The Financial Services Council (FSC) was taking on the challenge of continued flat markets by looking beyond the next six months and restoring investor confidence, its chief executive said yesterday.
“There’s no doubt the industry is doing it tough – flows are down and discretionary investments are very low,” FSC chief executive John Brogden told InvestorDaily.
In response to poor platform flows, the ongoing financial crises overseas continued to send negative messages to consumers, which then flowed into the funds management sector, Brogden said.
“Our members wish it was a lot busier and are certainly looking for a high level of confidence,” he said.
“I think the industry sees a pretty flat six months ahead and a tidal wave of regulation, [so] we want to look beyond the next six and 12 months into the future. It’s just very hard to lift your head above the trenches at the moment.”
FSC members were doing all they could to restore investor trust and confidence, particularly as the implementation of the Future of Financial Advice (FOFA) and Strong Super legislation were imminent, he said.
“In the next six months we see more legislation and more ASIC guidance coming out, so it’s about continuing to settle down,” he said.
“We’re pretty much at the business end of the process, which means 2013 will be a year of significant compliance by the industry.”
The FSC is in regular communication and working closely with the government and ASIC to ensure legislation, regulation and guidance are as practical as possible.
The council’s annual conference, to be held in August, will focus on what the industry’s mission is into the future and is hoping to further address issues surrounding the implementation of FOFA and Stronger Super.
