Super fund comprehensive advice costed at $2.33 per member
Continued probing by the House of Representatives Economics Committee has revealed more about how superannuation funds are funding financial advice services and what it is costing members.
Queensland-based industry fund, InTrust is the latest fund to provide details of its financial planning arrangements being delivered by two financial planners and costing a total of $317,054 in 2019.
But, most importantly, the InTrust response to questions on notice from the committee chair, Tim Wilson, has revealed the comparative cost of comprehensive advice and intrafund advice.
And, in similar terms to earlier questioning of industry funds, InTrust has calculated that the average cost to members was $2.64 per member.
The InTrust response also revealed the degree to which its advisers received bonuses for their efforts with the average in 2018 being $9,596.
Wilson asked InTrust to detail for each year of the past decade, the cost of comprehensive advice annually, and the average per fund member as well as asking what was the aggregate value of bonuses provided for comprehensive advice, and what the average per adviser.
InTrust provided the following table:
Recommended for you
While the last several months have seen increased market volatility, particularly in the US, advisers said there are multiple reasons why there has been an increase in defensive asset flows.
Scarcity Partners believes the dynamics playing out in the managed account and outsourced chief investment officer market are “here to stay” based on positive developments in financial advice.
Former executive chairman of failed stockbroker BBY, Glenn Rosewall, has been charged with aiding, abetting, counselling or procuring BBY’s dishonest conduct in relation to a financial service.
Fidelity International research has revealed Australian investors are significantly more optimistic about the market outlook and feeling more comfortable than their APAC peers, despite ongoing market volatility.
