Financial Services Online News Headlines

Fri, 12 Sep: A recent report from Netwealth reveals that client satisfaction tends to rise as the advisory relationship matures. However, increased satisfaction doesn’t automatically translate to client loyalty. The 'Creating Loyalty that Lasts' report, presented at the Netwealth Accelerate Summit in Melbourne, scrutinises this dynamic. According to Rebecca Wokes, the firm’s national key account manager, clients often rate their satisfaction higher over time, yet many still choose to leave their adviser. - read more

Fri, 12 Sep: The Property Investors Council of Australia (PICA) has raised alarms over a rising trend where buyers’ agents, accountants, and mortgage brokers are offering financial advice without licenses. These professionals are reportedly promoting the creation of trusts and self-managed super funds (SMSFs) as strategies for fast-tracking property portfolios. The contested advice claims that such structures are the sole path to quickly amassing wealth and retiring early. - read more

Fri, 12 Sep: Australia’s leading financial institution, the Commonwealth Bank of Australia, has openly criticised the Reserve Bank of Australia (RBA) for its calculations related to a proposed reduction in debit and credit card transaction fees. The RBA suggested that the reform would save Australian businesses $1.2 billion annually and benefit the majority of companies, a claim that the Commonwealth Bank strongly disputes. - read more

Fri, 12 Sep: The recent cyberattack on Fortnum Private Wealth, accompanied by ASIC's legal action, has spotlighted the critical risks cyber threats pose to financial advice companies in Australia. With digital integration intensifying across the finance sector, the owner of Fortnum, Entireti, plans to defend the case, underscoring the necessity for ongoing vigilance in cybersecurity measures. - read more

Thu, 11 Sep: Two pivotal trends are reshaping the landscape of financial advisory, according to Netwealth CEO Matt Heine: the widening advice gap and a pronounced expectations divide between clients and their advisers. Speaking at the Netwealth Accelerate Summit in Melbourne, Heine illuminated these core challenges as opportunities and threats that are currently shaping the advisory industry. - read more

Thu, 11 Sep: Australian superannuation funds are intensifying their support for financial advisers through strategic partnerships and digital innovations to enhance retirement outcomes for their members. In a significant move, the Australian Retirement Trust (ART) has announced a new collaboration with State Street Investment Management aimed at bolstering adviser access to global investment insights and practical strategies. - read more

Thu, 11 Sep: Amid a period of robust consumer spending, Australia's mortgage holders may face limited future interest-rate cuts. The Commonwealth Bank has observed Australians increasing their spending over the last six months, spurred by rising incomes, a robust job market, and previously lowered interest rates. - read more

Thu, 11 Sep: The Compensation Scheme of Last Resort (CSLR) recently highlighted potential delays in compensation payments due to insufficient special levy funds. In July, the CSLR's proposed FY2025–26 levy plan allocated $67.29 million for financial advisers, surpassing the $20 million limit set for the subsector. This shortfall of $47.29 million prompted the Treasury to initiate a consultation in August to determine funding solutions for the excess levy. - read more

Wed, 10 Sep: Younger generations, Millennials and Gen Z, are increasingly seeking financial advice from trusted sources, often bypassing traditional financial advisers. Research by CoreData indicates that advisers risk losing a significant portion of funds under advice as wealth transfers between generations. Speaking at the Netwealth Accelerate Summit in Melbourne, Brett Joffe, co-founder of the financial education platform Flux, highlighted the urgency for advisers to engage with the next generation before platforms like TikTok become their primary source of financial guidance. - read more

Wed, 10 Sep: A recent study by Adviser Ratings, as outlined in the 2025 Australian Financial Advice Landscape Report, indicates that the number of financial advisers in Australia will need to increase significantly. From the present count of 15,500 advisers, the industry is expected to require more than 50,000 over the next thirty years to cater to a growing retiree population. - read more

Wed, 10 Sep: The Australian government is examining potential reforms to non-compete clauses in employment contracts, driven by concerns that current laws may impede workers from advancing their careers and, in turn, hinder economic growth. In this context, the Financial Advice Association Australia (FAAA) has raised concerns about these reforms, urging that the proposed changes should balance the interests of both employees and employers. - read more

Wed, 10 Sep: In a comprehensive analysis, Swiss Re Institute predicts that global property and casualty insurance premiums will rise in tandem with GDP over the upcoming decade. This growth is driven by amplified natural catastrophe losses, asset accumulation, and heightened economic and litigation claims inflation. The institute's report outlines the evolving insurance landscape amid increasing global risks. - read more

Tue, 09 Sep: Australia has recorded a sluggish rise in real per capita household disposable income over the past decade, making it the slowest growth among major English-speaking countries. According to OECD data, from Q1 2015 to Q1 2025, Australian incomes only increased by 3.5%, starkly contrasted with Canada's 8.9%, the United States' 20.6%, and the United Kingdom's 8%. The OECD average during this period was 18.7%, further highlighting Australia's economic challenges. - read more

Tue, 09 Sep: Financial advisers in Australia might need to rethink where they truly add value, according to the 2025 Value of an Adviser Index by Russell Investments. Contrary to popular belief, it's not investment selection that clients find most valuable. Instead, the index identifies behavioural coaching as the primary area where advisers make a significant impact on client outcomes. This approach helps clients stay focused on long-term goals, avoiding impulsive decisions during market volatility. - read more

Tue, 09 Sep: In a significant address at the National Press Club, Paul Schroder, the CEO of AustralianSuper, has highlighted the need for superannuation funds to go beyond merely delivering strong returns. Schroder stressed the importance of providing comprehensive guidance to members, amidst worries that the existing system's complexity leaves under half of Australians assured about their retirement prospects. - read more

Tue, 09 Sep: James Mawhinney, a key figure at Mayfair 101 Group, has been issued a 15-year extension on his restraint from engaging in financial promotions or fund-raising, after the Federal Court finalised orders against him. This decision blocks Mawhinney from soliciting or receiving funds, as well as marketing any financial product, following the court's findings of his 'reckless' behaviour in the financial sector. - read more

Tue, 09 Sep: In response to the devastating floods that swept across New South Wales' Mid North Coast in May, the Insurance Council of Australia (ICA) is taking proactive steps to support the affected residents. Insurers, organised by the ICA, will be meeting with flood victims in Kempsey, Taree, and Port Macquarie to provide guidance and support as they navigate their insurance claims. - read more

Mon, 08 Sep: In the quest for financial prosperity in Australia, focusing solely on cutting expenses, such as daily coffee purchases, may not be the most effective strategy. According to financial expert Ben Nash, significantly boosting one's income holds far greater potential for wealth accumulation. This shift in mindset—from limiting expenses to maximising earning capabilities—could redefine financial growth strategies for Australians. - read more

Mon, 08 Sep: Clients of InterPrac-authorised advisers, impacted by their investments in Shield and First Guardian, recently received significant communication from Sequoia. In this correspondence, Sequoia proposed that affected members could potentially pursue remediation through their superannuation fund's Operational Risk Financial Requirement (ORFR) reserves. ORFR, a safety net established for APRA-regulated funds since 2013, is designed to protect members from financial losses arising from operational issues such as governance errors. - read more

Mon, 08 Sep: The Australian housing market is showing significant signs of recovery with a noticeable upswing in auction clearance rates. The national monthly average final auction clearance rate for August climbed to 69%, marking the strongest result since February 2024. Recent figures from Cotality reveal that auction success continues, with 75% of auctions holding nationwide leading to successful sales, sustaining a four-week streak of strong clearance rates at or above this benchmark. - read more

Mon, 08 Sep: A motor insurance policyholder has won a significant dispute over fraud allegations, with the industry ombudsman ruling in favour of a payout following a controversial car accident claim. The case revolved around an incident where the claimant's wife crashed at an intersection one evening, reportedly failing to yield. The lack of photographic evidence due to shock and subsequent involvement of towing services complicated matters. - read more

Fri, 05 Sep: The Australian Bureau of Statistics released the national accounts for the second quarter of 2025, revealing a better-than-anticipated expansion in the nation's GDP. Contrary to predictions of a 0.4% rise by various analysts and a 0.5% forecast from the Reserve Bank of Australia, the economy outperformed with a 0.6% increase, primarily driven by a surge in household spending. - read more

Fri, 05 Sep: The CEO of AustralianSuper, the nation's largest superannuation fund, has made an urgent call for reforms to the pension system, emphasising the need for more streamlined management of retirement savings. Speaking at the National Press Club, Paul Schroder highlighted the superannuation industry's critical role in Australia’s future economy, drawing parallels with the historical significance of wool and iron ore exports. - read more

Fri, 05 Sep: The latest release of the US jobs opening data and the Federal Reserve's Beige Book indicates signs of a slowing American economy. While reasons range from the current government's economic policies to broader market challenges, the outcomes have intrigued Wall Street and bond markets alike. This weakening scenario has set a stage where the Fed might consider cutting interest rates sooner than expected, contributing to a market rally. - read more

Fri, 05 Sep: In a strategic move set to bolster its market position, NM Insurance has announced a five-year agreement with capacity provider Zurich, positioning itself for further growth and increased broker confidence in its success. Since its establishment two decades ago as Nautilus Marine Insurance Agency, NM Insurance has expanded its focus beyond the recreational boat market in Australia, branching into New Zealand and diversifying into the commercial marine, caravan, and motorcycle sectors. - read more