Financial planners not loyal to platforms


Despite the satisfaction with platforms reaching a nine-year high, a new survey suggests 40 per cent of financial planners would happily switch providers for lower fees.
Furthermore, 18 per cent of financial planners would switch platforms for better features.
This is according to Investment Trends' April 2012 Planner Technology Report, which was based on a survey of 1,412 financial planners, concluded in April.
"There is a very strong relationship between satisfaction and switching behaviour," said Investment Trends senior analyst Recep Peker.
"Relative to their market share, platforms with lower overall satisfaction ratings from their users lose a higher proportion of planners to other platforms," he added.
The same report found satisfaction with platform providers has reached a nine-year high, with Asgard Infinity eWRAP receiving the highest rating, closely followed by Colonial First State's (CFS') FirstChoice and FirstWrap.
Peker said the result followed around $130 million invested in new technology by platform providers.
"The platform industry has made significant improvements - the greatest areas of improvement being integration with planning software, BDM and dealer support, and admin fees," Peker said.
BT Wrap, CFS FirstChoice and Macquarie Wrap continue to lead in terms of marketshare, with recent figures showing BT Wrap administered close to 50 per cent of all funds.
Recommended for you
Money Management examines the share price of financial advice licensees over one year to 31 March, with M&A actions in the final quarter having a positive effect for two licensees.
A $3.5 million settlement for victims of Melissa Caddick has been approved by the Federal Court following an initial agreement last December.
The Reserve Bank of Australia has delivered its first rate decision since the introduction of a new board structure last month.
Digital advice provider Otivo has launched an interactive tool, powered by artificial intelligence and Otivo’s own advice engine, to help answer client questions.