Role of industry bodies in building community trust questioned
Colonial First State Global Asset Management chief executive Mark Lazberger has questioned the role key financial services associations play in building community trust in the asset management sector in comparison with accountancy body the CFA Institute.
Lazberger said the CFA Institute could be differentiated from other financial services industry bodies by the exacting education requirements placed on its members and by the focus on ethics and professional standards within this education.
“An individual has to sit a series of very demanding exams over a minimum three-year period in order to become a CFA and is required to adhere to a strict code of ethics and standard of professional conduct."
Also a member of the CFA Sydney Employer Advisory Board, Lazberger said the code of ethics, in place since 1962, was sustainable through all stages of the cycle, and required its members to conduct themselves accordingly.
He said in contrast, “Most industry bodies that purport to represent the industry don’t have these (educational and ethical) requirements for its members, although he acknowledged that industry bodies do have a role in building trust".
“Industry bodies are fine, they serve a purpose, but they run the risk of being nothing more than lobbying associations that are designed to represent certain groups."
Recommended for you
ASIC commissioner Alan Kirkland has detailed the regulator’s intentions to conduct surveillance on licensees and advisers who are recommending managed accounts, noting a review is “warranted and timely” given the sector’s growth.
AMP and HUB24 have shared the areas where they are seeking future adviser growth, with HUB24 targeting adding more than 2,000 advisers to the platform.
Bravura Solutions has appointed a new chair and deputy chair to take over from departing Matthew Quinn, while Shezad Okhai picks up another responsibility.
Two advisers say M&A is becoming a “contact sport” as competition heats up to acquire attractive advice firms, while a lack of new entrants creates roadblocks in organic growth opportunities.
