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New commission rebate service is great news for investors
This week marks the launch of Australia’s newest commission rebate service that provides investors with the most convenient and cost-effective way of recouping the commissions payable from a raft of financial products.
MyMoney Australia (www.mymoney.com.au) offers investors and financial planners, the first fully web-based commission rebate service, which is not only easy to understand and use, it is also the only service in Australia that makes monthly direct payments into investors’
bank accounts.
In a few simple steps, and without having to make any changes to their existing financial products, investors can start to receive regular cash refunds and take full control over the fees they are charged by fund managers and insurance companies, which are paid usually as
trailing and renewal commissions to advisers and intermediaries.
For financial planners, the launch of MyMoney provides an important means of strengthening the client/planner relationship because it enables commissions to be simply converted into fees in a transparent way. This provides planners with an ideal solution to the increasingly crucial issue of converting remuneration from commissions to client-directed fees.
Some of the key features of MyMoney that make it so attractive for investors are:
• No joining fee
• No minimum annual fee
• Fee automatically comes out of commission rebates
• Cost effective fee model
Online registration is quick, easy and free, and MyMoney has kept to an absolute minimum the amount of paperwork investors need to complete in order to activate their account.
Once signed up, MyMoney clients get immediate 24/7 online access to their refund balance information, and receive a monthly activity statement as well as their monthly direct bank account payments.
Financial products covered by MyMoney include managed funds, super, allocated pensions and retirement income accounts, CMT’s, margin loans and life insurance.
The service is completely transparent, and gives clients an easy and straightforward way of paying their financial planner if they use one, by collecting product commissions on the client’s behalf of the client, and then making those commissions available to pay client fees
as agreed with their planner.
The MyMoney platform has been built by professionals who are leaders in the development of commission management systems and who fully understand the needs and expectations of investors and financial planners when it comes to fees and commission payments.
“MyMoney is a great service for investors because it means they no longer need to worry about commissions buried in their financial products,†the Joint Sales & Marketing Director of MyMoney Australia, Graham Burnard, said.
“We’ve designed MyMoney as a user-friendly model with the needs of investors taken into account. There is no effect on investors’ existing financial products and the direct monthly payments into our clients’ bank accounts means they have an easy incentive for saving money,†he said.
The arrival of MyMoney is also timely in light of the recent decision by the Board of the Financial Planning Association to adopt as official FPA policy the abandonment of product commissions for planners by July 1, 2012.
With the FPA’s goal is for all planners to adopt a client-directed payment model by July 2012, Burnard said MyMoney gave planners the ability to easily transition to this model immediately.
“MyMoney is great service for investors because it means they can pay planners they way they choose to. For planners, there is the potential of strengthening their client relationships because MyMoney is so easy to use and understand,†Burnard said.
He added that as the financial planning industry sought ways of providing independent advice, the challenge of dealing with commissions on existing products was obvious.
However, he said that it is not the commission payments themselves that are the problem but simply the lack of control clients have over them.
He added that MyMoney was all about transparency for clients and planners/advisers, and helping deliver real value.
“In that way, MyMoney effectively addresses the FPA’s remuneration policy which states that remuneration the planning profession should be clear, concise, comparable and aligned to a service that delivers value,†Burnard said.
For further information, please contact:
Graham Burnard
Joint Sales & Marketing Directors
MyMoney Australia
P: 02 8226 1515
M: 0409 314 49
E: graham.burnard@mymoney.com.au
Paris Kritikos
Joint Sales & Marketing Directors
MyMoney Australia
P: 02 8226 1515
M: 0419 278 753
E: paris.kritikos@mymoney.com.au
Simon Lloyd
Access Public Relations
P: 0424 470 923
E: simon@accesspr.com.au
About MyMoney Australia
MyMoney Australia Pty Ltd provides investors with access to commissions that are paid by financial product providers to financial advisers. The company is an authorised representative of Global Mutual Funds Pty Ltd, a privately-owned Australian Financial
Services Licence holder. The principals of MyMoney have more than 40 years of combined experience in commission management services and information technology. The MyMoney service has been designed as an efficient, cost-effective and simple web-based facility from which investors can receive the commissions payable on financial products that are generally paid to financial advisers. Rebated commissions obtained by MyMoney are credited directly into clients’ nominated bank accounts on a monthly basis. MyMoney does not offer financial advice to clients.