Consumers reject industry qualifications
Themajority of high-net-worth individuals reject the qualifications from Australia’s major professional associations when choosing a planner, a new study conducted by the Australian Investors Association (AIA) claims.
The study, based on a poll of 240 delegates to the recent AIA national conference, found only 48 per cent of those surveyed, who each had at least $1 million to invest, considered a professional qualification from groups like the Financial Planning Association (FPA) or CPA Australia as an important factor when choosing a planner.
By comparison, 97 per cent of respondents said that a rating gained independently of professional associations would be an important factor when choosing a planner.
The director of the AIA, David Child, says the major professional bodies had not taken investors into consideration when forming their designations.
He says investors do not understand the range of professional designations, such as the FPA’s DFP and CPA Australia’s Financial Planning Specialist.
Recommended for you
Large wealth management players are increasingly taking an opportunistic approach to their M&A deals rather than a strategic one, while a fear of missing out is driving smaller players to consider selling up.
More than $2 billion in investment activity was recorded for Australian fintech firms last year, according to KPMG, with the GDG/Lonsec acquisition proving to be a notable deal in the second half.
Praemium has stated it is seeking accretive acquisition opportunities in the area of non-custodial solutions where it believes it can further grow its dominant market share.
Iress chief executive Marcus Price has shared how he is seeing “massive tailwinds” in financial advice in Australia, with the firm turning its attention to digital advice following the completion of its transformation project.
