logo
logo
Sign in

Think twice before getting financial advice from your bank

avatar
Patrick Douglas
Think twice before getting financial advice from your bank

Next time a friendly bank staff insists on helping you with your money, consider this:

75% of the advice given to customers wasn’t in the clients best interests.

This startling figure comes from a recent review of the financial advice offered from the big four banks by the Australian Securities and Investment Commission (ASIC).

Even more startling: 10% of advice was found to leave investors in an even worse financial position.

Through a “vertically integrated business model”, Commonwealth Bank, National Australia Bank, Westpac, ANZ and AMP offer ‘in house’ financial advice, and collectively, control more than half of Australia’s financial planners.

It’s no surprise ASIC’s review found advisers at these banks favoured financial products that connected to their parent company, with 68% of client’s funds invested in ‘in house’ products as oppose to external products that may have been on the firms list.

Financial advisor Melbourne

collect
0
avatar
Patrick Douglas
guide
Zupyak is the world’s largest content marketing community, with over 400 000 members and 3 million articles. Explore and get your content discovered.
Read more