[Opinion] Let’s embrace the spotlight and talk about trust

The recent FMA report on replacement business and their respective findings has highlighted some real challenges within the adviser channel and has sparked plenty of debate. The FSC welcomes constructive dialogue and debate in regards to areas of the industry that are undergoing regulatory change

While there are a diversity of views and business models, it’s easy on an issue like this to fall back on hard positions in defence of our particular perspective. We all need to consider the issues raised in the report and what we can collectively do to retain and build trust in the industry.

Questions have been raised about whether the actions of few implicate the whole industry and if this is just the tip of the iceberg. I firmly believe this is not the case. The fundamentals of our industry are sound, and the relatively small sample of advisers that the FMA report relied on are not indicative of the thousands of financial advisers who every day do great work for their clients.

The industry also has an obligation to raise standards, build trust and improve outcomes. As such, the FSC  membership has been hard at work developing the FSC Code of Conduct . These self regulatory initiatives are designed to complement the law and guidance from MBIE and the FMA