Finance Heavyweights Steve Tucker, Paul Heath Set Up Own Advice Shop
10 Dec 2014
The financial advisory system in Australia had worked well over the decades despite those shortcomings, he [Steve Tucker] said, but the market was now moving strongly in favour of advice that unequivocally put the interests of the client ahead of any other consideration.
Steve Tucker and Paul Heath, who until recently were respectively chief executive of MLC and JB Were, have started their own independent, fee-for-service financial advisory business as part of the reaction against bank-owned “vertically integrated’’ businesses that sell in-house products.
MLC and JB Were are both owned now by National Australia Bank and both executives left their CEO jobs earlier than most observers had expected, Mr Tucker leaving in March last year.
Koda Capital, which is being backed by a number of private equity heavyweights including Grant Samuel Private Equity founder Andrew Rothery, will officially open its doors in Sydney tomorrow.
It is understood to have a client list of corporate executives nervous of the increasingly obvious problem of conflicts of interest in the 80 per cent of financial advisory businesses in Australia owned by banks and big insurers, because they have historically placed emphasis on selling their own products.
“The profit motive overcame the importance of advice to the consumer,’’ said Mr Tucker.
The financial advisory system in Australia had worked well over the decades despite those shortcomings, he said, but the market was now moving strongly in favour of advice that unequivocally put the interests of the client ahead of any other consideration.
Today US financial investment publication Barron’s, in partnership with The Australian’s business magazine The Deal, released their rankings of Australia’s Top 100 Financial Advisers. The rankings are based on a comprehensive national survey. This list offers clients and advisers a unique guide to the leading practitioners in the sector. The formula used to calculate the...
For Frank Macindoe, the challenge in long-term investing is to ignore the noise and determine the underlying trends. The adviser and partner at Koda Capital in Sydney takes a considered, multiyear investment approach that aims to minimise volatility while achieving superior returns. “I try not to be distracted by the short term, ” he says....
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