What have we learnt from the banking royal commission?

We have seen some explosive cases presented to the banking royal commission and it is disappointing to think some Australian's have been treated this way. This is the key reason why we have always liaised with proven experienced finance brokers and only independent firms who provide clients the best advice, whether this means they don't do or if its better for the client to not do business with the given client. A "Client First" philosophy has been a cornerstone of our business and as such we would love to see this approach adopted across all areas where Australian's may look to invest for their future. Our portion of when people are considering investing is just property and we do not provide any financial advice but we can suggest a number of professionals in their given fields who also hold the "Client First" philosophy.       

Reading the material coming out of the banking royal commission, I believe a degree of separation needs to occur between banks and their financial advice arms. In property this has been a long term practice of keeping an independent finance broker to that of just liaising with a singular lender. A key reason may be as simple as when we grow a property portfolio it is better to spread across multiple institions for borrowing purposes and keep your financial adviser outside of these circles is critical. This enables you to receive correct advice over which lenders are better to deal with in your given position in life. We must remember at times lenders change perspective on who they would prefer to lend money. This may be come in the forms of relvance to your professional industry, family make up, location, credit position and many more factors and only an person who can anlyse all lenders to see who you best match with can truely give the best advice. Again if they have a "Client First" philosophy.     

Given that the banking royal commission is still in progress, I am sure we will see some horrible stories of clients who didn't receive "Client First" advice. We work in an industry that isn't perfect too and have come across companies claiming independence then providing clients properties that they have a financial interest in the building or development, this is one element I think should be eliminated from the property industry. As I understand it one of the extensions of these clamp downs will be on financial advisers acting as seudo estate agents and personally introducing property to their clients. This activity exists and can be very unfortunate results for thier clients. We liaise with financial advisers and do receive referrals from these advisers but that is where the better advisers allow us as trusted and proven property professional to asist to find the right matching property for the clients best interests. It keeps coming back to a "Client First" philosophy from all involved. When their is genuine care and benefit for the client their position will be enhanced and they will be closer to achieving their goals. In the perfect world we would see all clients from all advisers, whether they be property or financial achieve their goals, but in reality 73% do not achieve these results. 

If we could all adopt a "Client First" approach then all investors would feel safe and secure when investing. we know property is a proven vehicle but who you liaise with on property will be the key to your success.