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Which Dealer Group to Join?

Discussion in 'Financial Planning' started by rbtoday, 21st Apr, 2009.

  1. rbtoday

    rbtoday Member

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    With so many financial planning dealer groups out there, can someone guide me who is better and why.
    If in your experience one has better software or training or extra compliance.
    Which group is the cheapest and which is best value for money
     
  2. AsxBroker

    AsxBroker Well-Known Member

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    Hi RBToday,

    By your query it sounds like you are about to embark on working for yourself and are trying to choose a licensee. Quite a few self-employed co-brand which emphasises more about their individual practice rather than the dealer group. It also makes it easy if you switch dealer group/licensee down the track as the clients are still dealing with the same practice (you).

    The main packages of sotware are VisiPlan (Iress) and Coin (Macquarie Bank). Xplan is an online version of VisiPlan, similar but not exactly the same as some of the VisiPlan developers wanted to take the software to the next level (ie being web based) and decided to form their own group though now VisiPlan and Xplan are both owned by the same group. Iress also own the insurance quotation software RiskResearcher which was previously owned by ProPlanner which is one of the better known insurance quotation software.

    If you don't like the software your dealer group uses you are usually allowed to choose another one, though you get to pay for it...

    Just remember, you get what you pay for, so if you dont pay much, don't expect much...

    Cheers,

    Dan
     
  3. rbtoday

    rbtoday Member

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    thanks Dan.
    With the big dealer groups like PIS, Axa, or AMP
    or should one join a smaller group like Godfrey Pembroke, Clearview, bridges
    or work under an independent AFSL dealer licence holder

    The annual fee to be an authorised rep can be $20k - very expensive!!!
     
  4. bigbuddha

    bigbuddha Well-Known Member

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    Australian Financial Services is a good group. Reasonable fee's and a big network i think over 300 advisers
     
  5. Young Gun

    Young Gun Guest

    I've worked under AMP, AXA/Charter and Godfrey Pembroke.

    I'd rank Godfrey Pembroke the better of the 3, has more flexibility than AMP and AXA but they'll still want you to flog MLC products.

    Software is the same across the board, visiplan with most but AMP is now starting to use coin.

    Compliance wise, ranked most nazi to least nazi I would rank them 1. AMP 2. AXA and 3.Godfrey Pembroke. maybe that's why I prefer GP.......
     
  6. rbtoday

    rbtoday Member

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    thanks BB and YG
    Do you know if with GP there is an annual fee to be a Authorised Rep of around $15k plus their dealer cut of 5%-10%.
    Can you leave than and take your clients with you
     
  7. AsxBroker

    AsxBroker Well-Known Member

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    Hi RB,

    You should be thinking about your revenue and how much the licensee cut is of this revenue. $20k per authorised rep per year is about average for licensee cut. You should really call the dealer groups in which you are interested in being associated with and discuss with them what they offer to their authorised representatives businesses.

    Cheers,

    Dan
     
  8. Andrew Newman

    Andrew Newman Well-Known Member

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    Hi RB

    $20K is about right for licensee fees and 5-10% cut of revenue on top.

    Here is a link to a list of dealer groups, with contact information plus articles where the dealer group is mentioned.
    Money Management - The Blue Book

    As you can see, there are many dealer groups.

    I think you need to think about your business model first (for example specialising in share investing and SMSF's) and then look at a dealer group that supports your model.

    Then look at compliance - a test is how many complaints are made against advisers within the dealer group.

    Also look at how the dealer group supports advisers with training, business development, marketing etc.

    All the best.

    Cheers
     
  9. SMSFMAN

    SMSFMAN SMSF Specialist Advisor™

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    Castle Hill, NSW
    I can highly recommend Genesys Wealth Advisers as they have guided me well since being a paraplanner to planner to owning my own business and helping with acquisitions.

    You should look for a group that will suit the type of clients you wish to deal with.

    You pay for what you get and although Genesys are not cheap they are a good supportive group. Talk to Phillip Penklis on 1800 066 577..its worth speaking to him as Adviser Recruiter and see what they can offer.

    best wishes

    Liam
     
  10. rbtoday

    rbtoday Member

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    thanks SMSFman
    I will speak with them.
    I am also talking to Financial Wizdom, Retire Invest and AMP
     
  11. C3PO

    C3PO Well-Known Member

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    rbtoday, I'm curious, are you just starting out or do you have some experience under your belt?
     
  12. rbtoday

    rbtoday Member

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    Hi,
    I am totally new in FP, however will initially be trying to use an exisiting friends client network from another business area.
    If there is any advice or suggestions you have it will be great.
     
  13. Terryw

    Terryw Well-Known Member

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    Rb

    How have things progressed?
     
  14. kwakker

    kwakker Active Member

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    Hey,

    I work for an Independant broker, however, our dealer group is MLC (NAB). Although we have a small range of investment opportunities (Macquarie, MLC, COmbank - Just starting this one out), we are not limited to exclusive MLC (NAB) products.

    However, the company that i work for is very limited in its operations, and when i graduate (halfway through DFP) i will be looking for a bigger company to work for (AMP seems to have the most opportunites). With the FoFA coming into play, I believe that alot of insurers/banks will be increasing the amount of financial planners/advisers they have, which is why i will be hopefully leaving to join a major company.

    Although i will have about a years worht of experience, alot of it is limited to risk rather than investment. Is there any recommendations from the major banks/insurers to go for?
     
  15. DylanM

    DylanM Member

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    Wollongong, NSW
    Count Financial :)
     
  16. neo2011

    neo2011 New Member

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    So how did you find count financial , fee's , commissions, market dive handling capabilities ??
     
  17. titanz22

    titanz22 New Member

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    There's Premium Wealth Management and it's not owned by any of the big players. You can have your own APL and you run pretty much independently but they are there for assistance, ongoing training, PD days, conference etc.
     
  18. Blueskies

    Blueskies Member

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    Great thread, unfortunately the money management link has passed it's used by date though.
    Does anyone have a preference for dealer groups when it comes to SMSF focused planning?
    Regards
    Blueskies
     
  19. Andrew Newman

    Andrew Newman Well-Known Member

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    Melbourne
    Hi Blueskies

    I have updated the Money Management link.

    Click on BlueBook | Money Management and then click left hand side option titled "Financial Planning Dealer Groups".

    I changed dealer groups last year from Securitor Financial Group to Lionsgate Financial Group as the latter allows me to better focus on advice for SMSF's plus they charge a flat dollar dealer fee and I receive 100% of all fees and commissions. Click here for more: Lionsgate Financial Group | Money Management.

    Cheers
     
  20. Blueskies

    Blueskies Member

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    NSW
    Thanks Andrew, very much appreciated. It's a bit of a maze out there, I have just joined a practice that is paying a 13% dealer fee on all business written and an additional fee for PI. Seems to be quite excessive in my opinion. I'll continue my research, looking into Lionsgate as part of the process. Do you have any involvement with gearing of residential property within SMSF's? if so, are Lionsgate supportive of this strategy?

    Kind regards