Total Financial Solutions Australia (TFS) has outsourced its back-office service requirements to financial services outsourcing firm Paragem Partners.
The agreement will enable TFS to free up and maintain focus at both a practice and dealer level, TFS chief executive Phil Aris said
According to Aris, the rising cost of back office functions is forcing many dealer groups to subsidise the cost with platform revenue, hiding a dealer group's true support costs.
"The cost of many back-office functions detracts from value creation and it is critical that scale is achieved in the current market," Aris said.
"The industry's growth, ongoing consolidation and future outlook meant that dealers needed to move in line with industry best practice on service and cost," he said.
"It also enables us to demonstrate levels of governance in compliance which we believe the business, our planners and their clients will benefit from."
Paragem Partners offers wholesale service and support to the advice industry.
