Count leads financial adviser losses
The past week has seen eight financial advisers depart the profession, including six advisers leaving Count.
Wealth Data analysis recorded a net loss of eight advisers in the week ending 20 June, bringing overall adviser numbers down to 15,589.
This is the fourth consecutive week for adviser declines, equalling a total loss of 49 advisers over the period.
Some 20 licensee owners had net losses of 29 advisers in total over the week.
This was led by Count, which bid farewell to six advisers. Three moved from Merit Wealth and one from GPS Wealth, with all not showing as appointed elsewhere. The licensee lost an additional adviser from Paragem who joined Koda Capital and one from Count who joined LRM Wealth Management.
Both Sustainable Life Solutions and William Buck dropped by three advisers each, with none displaying as appointed elsewhere. Meanwhile, 17 licensee owners lost one adviser each, including Shaw and Partners, MIQ Capital and Fortnum.
In terms of adviser growth over the week, 15 licensees had net gains of 22 advisers all up.
Australian Retirement Trust (ART) saw the highest gains as it welcomed six advisers to its ranks. All joined from different licensees, with most returning to advice after having taken a break.
Centrepoint Alliance rose by two advisers after it appointed three and lost one adviser. IMFG also increased by two advisers, both being new entrants.
A small tail of 12 licensee owners welcomed one adviser each, such as Infocus, Telstra Super and Koda Capital.
This was also the second consecutive week of no new licensees, while one ceased operations. Last week, Money Management reported on the trend of ceasing licensees outweighing new players.
However, Wealth Data founder Colin Williams noted: “We expect a correction in the first weeks of reporting in July, as typically this is the time many advisers start their next stage of their business by taking out their own Australian financial services licence.”
“We know from previous research that some of the firms ceasing are due to mergers and acquisitions. However, the trend of new licensees is slowing and given the number that commenced a few years ago, it’s not surprising that some of these are now coming to an end,” Williams added.
Over the past 12 months, 115 new licensees have commenced and 89 have ceased, demonstrating a contrasting result from the current trend.
The end of financial year period is expected to see further volatility in adviser numbers as professionals look to switch licensees.
AUTHOR
Jasmine Siljic
Recommended for you
An acquisition of two advice practices by a national advice group has led to a shift in financial adviser numbers, with one losing 33 advisers as a result.
Platform HUB24 has taken a minority stake in an alternative investment company to design and offer a range of alternative products to financial advisers.
Contract Paraplanning Services, previously led by director Hayley Knight, has been acquired by two new owners looking to drive further growth in the business.
The vast majority of financial advice firms which are fully embracing and adopting new technologies are reporting an annual revenue north of $1 million, Netwealth reveals.
tHOSE 989 WHO ARE CEASED WILL GO ON TO LIVE A LONG AND HEALTHY LIFE JG