The stories coming out of the royal commission over the past few months have highlighted a number of bad practices in the financial planning industry.
From charging dead people with advice fees, to charging fees for no service and advice that doesn’t appear to have been provided in the best interests of the clients.
The numerous allegations of misconduct and mismanagement, and cheating clients out of their super savings have clearly eroded the public’s confidence in the financial planning industry.
As a consequence, there has been a strong demand for things to change.
There is no doubt that the findings of the royal commission will lead to reform of the financial advice industry.
But as Industry Fund Services chief executive Cath Bowtell points out, this reform is not going to happen overnight.
“Given the extent of alleged misconduct uncovered by the royal commission, it’ll be some time before we see the kind of reform that will restore people’s confidence in the elements of the sector outed by the commission,” Ms Bowtell says.
All of this raises the question: How can you get advice you can trust?
Since 1994, Industry Fund Services has been partnering with several Industry Super Funds to make financial planning services available to super fund members.
It’s a history of co-operation of which Ms Bowtell is rightly proud.
“The focus for us and the super funds is to make sure that advice is in patently the best interests of members,” Ms Bowtell said.
“And we have a very robust operating model to make sure this happens.
“IFS licensed financial planners do not receive, and have never received, product commissions.
“We take our obligations very seriously, and our planners are also regularly reviewed to make sure that the right processes are being followed.”
The cost of getting advice will depend on the type and complexity of advice provided.
The important thing is the fee is agreed to by you and your financial planner at the time you meet with them.
IFS licensed financial planners can provide advice on a range of topics, including:
• Examining whether you are on track to accumulate enough superannuation for your retirement
• Ensuring your assets, investments, debts and insurances are structured to your benefit
• Assessing if your current investment strategy is appropriate to your personal circumstances and risk profile
• Exploring options and strategies that can boost your superannuation
• Compiling a complete retirement analysis, taking account of the age pension and Centrelink benefits and how to maximise these income sources.
Want to get advice? Visit us to find out more and see if your super fund has an IFS licensed planner.
This article is issued by Industry Fund Services ABN 54 007 016 195, AFSL 232514. It contains general information only. You should read the relevant Product Disclosure Statement and consider seeking financial advice before making any investment decisions.