Fiducian signals business as normal post-RC

Indy-Singh/Fiducian/FOFA/

7 February 2019
| By Mike |
image
image
expand image

Publicly-listed diversified financial services firm, Fiducian has signalled business as usual in the wake of the Royal Commission.

In a statement released to the Australian Securities Exchange (ASX), Fiducian executive chairman, Indy Singh said the firm saw no need to alter its business model or the way it operated or intends to operate in the future.

He said the final report of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry had reiterated the norms of conduct which implied that law was to be obeyed, that client interests must come first, that clients should not be misled and that services should be fit for purpose, delivered fairly and with reasonable care.

Singh also signalled that Fiducian would not be significantly impacted by an end to grandfathered commissions from the beginning of January 2021.

He said the firm had been working on converting commissions to fee for services that were agreed in writing with clients since the implementation of the Future of Financial Advice (FoFA) changes.

Singh said the bulk of clients were already on fee for service arrangements and those that were outstanding included client book acquisitions made over the last few years which were in the process of conversion.

His statement said about four per cent of the group’s net revenue was from grandfathered commissions, and it was estimated these would be largely covered to fee for service before 2021.

Singh said that insurance commissions and mortgage broking were not Fiducian’s core business and were therefore not likely to have a material impact on revenue.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

1 month 3 weeks ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months ago

Entireti has unveiled the new name for the AMP financial advice businesses that it acquired last year....

4 weeks ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

2 weeks 6 days ago

Minister for Financial Services, Stephen Jones, has provided further information about the second tranche of the Delivering Better Financial Outcomes (DBFO) reforms....

1 week 5 days ago

TOP PERFORMING FUNDS