Remuneration scrutiny won't be contained to planners
Industry superannuation funds have acknowledged that the remuneration scrutiny directed at financial planners will ultimately shift to salaries paid to super fund executives.
Australian Institute of Superannuation Trustees (AIST) officer Andrew Barr has told the Conference of Major Superannuation Funds that the scrutiny on remuneration may result in “the blowtorch being turned back on us”.
Explaining the AIST’s approach to the Cooper review, he said the likelihood of scrutiny being turned onto fund executive remuneration has resulted in a recommendation that funds make the information public. Barr said the AIST was recommending that member funds publish the remuneration of their top five executives in aggregate.
However, he said it would be open to funds to provide more details if they saw fit.
Barr said the AIST has also recommended that superannuation ratings houses make their commercial arrangements with funds more transparent.
He said that if a fund has paid to be rated, members should be made aware of the nature of the transaction.
AUTHOR
Mike Taylor
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
