Associations' quandary: Boost numbers, maintain standards
Simon Hassan recently stepped down from his role at Hassan and Associates and is operating as a consultant, as well as being chair of the Financial Advice NZ certification committee. He is a former president of the IFA.
He said most adviser bodies were funded by growing their numbers.
"Financial Advice NZ is a prime example. As with each its predecessors, it has two main sources of income: Members (subs and other fees) and suppliers of financial products (sponsorship in one form or another). The more members, the more sponsorship: the more 'successful' the organisations, the larger the top job, the more cash in the pool for director’s fees. It can all look pretty good – until you think again of how consumers fare, and the notion of a trusted profession."
The imperative of membership growth was in conflict with any push for higher standards.
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