Paragem announces further growth
Paragem has announced it has five new planner practices currently in the process of securing Australian Financial Services Licences (AFSLs).
This comes less than two months after the service provider stated that upcoming Future of Financial Advice (FOFA) reforms would suit its independent financial adviser (IFA) network business model.
The growth in the Paragem network is evidence of a growing demand for conflict free advice, according to Paragem director, Ian Knox.
David Smith of Hub Wealth Management, Paragem’s latest licensee, said that since he and business partner Andrew Wiefler obtained their own AFSL they were able to provide advice more tailored to clients and respond quickly to changing circumstances.
“Obtaining our own AFSL has meant we have full flexibility to access an extensive array of quality research, while also conducting an in-depth review of the quality and cost of available administrative solutions,” he said.
Smith said that with the assistance of Paragem the process had been easier than he expected from an administration and compliance perspective. Despite the added responsibilities, having greater control and being able to demonstrate an alignment of interests with clients made the effort worthwhile, he added.
Recommended for you
Shadow financial services minister, Luke Howarth, has stressed the Coalition’s commitment to reforming the CSLR, adding that he ultimately wants to “get rid of it”.
With just over three weeks until the federal election, the FAAA has put a reduction in red tape and further support for new entrants on its priority list for an incoming government.
The corporate regulator has issued infringement notices to three AFSLs whose financial advisers provided personal advice to a retail client while unregistered.
Rather than taking a controlling approach, the latest generation of overseas private equity deals is helping advice firms to achieve their growth ambitions, three commentators have said.
