Count set to grade adviser
By Zoe Fielding
CountFinancial has released more details of its new adviser grading system, which will split advisers in the independent financial planning network into three levels, based on qualifications.
Basic PS 146 compliance will put advisers at ‘Level 1’ when the new system takes effect from July 2006.
Count Financial chief operating office Marianne Perkovic said advisers will automatically achieve Level 1 status on completion of introductory training.
Financial planning designations, such as CFP, CPA (FPS) or CA — financial planning specialist, will earn advisers a ‘Level 2’ grading.
“Level 3 is the highest level and will be awarded on application only. Aside from holding a financial planning designation, advisers will also be required to pass a technical exam and meet other competency requirements,” Perkovic said.
Advisers with appropriate qualifications will be assessed for technical competence based on the “strategic content” of Statements of Advice submitted to Count head office. They will also sit an exam to test their strategic capabilities in either one or a number of competency areas which are yet to be finalised, but are likely to reflect the competency areas in PS 146.
Advisers achieving Level 3 status will be eligible to receive credit points, called ‘CTCs’ — standing for ‘Contributions to Count’ — which can be converted into Count share options.
CTCs are also awarded to Count franchisees as part of a new remuneration structure which was unveiled at the group’s recent annual conference. Count expects to introduce this model and phase out its existing remuneration model by 2005-06.
Level 3 advisers will also be given priority for client referrals from head office, and will be subject to reduced scrutiny on compliance.
Currently all plans worth over $300,000 must be submitted to the group’s head office for checking, but under the new system, Level 3 advisers will only have to submit plans worth over $600,000.
Perkovic expects some advisers to approach head office looking to apply for Level 3 status, while others will be “hand picked” to apply by business development managers from Count head office.
Perkovic said the new system is designed to encourage Count advisers to continuously improve their knowledge and skills.
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
