The launch of a new superannuation product – Retire Right – was credited for a huge boost in revenue brought in by Yellow Brick Road’s (YBR’s) wealth management division.
According to the company’s quarterly commitments update for the three months to 31 December 2013, YBR’s wealth division now represents 30 per cent of total branch revenue, up from a mere 7 per cent during the same quarter last financial year.
“The recently launched low cost superannuation product, Retire Right, continues to build momentum with over 800 clients applying for the product in the six months since inception,” the company stated.
“It’s worth noting that 61 per cent of new accounts are sourced from the branch network, with the remaining balance coming from on-line direct.”
The boost in YBR’s wealth revenue was also attributed to the launch of its comprehensive self-managed super fund (SMSF) service, with the company saying it allows the business to tap into the large growth in retirement savings.
Ensuring comfortable retirement is one of five main points of Yellow Brick Road’s draft submission to the Government’s financial systems inquiry. YBR is “crowd-sourcing” its submission by asking for public feedback and input on its five-point plan for a fairer financial system.
The five points include transparency in interest rate advertising, increasing competition in the banking sector, more help to Australians with their personal finances, supporting the dream of owning a house and having a comfortable retirement, as well as introducing a “fairer system for outsiders – women, small businesses and young people”.
“From young people facing longer, later, larger mortgages; to parents worried about how to ever save for retirement when they’re barely paying bills on time; to small businesses who struggle to get access to independent, affordable advice – there are too many Australians who are left behind and who are hurt by our uncompetitive, outdated financial system,” chief executive officer of Yellow Brick Road, Matt Lawler, said.
“We’ve been thinking for some time about the difficulty many Australians – particularly women, young people and small businesses – have accessing affordable financial advice, affordable home loans, and building life savings,” Lawler added.
“We’re asking Australians to put forward their responses, their ideas and their personal stories and take this once in a generation opportunity to fix the financial system to make it fairer, more affordable and more competitive.”
