Speaking to InvestorDaily, Radar Results principal John Birt said his firm has had three or four transactions “stuck in the pipeline” due to concerns about the grandfathering legislation as it existed from 1 July 2013, following the implementation of FOFA.
“There might have been 40 to 50 transactions nationally [involving firms that] were looking to move licensees but were hesitant to do so,” said Mr Birt.
After sitting in limbo during the second half of last year, planning firms are now “having contracts prepared and it’s all [good to] go”, he said.
Because the amendments to grandfathering are a regulatory matter rather than a change to legislation, Treasury expects to have them signed off by the Governor General in February, said Mr Birt.
The changes to opt-in, fee disclosure and the best interests duty, on the other hand, require changes to legislation, so they will have to be pushed through what is a hostile Senate, he said.
But the grandfathering changes, despite requiring complex drafting, will be “automatic” once they are finalised, said Mr Birt.
“There are a lot of very frustrated planners out there. Some wanted to retire and others were being forced to sell their planning business internally to their own licensee – which they don’t always want to do. Very often they can attract a better price outside their existing licensee,” he said.
Radar Results also announced on Friday that it had expanded into north Queensland, with the addition of Grant Agnew to its team of planning practice sales brokers.
Mr Agnew was a founding member of what is now known as Premium Wealth Management, where he held a management position and was involved in negotiations with fund managers.
