Boutique dealer group Financial Planning Services Australia (FSPA) has doubled in size to 30 practices, 66 advisers and excess of $750 million in funds under advice in just 18 months.
The success is due in part to a tough stance on not accepting rebates from platforms and fund managers, claims FSPA managing director Darren Wise.
"I believe advisers should only pay for the services they use. Licensees should earn their profit from the services they provide and not the platform they are associated with," Wise said.
"We don't take rebates; we pass them back to the advisers. The dealer group has to be fee-for-service for the practices to be fee-for-service. We have doubled in the last 18 months."
Wise is pushing for transparency in the industry. He believes planners should add up how dealer group fees and how much the licensee receives in rebates to work out the true cost of being signed to a dealership.
Recent growth has been supported by improving back-end systems and processes and providing business coaching and practice management advice.
"We listen to our people; we are very culturally aligned and consider [practices] as partnerships. Each practice has its own style and culture," Wise said.
Queensland-based, privately-owned FPSA has operated for 15 years; the last five as a dealer group. The average annual practice turnover is $280,000.
