New Guardian boss unveils plans

Guardian has announced a new growth strategy, in which it will be targeting the acquisition of independent financial advisers (IFAs) and releasing an online business health check tool.

Just 10 weeks after joining the firm, new Guardian executive manager Simon Harris (pictured) has completed a strategic business review of the Suncorp-owned dealer group, and is hoping to grow the current number of authorised representatives from close to 150 by around 10 per cent per annum over the next three years.

Advisers from smaller licensees may be tempted towards a “flight to security” in the aftermath of the global financial crisis and in the lead-up to what could be substantial regulatory changes when the Government’s Future of Financial Advice (FOFA) reforms are eventually handed down, he said.

“There’s a feeling among independent advisers that they need to have the support of a larger organisation to help them get through any possible changes that will impact their businesses,” Harris said.

Guardian would be looking at both adding new practices and growing existing practices, and new advisers may also be attracted by Guardian’s strong back-office infrastructure that takes care of a lot of the administrative duties, allowing advisers to spend more time with clients, Harris said.

Guardian advisers are able to use the group’s scale to cut costs, with what is almost a virtual office assisting with compliance tasks, Statement of Advice development, paraplanning and strategic modelling, he said.

It is important for Guardian to be selective and only take on advisers who are a cultural fit for the group rather than to grow indiscriminately, he said. He added that part of the group’s growth strategy had been to attempt to create a collaborative environment and an environment that advisers will want to be a part of, he said.

Although Guardian is owned by Suncorp Life, Harris said the concept of independence was important and independent financial advisers who joined would have a wide and expansive Approved Product List to select from and would not be dictated to in terms of what they can recommend to clients.

Guardian is an independent Australian Financial Service Licence network that is not aligned to one of the big banks, and for advisers who want to work as an independent business person Guardian will provide a support network that encourages growth through a support program called the Guardian Business Academy, Harris said.

The toolkit is an online health-check tool developed in partnership with Business Health and with other strategic partners including CommInsure, OnePath and Asteron.

Around 70 Guardian practices have so far completed the health check, which benchmarks an advice business against 2000 other practices, looking at the end-to-end business and rates it in terms of how fit or unhealthy it is, Harris said.

The Guardian team has been specifically trained on how to mentor businesses in areas where the tool deems a business to be unfit, he added.

“This initiative allows our practice development teams to work more closely with the Guardian advisers – the lifeblood of our business – and coach them on developing more successful practices,” Harris said.