Financial Adviser Weekly Movement, October 29, 2020

The latest ASIC Financial Adviser Register (FAR) has ben updated and analysis shows that a further 21 adviser roles have been lost over the week. The Financial Year (FY) to date shows a net loss of 287 adviser roles. A total of 2,455 roles have been lost calendar YTD having started the year with 23,890 adviser roles and now recording 21,435 roles.

The actual number of individual advisers is 21,098. The difference between the two figures is that a small number of advisers are authorised under more than one licensee. More details about advisers with more than one role is shown on dashboard 13.

Eight licensees gained two new adviser roles each over the week. The list include Shartru who have now gained 9 roles over the year. Infocus also gained two advisers and have now gained 20 over the year. A new licensee commenced as ‘Life Map’ with advisers Philip Penklis and Greg Hyslop who were both previously at Libertas.

Year to date, Lifespan maintain the top position for greatest growth of advisers roles with 60 and are 15 roles ahead of Interprac. Sentry is in third position with 35 roles. (Note: GWM (MLC) are technically in first position, however this was due to an internal change with 156 advisers switching from NAB to GWM).

Losses for the week again dominated by AMP Financial Planning losing 10 more roles. GWM (MLC) lost a further five roles. Merit and GPS, both owned by Easton Investments lost 4 adviser roles each.

Big news of the week is the HUB 24 deal selling Paragem to Easton investments (Easton) and also taking a major share holing in Easton of of up 40%. As a result, Easton Investments will now have some 664 adviser roles, making them the fifth largest ‘group holding’ of licensees. At the top is AMP with 1,754 despite losing 388 roles YTD, IOOF with 1,306 who have lost 150 roles YTD, NAB/MLC group with 902 roles and losing 230 roles YTD and ‘National Tax & Accountants Assoc’ with 841 roles having lost 230 YTD. Easton, as mentioned have 664 and YTD they have lost 82 Roles YTD.

The current top five largest groups have lost 935 roles YTD or 38% of all adviser role losses. The top five groups currently have 5,467 adviser roles or 25.5% of all current roles. - See dashboard 4 for details.

As you can see from the numbers above, being big does not mean you can naturally grow bigger in the current environment. The growth businesses can best be described as mid-tier groups. Castleguard Trust (own Lifespan) who have 259 roles and grown by 60, followed by Sequoia with 396 roles and have grown by 56. Other mid-tier groups doing well include Fortnum, Capstone, Steinhardt (infocus) all growing by 20 or more Advisers - See dashboard 3.

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