I like to get news feeds delivered to my email inbox from a range of sources. Amongst today's emails was an interesting article from InvestorDaily written by Madeleine Collins. In her article, Madeleine reported that data available to her suggested that financial planners working for three out of Australia's four big banks (Commonwealth - Colonial First State, NAB - MLC, Westpac - BT) are channelling more clients into the bank's own superannuation products. These financial planners might have good reason for making these decisions because they have better knowledge of the products and because of this believe these products will provide superior performance into the future.
However, as an investor there must be a nagging question whether planners linked with the major banks actually believe their recommendations are superior or whether it is in their own self interest or the interest of their employer for this to occur.
We believe firms like ours provide investors with greater peace of mind. We are not owned by any other financial organisation and therefore have no ulterior motive to recommend certain products (apart from cost and performance). We also are keen to highlight that we do not accept commissions. We in fact do receive a trailing commission from a Macquarie Cash Management Trust held within Macquarie's Investment Manager portfolio administration service but we rebate these amounts in full back into client accounts every quarter.
If this is the peace of mind you are looking for drop us a line.