Industry Funds Services defends planners
Industry Funds Services (IFS) has defended its planners following the release of a research exercise that found deficiencies in aspects of Industry Funds Financial Planning (IFFP) services.
Research conducted by CoreData found Industry Funds Financial Planning (IFFP) advisers fell behind their independent or bank-aligned colleagues in their client engagement and service skills.
A shadow-shop conducted by the research group found IFFP planners were less likely to convert prospects into clients and had a “limited ability to meet individuals’ planning needs and cater to situations that differed from the norm”.
However, IFFP advisers were found by the 200-plus shadow shoppers to be “extremely honest”. The report also said IFFP advisers did not demonstrate “keenness” for business.
IFS national manager, marketing and distribution, Andrew Whiley said IFS — the consortium of industry superannuation funds that sponsor IFFP — disagreed with the conclusions of the report.
He said IFS and other independent groups constantly monitor the group’s adviser plan formulation and execution. Furthermore, Whiley said IFFP advisers are well equipped to deal with a wide range of client needs, a result of servicing members from 25 different funds with a large diversity of membership and financial requirements.
Whiley agreed that IFFP advisers were not trying to sell or promote financial products, which might go some way to explaining the lack of “keenness” for business. Their focus on meeting member’s needs, rather than product sales, could see them turn clients away at times when further advice is not required, Whiley said.
Whiley said IFFP advisers undergo “extensive” internal training and are encouraged to attain the highest levels of industry accreditation.
IFFP’s 70-plus advisers are paid a salary, with per-hour fees of $220 paid by clients to the licensee.
Recommended for you
Net cash flow on AMP’s platforms saw a substantial jump in the last quarter to $740 million, while its new digital advice offering boosted flows to superannuation and investment.
Insignia Financial has provided an update on the status of its private equity bidders as an initial six-week due diligence period comes to an end.
A judge has detailed how individuals lent as much as $1.1 million each to former financial adviser Anthony Del Vecchio, only learning when they contacted his employer that nothing had ever been invested.
Having rejected the possibility of an IPO, Mason Stevens’ CEO details why the wealth platform went down the PE route and how it intends to accelerate its growth ambitions in financial advice.
