DIY dealer group service launches to market

Licensee service providers My Dealer Services (MDS) and Libertas Solutions have partnered to launch a build-your-own-dealer-group type service into the market.

The partnership will see the two companies join forces on helping advisory businesses come together, apply for the Australian Financial Services Licence (AFSL) and establish their dealer group, in addition to providing back-office infrastructure.

MDS chairman Don Wiggins said the new partnership had already produced one boutique dealer group with 20 aligned practices.

The benefits of focussing on smaller dealer groups versus the larger option were significant, according to Libertas managing director Mark Euvrard.

He cited lower professional indemnity excess and costs, quality independent research, ongoing continuing professional development (CPD), and commission with fee disclosure statement (FDS) capabilities, among others.

"The vision of Libertas is to allow advisers with similar interests and marketplace offerings to join forces and operate under a dealer group that is specifically focused on their very unique needs and requirements", said Euvrard.

"At the same time, they are able to outsource the dealer group services to an industry professional, thus allowing the advisers to focus on their clients and related business activities".

Both Wiggins and Euvrard said the number of practices wishing to set up their own licence was consistently growing over the last year.