Hey all, I think were pretty well all of a similar feeling, just coming from different points of view and experiences. I especially like the cookie-cutter comment. That is I think the crux of this issue, that the term Financial Planner covers the youngster at the bank who sells Income PRotection to someone borrowing for their first home (not saying there's anything wrong with that, we're seriously underinsured and it's not a high skill or highly chargeable transaction); to the more experienced and capable ones providing valuable advice to wealthy individuals on a regular basis.
Like my medical analogy, until there's a separation or distinction, then it'll be difficult for you to find reliability. I guess word of mouth of friends is a powerful reference point.
Some time ago I realised I needed to try and show clients a distinction, a kinda 2 hats policy. One hat is advice and strategy, which is fee based and not always for all. The second hat is my 'retailer' one whereby I provide a 'product' solution to clients that aren't able or aren't interested in doing it themselves. Again, not always for all. Either way, the client is fully aware of what they are paying and what we are getting, whether that is a one-off fee, an ongoing fee (% or flat $), a commission or whatever. Everyone is different and for some, paying me via an ongoing commission / fee that may or may not increase their costs is ok by them. So, long as they are aware of it, it's reasonable and as I've said for years in many situations 'no-ones holding a gun to their head'.
If that makes me not truly a professional, then so be it. But it is the commercial reality of dealing with consumers. One size doesn't fit all.
MK, sorry mate but the fee on the MasterKey Custom SMSF Service paid (I assume) for Administration, is not a trail but part of internal management costs, separate to the Planner. I know I'm being pedantic, but I'm a stickler for interpretations. Please correct me if you wish.
Good discussing this with you all. maybe we should be running the gov't enquiry?
