Finance industry veterans Steve Tucker and Paul Heath have launched their new private wealth management firm, Koda Capital.
The former chief executive of broking and advisory business, Mr Heath, and former chief executive of MLC and NAB Wealth, Mr Tucker, will use their combined knowledge to invest on behalf of high net worth individuals, private equity players and former wealth industry executives.
It comes in light of the recommendations in the recent Murray report, which said the financial advice industry needed a significant review.
Mr Tucker, who will be Koda's chairman, said the challenges facing the private wealth profession have been well documented.
"The profession can't rely on regulation to rebuild trust; the market itself needs to take responsibility for this," he said.
"As we considered the landscape of wealth advice, we saw a gap – that of an independent, high quality firm, staffed by experienced professionals that serve clients in a manner completely free of the conflicts of interest which exist in many firms.
"We believe the wealth advice firm of the future is independent."
The group will focus on four areas of activity being financial planning, including advice on appropriate structures; providing advice for various generations of wealthy families; and advice within the philanthropic space.
Mr Heath, who will have the chief executive role, said the fees will be "transparent" and no commissions will be charged from putting clients into products that may not suit them.
"A major benefit for our clients is that Koda Capital is not aligned with or owned by a financial institution, as opposed to the vast majority of other wealth management firms in Australia, " he said.
Read more at smh.com.au