Paragem signs-up second client
Boutique dealer support and services company Paragem has signed up its second client since it was launched in May by former Sealcorp head, Ian Knox.
Newcastle-based financial planning firm Novatax have entered an alliance with Paragem to review their business model and advise on the competitiveness of its arrangements with service suppliers.
Novatax claims to have more than 500 clients and $200 million in funds under advice.
The deal follows Paragem's strategic alliance in August with advice group, Boutique Financial Services (BFS) to access dealer support services and platforms.
BWS is a subsidiary of the Boutique Group, which was formed in August by the amalgamation of Tony Bennett's Benwest Investment Services and Lifestyle Financial.
Meanwhile for this latest deal, Novatax principal Kevin Doyle says the group is trying to “improve its economies of scale through a broader relationship with Paragem at a time of escalating industry compliance and regulatory costs”.
“The scope of the appointment is to review and advise upon all market options, including the benefits of scale made available through Paragem’s business model,” Doyle says.
Confident of “announcing further appointments during the next month or two”, Knox says he’s been in discussion with a “number of groups and individual’s looking for licensing facilities during the course of the year”.
“There’s a groundswell of interest occurring as people are increasingly become aware of Paragem's value proposition, which includes reducing costs for them,” Knox says.
Recommended for you
ASIC has suspended the Australian Financial Services Licence of a Melbourne-based financial advice firm.
Despite industry criticisms, Financial Services Minister Stephen Jones believes the Labor government has moved the financial advice reform dial forward “significantly” during his term.
The Australian Institute of Company Directors has shared which issues are keeping financial services directors up at night, and how they compare to the sentiment of directors more broadly.
ASIC is seeking to publish firm-level data on the reportable situations and internal dispute resolution regime, in hopes that advice licensees will “lift their game”.
