Follow the UK and give advice clearer labels

Developed in conjunction with Finura Group, the ‘2022 Adviser and Advice Tech report’ reviewed five end-to-end providers, 15 application solution providers, six digital advice providers and two platform providers, with a view of how each of those providers interact in the advice framework.

This year will see “fewer foreign raiders” – being overseas tech providers – coming into the market, according to a prediction from Finura Group. The wealth tech consultant is releasing its annual set of predictions for the year, and despite expectations advice business are ripe for overseas capital investment, this may not be the case for tech providers.

Calls have been made for Australia’s advice industry to follow the UK’s regulatory model of regulating relevant and non-relevant providers separately. The joint submission to the Quality of Advice Review from consulting firms Encore Advisory, Finura Group and Tangelo Advice Consulting has argued consumers having widely dissimilar experiences of receiving advice from relevant providers versus limited scope advice through a super fund, with less regulatory requirements, isn’t a good outcome for consumers.