Australian’s are a tight-fisted
bunch when it comes to paying for investment advice, indicates a
study conducted by Australian research firm Investment Trends.
According to Investment Trends, its
research revealed that the average Australian investors believe
financial advice should cost A$300 ($304) for each
consultation.
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This is hardly great news for
independent financial advisers (IFA). Investment Trends found that
just to break even, the average IFA has to charge A$2,700 for
providing comprehensive advice and A$1,200 for providing less
comprehensive advice.
Investment Trends’ findings come
against the background of calls for the abolition of commissions in
Australia and the adoption of a fee-only financial advisory system.
Among powerful organisations making this call on the Australian
government is superannuation industry body the Industry Super
Network.
