FPA advises calm

The Financial Planning Association (FPA) is consulting with government and other industry players in light of the recent financial woes in overseas financial markets.

FPA deputy chief executive Deen Sanders said while there will undoubtedly be consequences for Australia’s financial services industry, it will be a while before the full extent of its impact on the financial planning profession emerges.

“People are uncertain about the impact the US and global situation will have on them. Consumers have already felt the early impacts in their superannuation returns and mortgages but these latest twists reinforce that they should be seeking advice rather than hitting the panic button. The markets are indeed volatile and the global financial climate is in new territory, but the advice from our international colleagues still shows the quality of the professional, regulatory and market climate of Australia,” he said.

“Everyone is nervous and a lot of people are confused by what it all means and our members are telling us their clients are calling but, importantly, they’re not panicking about the recent events.”

Sanders said as the financial markets become more volatile and uncertain for consumers, it was clear that now was the time to seek financial advice and not to panic.

“There are real consumer benefits and comfort in being part of a financial planning relationship and having the support and guidance of a Certified Financial Planner (CFP) professional through these challenges” he said.