue streams and attempting to shore up business sustainability in advice practices (many of which face the risk of an ageing client base). The advice industry has struggled to create a service proposition for younger clients without large asset bases.
BT Financial Group head of dealer groups, Neil Younger, said advisers should be identifying that with house prices and interest rates rising, younger clients could benefit from advice about how to structure and manage debt.
The statement from BT Financial Group said Securitor and Magnitude advisers wrote or referred more than $270 million in mortgage business in the last financial year.
Under the new arrangement, AFG will provide services to advisers including mortgage product comparisons, compliance and marketing support, business management, online application software and competitive remuneration terms from a panel of lenders.
A practice development team will work closely with advisers in the implementation of the new initiative, Younger said.
Recommended for you
A financial advice firm has been penalised $11 million in the Federal Court for providing ‘cookie cutter advice’ to its clients and breaching conflicted remuneration rules.
Insignia Financial has experienced total quarterly net outflows of $1.8 billion as a result of client rebalancing, while its multi-asset flows halved from the prior quarter.
Prime Financial is looking to shed its “sleeping giant” reputation with larger M&A transactions going forward, having agreed to acquire research firm Lincoln Indicators.
An affiliate of Pinnacle Investment Management has expanded its reach with a London office as the fund manager seeks to grow its overseas distribution into the UK and Europe.
