One year later, 222 fewer advisers
The reality facing the financial planning profession is that there are now 222 fewer advisers registered on the Financial Adviser Register (FAR) than there was this time last year.
According to analysis by WealthData principal, Colin Williams, there are currently 15,480 advisers versus 15,702 on the FAR at the same time last year.
The data points to a situation in which, in the absence of Government policy initiatives, it may be at least another two years before adviser numbers climb back over the 16,000 mark.
This is notwithstanding Williams’ optimism around the number of new entrants to the FAR (18 this week).
Key Adviser Movements This Week:
- Net change of advisers +11
- Current number of advisers at 15,480
- Net Change Calendar 2024 YTD (-138)
- Net Change THIS NEW Financial YTD +134
- Net Change LAST Financial Year 2023/24 (-214)
- 33 Licensee Owners had net gains of 49 advisers
- 25 Licensee Owners had net losses for (-36) advisers
- 6 new licensees commenced and (-1) ceased
- 18 New entrants
- Number of advisers active this week, appointed / resigned: 90.
Growth This Week – Licensee Owners
- A new licensee started with five advisers. Four of the advisers moved from Grimsey Wealth and one new entrant commenced
- Five license owners up by net three:
- Two new licensees, one appears as an internal switch (closing one and starting another licensee) and one with the advisers leving Core Financial Services
- SGN Financial with all three advisers being new entrants
- Count with one adviser returning after a break, one new entrant and one adviser switching from Fitzpatricks
- AMP Group, appointing five including two new entrants and losing two advisers from Charter
- Two new licensees commenced with two advisers each. One with advisers leaving NSW Complete Financial Services and another whereby the advisers remain authorised as Sambe Investments
- A long tail of 21 licensee owners up by net one each including Morgans, Findex and WT Financial Group.
Losses This Week – Licensee Owners
- Grimsey Wealth down by four, as mentioned above, with one business moving away and commencing their own AFSL
- Three licensee owners down by three advisers each.
- Ord Minnett Group with two advisers not appointed elsewhere to date and one adviser moving to Prosperity Wealth Advisory
- Core Financial Services losing advisers who commenced their own AFSL
- Another licensee who closed one AFSL only to start another.
- NSW Complete lost two advisers who commenced their own AFSL
- PSK also down by two advisers, both not appointed elsewhere to date.
- A tail of 19 licensee owners down by net one each including Sequoia Group, Industry Super Holdings and Bell Financial.
I would NEVER encourage anyone to become a financial planner based on the current regulatory environment and although it has been more than 20 years since I provided a client with my first financial plan, I am actively looking to exit this profession permanently.
Dear forexops,
You will have a lot of company before 2026.
Those who think otherwise are delusional.
Anyone who thinks on-going government compliance including education requirements and levy costs are sustainable are kidding themselves.
The life insurance industry has all but wiped itself out as an industry through greed, incompetency and government & ASIC ignorance.
When commissions were cut to an unprofitable level for advisers, the Life insurance industry thought they could do without advisers, that is until the Banking & Financial Services Royal Commission revealed what those in the industry already knew, was the predatory practices by the life insurance industry through “direct” marketing.
All the legislation has done since the introduction of LIF in 2013, is remove competition and innovation from the life insurance industry with fewer companies now offering inferior “me too” products at the same cost.
If you ever needed any more proof on the integrity of the life insurance industry, just look at the level of premium increases on legacy products on long standing loyal customers (not their clients) to force them into inferior products now being offered by them all.
Given the dwindling adviser numbers ASIC was counting on to support their war chest to prosecute recalcitrant advisers being increased, increasing PI premiums, the introduction of the CSLR levy, can anyone think of a good reason to think this will end here or things will change for the better for clients or their advisers?
The Professional Year and Approved Degree entry requirements need to be urgently fixed. They are the root problem and cause of the small intake of new blood, that cannot keep up with natural attrition.
There is another material drop off coming by Jan 2026, we are heading towards 14,000 within 2 years.
The non-profit people would be happy with this, and some who are already “qualified” on the inside would also be happy with this reduced “competition”, but any honest observer who cares about the health of the whole space, knows this is a catastrophe.
This should be the single most important item on the FAAA list, but it’s not, because it’s not politically correct, and there are too many squeaky wheel members forever complaining that “they had to do so and so…” so if they suffered, so should everyone else, “for the greater good of the “profession””.
There will be less again in 12 months, it is a terrible occupation ruined by government actions and oversight by entities that are either corrupt or incompetent.
This won’t stop !! We have been on a down wood spiral since 2013 The RC into the banks ended up persecuting the individual adviser while the banks escaped unscathed and went into hiding
There inability to act professionally and.constructively with clients only fuelled the AFCA in box and now it’s months if not years for a CB Kirby to get a result let alone a constructive one
Why would you want yo be in this business and have a anchor hanging over your head ready to be dropped if you make a spelling mistake on your SOA
After 42 years I have never seen it worse and ring believe it will improve