To be able to recommend a superannuation fund within the financial planning industry, you have to be authorised with the actual superannuation fund itself. I had an instance where it was suitable for a client to become a member of the well-known fund Australian Super as seen on multiple media channels. I performed some research on their website and became aware that financial planners could indeed use and recommend Australian Super. However on their website they refer members to their preferred financial planners, the Industry Fund Financial Planning (IFFP) who in my mind are similar to where a bank owns the financial planning business (or at least aligned in this case potentially) and subsequently owns the superannuation fund (conflict?).
So I called Australian Super and asked how I could become an authorised financial planner with their institution. They advised that I needed to send an email to their adviser services department who would get in contact with me within 24 hours. Since that initial call, I have called a further two times and sent another email requesting to become an authorised adviser. Not one single Australian Super representative was able to answer my simple request or provide clear direction. Frustrating, let alone the large amount of time completely lost.
The obvious answer is one of a dead end. It appears that where a financial planner who is not aligned to their preferred Industry Fund Financial Planning cannot work with their fund. It is disappointing in light of their media barrage over the past 5 years by such a large industry fund who do not obviously want to work with independent financial planners who are assisting clients to meet their retirement needs and objectives.
At CABEL Financial, we recommend all types of superannuation funds such as self-managed, retail, industry and corporate funds. Its about matching the right superannuation fund with the client circumstances and needs. When will industry superannuation funds open its doors to financial planners wanting to work with them?