If history is any judge, the ALP will be in power for at least two terms and the current performance of Prime Minister Albanese may just extend that for 3 terms or 9 years. This is based on the ALP’s performance at the election, the Liberals much needed rebuild getting traction and the number of seats they lost at the election.
The 9 year brutal and unrelenting rule by the Liberals of our industry has however provided some real benefits for the Advice community. The Liberals were so severe and the reaction against what they were doing was so strong most Politicians now understand and appreciate how professional our industry really is and more importantly the strong bond Advisers have with their client base.
The big Liberal mistake was believing their own deceit about past product failure blame and underestimating not only the Advisers/client relationship but Consumers realizing who was to blame for the ridiculous compliance levels and escalating advice cost.
This current political empathy for our past unfair treatment has created a distinct window of opportunity for the Advice community to finally come together and distance itself from Institutional/Consumer Associations who have been ‘muddying’ the waters in Canberra. These Associations have been masquerading as Adviser centric but implementing one of the most divisive and fundamental political strategies over the past 9 years against the Advice community – divide and rule tactics to please their Institutional supporters.
The AIOFP vision for the Advice community is emulating the Australian Medical Association [AMA] position where the Political fraternity are very cautious about challenging Doctors on any political issue due to the relationship they have with their clients. We argue Advisers have a very similar confidential and trusting position with their clients but like the Mortgage industry the Medical fraternity has only 2 major Associations.
This political scenario played out in the marginal seats the Liberals lost at the last election, our members became active and encouraged their clients to place the Liberals last on the ballot, therefore voting for anyone they preferred but the Liberal candidate.
This is the big ‘take way’ from the federal election for Advisers, we can make a difference if we collaborate and coordinate our political power but we are severely handicapped with the current mixture of 13 Associations of different agendas and preferences trying to represent Advisers. The optics and perception in Canberra are not good, this really must change for the Advice community to move forward.
No Association CEO or Board will voluntarily merge or shut down their operations, self-interest will generally not permit that. It’s only the Advisers by voting with their wallet and their feet that will expediate this much needed process.
It is time for Advisers to realize that paying for a subscription into an Association that does not act in their best interests is tantamount to giving your political capital away to enemies to be used against yourself – it simply does not make sense at any level.
Regards.
Peter Johnston | Executive Director
Association of Independently Owned Financial Professionals
Suite 1211, 1 Queens Road, Melbourne VIC 3004
P 1800 111 203, d 03 9863 7574, m 0418 857 621
www.aiofp.net.au | Download my business card
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