The CEO of the AIOFP, Peter Johnston asks, “CAN WE AFFORD ANOTHER 3 YEARS LIKE THE PAST 9?”

This is the question every Financial Adviser and their clients should be asking themselves leading into this Federal election.

Based on the ‘scoreboard’ of the Coalition Government’s management of the Financial Advice and Risk Insurance industry over the past 9 years, it is a firm dismal failure in all aspects.

Furthermore, considering the Government has not made any election promises to amend or moderate their current position to date, the market can only assume they will maintain their current disastrous stance into the future.

We believe however that this ‘failure’ has been intentional and orchestrated to increase the cost of Advice to such a point where digital advice can be justified. The intended [hence not unintended] collateral damage of this vicious strategy has been Financial Advisers who must be removed from the consumer relationship to allow digital advice to operate and consumers themselves.

The cost of Advice over the past 5 years has increased by at least $2,000 pa per client, that’s $10,000 each for 4 million clients or $4 billion in total out of consumer’s pockets. The cost to the Advice community so far has been 12,000 Advisers removed, 20,000 predominately female support staff losing their jobs, widespread mental health illness, over 20 suicides, broken families & practice values decimated.

We consider Treasurer Frydenberg to be the architect of this carnage from 2014 until present to satisfy Liberal Party donor wishes. The Advice community and Consumers cannot afford another 3 years of this Government in power, but can they afford Treasurer Frydenberg in Parliament at any point?