Independent superannuation and investment platform provider Wealthtrac, has launched a renewed offering for advisers; lowering fees, introducing a market-first cap of $350k and allowing advisers greater control in setting their Adviser Service Fees (ASF).
Wealthtrac Managing Director and CEO, Matthew Johnson, said the new pricing model was designed to give advisers greater flexibility and was better suited to fee for service models.
“We understand the pressures advisers and clients are under in the current environment. Platform services such as ours, should be about assisting advisers to do what they do best – and that is, implementing excellent advice strategies for their clients.”
“The value of many Australian’s super accounts have fallen substantially in the past few years and this puts enormous pressure on advisers and their clients. We think it’s important to respond to this new environment by lowering fees and keeping our platform accessible.”
Previously administration fees were capped for accounts in excess of $500,000 or $2,770 maximum for superannuation. Wealthtrac has lowered this to $350,000 capped with a new maximum of $2,460 and $2,385 per annum for IDPS.
“We believe this makes Wealthtrac the lowest capped traditional platform in themarketplace,” Mr Johnson said.
The new PDS also includes revised ASF, which provides advisers and members with the flexibility to charge for advice. Advisers can now charge a one off ASF as either a flat dollar or a percentage. Advisers also have the option to charge an ongoing ASF as either a fixed percentage or a tiered percentage based on the administration fee tiers and the ability to charge an ongoing ASF as a combination of a flat dollar and percentage (fixed or tiered).
“Under the new PDS, advisers will have greater flexibility to negotiate fees that suittheir business and their clients. We have enhanced functionality in relation to ASF. Importantly, we have also reduced administration fees, which we think is always well received by new members.”
Minimum fees on amounts less than $75,000 apply. Existing members will remain on their current administration fees, however they are able to utilise the new ASF functionality via the Management Alteration form.
Mr Johnson said the new structures were made possible following the revision of Wealthtrac’s service level agreement with OnePath.
“The Wealthtrac platform has been performing strongly and our funds under administration has recently passed $750m for the first time. Under our new SLA with OnePath, we have far greater flexibility to modify our offering to suit ouradviser members.”
