The Financial Planning Association (FPA) has used its latest newsletter to members to make clear that it will be adopting a highly vigilant approach to the new choice of superannuation fund environment.
The FPA newsletter makes clear that the organisation is particularly concerned about the avoiding the mistakes which were encountered in the United Kingdom with respect to mis-selling.
“The FPA has a common desire with government to ensure that there is no repeat of the mis-selling and churning of superannuation scandals in Australia that beset the UK a few years ago,” the newsletter said.
It said that to ensure its members were equipped to advise clients appropriately, the FPA had introduced a number of initiatives and had entered the public debate on super choice to encourage a rational approach by fund members.
“FPA continues to advocate that fund members should take their time and consider their situation before they switch funds, and not feel under pressure to switch during the early months,” the newsletter said.
“We urge fund members not to switch funds without careful consideration and the advice of a qualified financial planner,” it said.
