Are retail advisers moving to the industry model? A Q&A with HESTA's Chris Joiner
Chris Joiner moved in-house to HESTA from IFS earlier this year, and has been looking to expand his team. With the news around advisers being retrenched and significant legislative changes, we wanted to know if he's seeing a shift in the market.
Chris Joiner moved in-house to HESTA from IFS earlier this year, and has been looking to expand his team. With the news around advisers being retrenched and significant legislative changes, we wanted to know if he's seeing a shift in the market.
You've been looking to expand your team at HESTA. Have you seen an increase in people from retail/banking moving to fee-for-service, industry-style advice?
We're certainly seeing that there's a diverse set of advisers (and licensees) charging 'fee for service' advice from HESTA member accounts, which would indicate that there's an increasing number of retail/banking advisers who've made this shift.
While we will modestly expand the team internally, increasingly we're looking to engage and support fee for service advisers external to HESTA. The overall objective is that each member can get the help they require when and how they need it.
Have you had trouble finding qualified advisers to join you?
We're seeing a lot of change in the industry, which means there are talented people looking to come to a purpose-led organisation like HESTA where they can make a real difference for members. Our members spend their careers dedicated to helping others and what we are really looking for in recruitment is advisers that have aligned values and are skilled in supporting members to set goals and put plans in place to achieve them.
What do you see as being the key difference between fee-for-service advice and retail advice?
I don't see them as mutually exclusive - there are many retail advisers that are fee for advice and it's those advisers that we want to support to work with our members, irrespective of whether they are retail or Industry Fund Advisers.
Have you seen many substantive changes coming from the findings of the Royal Commission?
HESTA and many other Industry Fund advice models have been built on the same member (client) first principles that have come through in the Royal Commission recommendations, so for us it's largely BAU. From a broader Advice Industry perspective the old licensee as product distribution model is dismantling and compliance standards lifting. Overall, the change is positive and it's giving us confidence to engage and support external advisers working with HESTA members.
Have clients changed how they perceive advice?
As a profit-for-members industry fund, HESTA already has very strong levels of trust with our members and with the sector we've been dedicated to for more than 32 years. The way we provide advice is straightforward, with clear, simple costs discussed up front so members know what they're paying for. Members know our advisers are solely motivated by wanting to help them achieve a better financial future. Our challenge is how can we help more members as we know how empowering timely, relevant, high-quality advice can be.
Did you always see yourself going into financial advice?
Not always - I became curious about Financial Advice while in my first job, the office was near a Financial Adviser's office - five years later I became an adviser.
If you weren't an adviser, what would you have done with your life?
An Olympic Gold medallist in 5km Open Water Swimming or maybe NBA All-Star.
What does the perfect weekend look like to you?
Time at the beach with my family.
