More advisers recognising self-licensing benefits

Yasmine Raso

Senior Journalist, Financial Newswire

12 December 2025

The number of financial advisers expressing interest in moving to a self-licensed model is expected to soar in 2026 as the profession continues to grapple with the ongoing fallout of the Shield and First Guardian fund collapses and the impact it has had on large licensees.

According to self-licensing specialist My Dealer Services (MDS), the fund collapses have spurred financial advisers into taking charge of their businesses as concerns over the risks of operating under a licensee escalate

MDS Managing Director, Alex Euvrard, said advisers were “shaken” and coming to realise the “costly… and reputational dangers” of working under licensees given they don’t have oversight of many of the “systems, processes and even Approved Product List (APL) selection”.

“MDS has already received a number of approaches from advisers wanting more control over their own destiny,” he said.

“Advisers like self-licensing as a way to control their business and make their own choices about how they treat their clients and where they place their money without the scrutiny of a parent licensee and being dictated to by
templates.

“The greatest thing about the advancement of technology and services is that smaller licensees can now access and plug in support services that deliver leading compliance, software, investment and practice management solutions, functions traditionally held with the larger licensees.

“MDS grew the number of self-licensees it services by 20 per cent to 120 in 2025 and despite up to 15 per cent of the industry forecast to potentially depart at the end of the year because of the introduction of two pathways to
remain on the Financial Adviser Register, we are proud that we have already managed to shepherd all of our more than 400 adviser members through the rigours of the new requirements.”

Head of Strategy at MDS, Ashley Mahadeea, said the firm has already been preparing for the expected influx in members next year by securing several new provider partnerships and enhancing its services capabilities over the past several months.

“MDS has also introduced 10 new and five enhanced supplier partnerships this year that give MDS members access as well as pricing benefits to best-in-class providers. These included platinum and gold partnerships with
Morningstar, HUB24, Lonsec and intelliflo.

“We remain dedicated to empowering members with resources and partnerships that drive better client outcomes. Carefully selecting the right product and service providers to support MDS members is another step toward that commitment.

“In 2026 we will continue to provide hands on compliance solutions for our members, increase our advocacy work to explain the benefits of self-licensing and uplift our internal technology to create more efficiency for the business and our members.”