Scott Francis has recently published an article in the Eureka Report looking at the issue of who actually stands behind a financial adviser and the impact of this relationship on the independence of the advice that is being given.
The article focuses on a report from Roy Morgan Research. A key finding of the report was that:
"more than 70% of superannuation recommendations by financial planners within the big six firms (AMP, ANZ, AXA, CBA, NAB and Westpac) went to fund managers "related" to the licensing of the financial planner."
Scott concludes with the following comment - The "structural corruption" of the financial services industry runs deeper than just commissions. There remains an issue for consumers in understanding the level of independence around advice that they are given.
Please click on the following link to be taken to the article - Who's behind your financial adviser?