Following revelations in InvestorDaily's sister publication ifa yesterday, AMP released a statement announcing the decision to “rationalise the [Genesys] business”.
Genesys firms will be offered a "smooth transition" to other licensees, according to the statement.
“For Genesys advisers wishing to stay with AMP, they will be offered a transition to another AMP licensee and advisers will be able to choose the licensee which they think best fits their business,” AMP said.
Genesys and ipac managing director Tim Steele added that those wishing to stay with AMP will be offered a choice to move to another AMP licensee.
“AMP and Genesys share a mutual commitment to delivering quality financial advice to customers and we believe many of these firms will make the choice to stay with AMP,” Mr Steele said.
A source from within the Genesys network told InvestorDaily a number of incentives have been offered to authorised representatives to stay within the AMP network.
“Genesys will close and we have been told we have until April 30 [2015] to find new arrangements,” the source said. “We have been offered a deal to stay within AMP.”
The source said that advisers choosing to join another AMP group will be paid “three times conflicted remuneration”.
The announcement follows revelations that a number of authorised representatives within AMP’s Genesys dealer groups have been threatening to find alternative licensing arrangements.
