Adviser website idea panned
A former financial adviser is launching a website to compare adviser performance.
Miles Hayward-Ryan told media that a good adviser might earn clients tens of thousands of dollars more than a poorly performing one but there was no way for clients to find out.
Adviser Peter Cave said it was a very short-sighted idea. He said advisers needed to be careful not to get caught up in short-term numbers. Advisers could get hung up on trying to make six-month or 12-month returns look good and justify fees, he said, which would disadvantage clients who had a long-term perspective.
“There’s too much focus on the value an adviser adds. What other industry group do you have to prove your value in? I bought a dishwasher at the weekend – I didn’t debate with the adviser there and say ‘how much do you get paid, how do you represent value’?”
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