Critics of 'Aussie RDR' say it will orphan millions of clients

The FoFA Bill was introduced into Australian Parliament this week. It includes reforms including a ban on what it calls "conflicted remuneration structures" such as commission and the introduction of a fiduciary duty to act in the best interests of clients. The government claims the reforms will improve the trust and confidence of Australian retail investors in the financial planning sector. However, the Association of Financial Advisers (AFA), quoting a research document, said the changes would almost halve the number of advisers operating in the industry by 2024, cut adviser reve...