NAB outlines proposed client model
The National Australia Bank's (NAB's) proposed customer service model will be "beneficial" to most of its financial planners, according to MLC advice and marketing executive general manager Richard Nunn.
Responding to concerns raised by the Finance Sector Union (FSU) last week, Nunn said the new model would mean clients who do not currently have an active advice relationship with their NAB planner - or who have less complex advice needs - were serviced by phone-based advisers.
This will allow NAB planners to focus on clients with more complex needs, or who are seeking a full-service advice relationship, Nunn said.
"We have also been through an extensive consultation process with our advisers to work through how we align our business model to the new customer approach," he said.
This process resulted in some good feedback which helped to influence the new model, he added.
"While the changes to our business model may result in change to some advisers' revenue levels, [for] the majority of our advisers who are proactive and have strong customer relationships, this will be beneficial," he said.
"We also implemented a long transition period to allow advisers time to adjust to the new model."
According to Nunn, the new scaled model means the cost to customers better reflects the type of advice and services they require.
The FSU flagged potential loss of revenue, damage to established businesses and data error issues including inaccurate lists of customers as concerns raised by its members in relation to the new model.
Recommended for you
ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test.
Quarterly Wealth Data analysis has uncovered positive improvements in financial adviser numbers compared with losses in the prior corresponding period.
Holding portfolios that are too complex or personalised can be a detractor for acquirers of financial advice firms as they require too much effort to maintain post-acquisition.
As the financial advice profession continues to wait on further DBFO legislation, industry commentators have encouraged advisers to act now in driving practice efficiency.
