FPA chair defends board processes
Financial Planning Association (FPA) chair Julie Berry has defended the association’s board conventions and protocols in light of a public protest issued by one of its former board members.
Matrix Planning Solutions director Rob Pederson resigned from the FPA board on Monday, and has since been reported as having concerns over the decision making process and governance of the FPA board, among other issues.
His key concerns were reported to be about the process leading to the appointment of Mark Rantall as chief executive, frustration over the stall in the merger between the FPA and the Association of Financial Advisers (AFA), among other issues with the FPA’s policy positions. Matrix Planning Solutions was the instigator of FPA/AFA merger proposals.
Pederson is quoted as saying he did not have a “clear involvement” in the recruitment of Rantall.
Berry has strenuously refuted the claims, saying that Pederson was consulted on Rantall's appointment, and indeed endorsed it on the basis of having previously worked with Rantall on industry issues.
“I can tell you the corporate governance on that board is very strong. We’re very mindful of appropriate protocol at the table of making sure that communication and consultation does happen before recommendations get to the board,” she said.
Berry described a process whereby the FPA’s ‘remuneration and succession planning’ committee, which consists of three board members, undertake the bulk of the recruitment work before bringing updates and recommendations to the rest of the board.
“The board as a whole makes the decisions on [the final appointment],” Berry said.
“All the due process was followed.”
Berry said all board members voted on Rantall’s appointment, and that there was no dissension. Berry reinforced the fact that “no decisions are ever taken at the board without everybody having an opportunity to put their opinions forward and their views forward”.
Berry said Pederson's concerns with FPA board processes were not expressed in his resignation letter.
Pederson was not available for comment at the time of publishing.
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