Future of advice: boutiques for some, robo-plans for the rest
Westpac chief executive Brian Hartzer says the growing cost of providing personal financial advice, including sky-rocketing regulatory costs, is creating a bifurcated financial advice market, with specialist boutiques serving customers willing to pay more for bespoke plans, while banks – sensitive about their reputations following the Hayne inquiry – shift to an automated model supplying […]
Westpac abandons financial advice
Westpac will get out of the troubled personal advice sector and two of its top executives will depart the bank as it joins its big-four rivals in abandoning the once-dominant model of vertical integration. The bank announced on Tuesday it would exit the high-cost, loss-making business, producing $280 million in savings by 2020. Westpac group […]
Trust deficit means fintechs will fly
Leading fintech founders believe the fallout from The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry is a great opportunity for them to wrest market share from the major banks. They believe their existing focus on customers is a serious competitive advantage they can exploit as mainstream financial services businesses reposition […]
Why you should invest, not save, for your kids
While parents want to be able to provide the best for their kids, it’s hard to save for their little ones’ futures when interest rates are slumped at historic lows. Even with regular deposits, cash attracting just 0.5 or 1 per cent interest in a savings account might not amount to all that much. However, […]
Robo-advice growth a worldwide trend
A new survey reveals the robo-advisory is increasing in competition across both the Asia-Pacific and European markets. Research from data and analytics company GlobalData’s Wealth Managers Survey found that the robo-advisory market is increasing in competition globally, with more start-ups entering the wealth management industry year by year. According to GlobalData wealth management analyst Sergel […]
Millennials seeking financial advice from millennials
Younger people are shunning their parents and older professionals when it comes to getting guidance on all things financial, a new study has shown. Instead, the research from consumer advocacy group Adviser Ratings has found millennials are seeking other members of their generation to give them a helping hand. “They want to find advisers who […]
Wealth scandals open door for new entrants
A global data provider believes neobanks and robo-advisers stand a good chance of gaining traction in an industry where incumbents are plagued with scandals. Following the news that troubled wealth giant IOOF could face several class action lawsuits, GlobalData believes the damage to public trust in the financial services industry will have significant long-term implications […]
Sargon Capital acquires listed robo adviser
Decimal Software Limited announced earlier today that the proposed scheme of arrangement between Decimal and its shareholders, in relation to the proposed acquisition of Decimal by Sargon Capital Pty Ltd , was approved by the Federal Court of Australia. Commenting on the transaction, Decimal CEO Damon Watkins said the group is pleased to receive formal […]
