(6 January 2020, AFR, p13, Jonathan Shapiro and Carrie LaFrenz) ‘The Australian Securities and Investments Commission is investigating listed wealth manager Evans Dixon over the advice provided to some of its clients after the corporate watchdog received several complaints over 2019. ASIC is investigating the Dixon Advisory arm, which merged with boutique firm Evans & … Continue reading
[COMMENT: This is an interesting move forward regarding the way in which so-called “sophisticated investors” are treated by their financial adviser or stock broker. For years now, different rules have applied to them on the assumption that because they have a bucket load of money to invest, that they know how to invest, and are … Continue reading
[COMMENT: Now this is a very contentious topic – how to define the various terms used to categorise managed funds and more importantly superannuation funds – growth, balanced or conservative. There seems to be some very wide variations between the fund managers – which many people would call ‘misleading’.] (25 July 2019, AFR, p8, Joanna … Continue reading
[COMMENT: This is an interesting expose into the world of stoke broking, and some of the things that can go wrong. Bottom line? – Maybe don’t trust everything that everyone tells you.] (5 July 2019, AFR, p20, Liam Walsh, Reporter) ‘Questions are being raised about why one of Australia’s biggest stockbrokers did not disclose internal … Continue reading
[COMMENT: This is a very interesting article. When we stop and think about it, it’s no wonder that general consumers are confused about the terminology in this field. the regulators have put this wording in place without taking enough time and care to make sure that consumers understand it.] (29 March 2019, AFR, p20, James … Continue reading
(9 February 2019, AFR, p30, by Ben Smythe) ‘As highlighted in the royal commission, people paid a lot of money for what they thought was financial advice. But in fact what they were paying for were expensive financial products (in-house superannuation, managed fund funds etc) with little or no financial advice that was specific to … Continue reading
(9 February 2019, AFR, p28, by Nicole Pedersen-McKinnon) ‘Get set for changes to how you pay your financial planner, get a mortgage and what you do with your super when you move jobs.’ ‘One of the few unresolved consumer questions about the royal commission report Kenneth Hayne delivered to the government this week is: “Who … Continue reading
(21 December 2018, AFR, p1, by: Jemima Whyte and Jonathan Shapiro) ‘The corporate regulator is questioning whether Australia’s liberal rules for capital raisings have created an environment that favours a select club of stockbrokers and investors, and flagged plans for tougher scrutiny of debt markets and large share sales. The Australian Securities and Investments Commission’s … Continue reading
[Comment: Here are some an interesting comments about investing local versus overseas, and whether to diversify your portfolio, or include managed funds, or even heed the “advice” of your financial planner.] (14 November 2018, The Age, SMH, MONEY supplement, p2, by Marcus Padley) ‘I remember going to New York in 2006 and John, my Wall … Continue reading
[COMMENT: This is one topic that has puzzled myself for a long time – How on earth can we compare all of the ‘balanced’ super funds, for example, when they don’t use the same definition for ‘balanced’? We’re actually comparing apples with oranges, so to speak. So performance comparisons are out the window. And then, … Continue reading
[COMMENT: Now I thought that we had heard a lot of bad advice coming out of the Hayne royal commission. I cannot beleive that “profressionals” are now telling us to “buy the dip” in the markets. Can they guarantee the market (and stocks) will not be falling further? Will they refund our losses if we … Continue reading
(15 October 2018, AFR, p17, by Misa Han) ‘The corporate regulator says it will not go after rogue financial advisers who have left the industry, contrary to Commissioner Kenneth Hayne’s advice unscrupulous advisers should be publicly condemned. The corporate regulator’s financial advisers register shows all of the nine advisers named in the royal commission for … Continue reading
(15 October 2018, AFR, p17, by James Frost) ‘Valuations of financial planning firms are under pressure with experts saying valuations could halve or worse, leaving some planners more than $1 million out of pocket as the adviser exodus picks up steam. Experienced advisers who are unhappy with new professional standards due in 2024 are voting with thier … Continue reading
(1 October 2018, AFR, p9, by Joanna Mather) ‘Kenneth Hayne’s findings of “dishonesty and greed” within financial planning will exacerbate a mass exodus already under way and send the value of advice businesses plummeting further, an expert says. Friday’s interim report details “bad advice” that occurred under the auspices of Westpac, ANZ, AMP and NAB. But its scope is even wider, … Continue reading
[COMMENT: Talk about having trust in our large financial institutions. Some even lie to the regulator.] (11 August 2018, AFR, p1, by James Frost) ‘Staff at wealth manager IOOF raided a reserve fund to fix their own bungle then lied to both customers and the regulator about what had transpired, the Hayne royal commission heard … Continue reading
[COMMENT: This news story covers a perplexing topic that frequently puzzles (share market) investors and traders – How do we account for the proceeds from trading activities? Is it regarded as income, or a capital gain? This is a very grey area with accountants offering differing opinions from time to time. This news article reports … Continue reading
(8 August 2018, The Age, MONEY supplement, p2, Marcus Padley) ‘Superannuation funds are in front of the Hayne royal commission into banking and financial services this week and have been asked to reveal their entire fee and cost structures for the first time. The suggestion is that retail funds controlled by big institutions have been … Continue reading
(3 August 2018, AFR, p16, by Hannah Levitt and Kartikay Mehrotra) ‘New York/San Francisco | Ten years after faulty mortgages upended the global financial system, Wells Fargo & Co has agreed to pay $US2.09 billion to settle a US probe into its creation and sale of loans that contributed to the disaster. The long-anticipated penalty, … Continue reading
(18 July 2018, The Age, Business, p22, Ruth WIlliams) ‘The corporate regulator says it is witnessing a spike in the number of “bad apple” financial advisers dobbed in by their former employers, a “positive development” in a sector notorious for allowing poor performers to move from firm to firm. The Australian Securities and Investments Commission’s … Continue reading
[COMMENT: The Hayne Royal Commission continues to reveal horror stories with us, some of which shatter any trust we might have had in the “banks”. This is a sample of what can go wrong when borrowing from a bank.] (17 July 2018, AFR, p11, by James Frost) ‘Systems that allowed thousands of Commonwealth Bank customers … Continue reading
(24 May 2018, AFR, p17, by Alice Uribe) ‘A mass exodus of financial planners over the next five years will put $900 billion of client wealth in play as the reality of tougher educational standards and the fallout from damning royal commission revelations set in. The stunning shift in the industry is a key finding … Continue reading
(5 May 2018, AFR, p15, by Karen Maley) ‘It’s been a torrid few weeks for the country’s big four banks. Not only have they had to endure the daily humiliation of having their misdeeds paraded before a disbelieving and horrified public by the Hayne royal commission, there’s also been a scathing official report on the culture … Continue reading
(28 April 2018, AFR, p23, by Joyce Moullakis) ‘A seismic shift is battering the research departments of investment banks. Each year, after the rush of February corporate reporting season and as they inspect bonus cheques paid by their European and Wall Street head offices, investment banking staff take a moment to ponder their future. Often … Continue reading
(28 April 2018, AFR, p16, by Joanna Mather) ‘Charging dead people fees, impersonating clients, falsifying signatures. It’s all apparently in a day’s work for unscrupulous members of the $4.6 billion financial planning industry. For the best part of the past week, the Hayne royal commission explored the misdeeds of advisers employed by the big banks and AMP. The testimony was … Continue reading
[COMMENT: Caveat emptor!! How can we find a reliable financial advisor?] (28 April 2018, AFR, p4, by Fiona Buffini) ‘The banking royal commission has questioned whether the vertical integration of banks, as product makers and advisers, can serve the interests of customers. Counsel assisting the royal commission Rowena Orr, QC, asked whether it was possible … Continue reading
(28 April 2018, AFR, p28, by Joanna Mather) ‘How do you spot a truly independent financial adviser? Well, it’s tricky. The $4.6 billion financial planning industry is characterised by a complex web of allegiances and opaque reward structures that, as the Hayne royal commission has demonstrated, do not always serve the best interests of consumers. While it … Continue reading
[COMMENT: With the current revelations from the banking royal commission, investors should be looking wisely for a good financial planner.] (26 April 2018, AFR, p1, by Joanna Mather, Alice Uribe) ‘Incompetent or crooked financial planners can walk away from the industry’s professional associations, without any penalty, to avoid sanctions and punishment for giving poor advice … Continue reading
(25 April 2018, The Age, Money supplement, p2, Christine Long) ‘A financial planner may enter your life through the recommendation of a friend or family member or an introduction via your bank. But that doesn’t mean you should simply hand your money over. As the Hayne Royal Commission is highlighting some thorough investigation is needed … Continue reading
(25 April 2018, The Age, Money supplement, p1, John Collett) ‘There are no quick fixes to curb recurrences of the shocking revelations at the banking royal commission concerning financial advice. But there is a move you’d think would be obvious: licence planners individually.’ <snipped…> ‘… I recall the experience of a 61-year-old cancer patient. She showed me her … Continue reading
(24 April 2018, AFR, p2, by Jennifer Hewett) ‘The guiding principles for AMP’s remediation program for clients who received dud and damaging financial advice certainly sound reassuring. They include the company’s commitment to “timeliness and transparency” as well as to restoring the client’s financial position. But don’t ever try persuading the hapless clients of AMP’s … Continue reading
