Call for compulsory annual reporting on adviser trails
Superannuation funds should be required by law to inform members if they are being subjected to the payment of trailing commissions to financial advisers, according to the nation’s largest industry superannuation fund, AustralianSuper.
The big fund also wants grandfathered commissions to be banned.
The fund has used a submission to the Productivity Commission to back the proposition that the “the Australian Government should require superannuation funds to clearly inform, on an annual basis, all members who are subject to trailing financial adviser commissions”.
At the same time as the future of grandfathered commissions come under scrutiny as a result of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry, AustralianSuper said it “supports any proposal that seeks to make it clear to members that they are paying trailing commissions to a financial adviser”.
“AustralianSuper suggests that this may not be sufficient to protect members, particularly those in cognitive decline who continue to pay a trailing commission,” the submission said. “Also, this does not address the issue of what action a member may initiate if they do not want to pay trail commissions anymore.”
“AustralianSuper supports appropriate legislative measures that would ban grandfathered trailing commissions.”
Recommended for you
ASIC was active in the first quarter of 2025 with several financial adviser bannings and court action, while the FSCP also handed down outcomes to advisers.
With a joint venture announced between WT Financial and Merchant Wealth Partners, the firm may have a US background, but partner David Haintz has a long history with Australian financial advice.
The big four bank is set to see $40 million per annum in cost savings as it continues to migrate customers from its Asgard wealth platform to BT Panorama by FY26.
AMP North has added three new managers to its range of managed accounts for financial advisers and also extended its existing partnership with Betashares.
