Once Bitten. Twice Shy?

21st January 2022

Once Bitten. Twice Shy?

Canberra investors who are taking their self managed super funds away from the soon to be insolvent Dixon Advisory and Superannuation Services following their recent announcement of voluntary administration may be carefully considering where to go and who to trust.

When it comes to the financial services sector, trust is everything. Investors need to know that their adviser is acting in their clients’ best interests. They want to be able to sleep at night knowing that the people who are making the investment decisions are managing risk and doing everything they can to achieve positive risk adjusted returns.

Self managed super funds (SMSFs) are extremely popular in Canberra. Investors like the feeling of being in control, and knowing that they own the assets in the fund. Dixon Advisory had quite a number of SMSF clients. In a recent Canberra Times article it was reported that Dixon Advisory was once the fourth largest SMSF provider in Australia.*

In a class action launched by Piper Alderman last year, it was alleged that Dixon Advisory’s investment committee approved and recommended products which were “pushed on” clients.*

Investors should always be wary of advisers who push products onto clients. Always look into the fee structure and make sure that there is no incentive to ‘sell products’ just to earn extra fees.

While it might seem that bad news overshadows good news at times in the financial advice industry, there are still good firms with specialist SMSF skills and disciplined processes out there. In fact, we believe Elston is one of the best in the ACT. But we’d like you to judge that for yourselves. If you’re feeling ‘once bitten, twice shy’ and you have questions, by all means, get in touch. We’re here to help. Contact us on info@elston.com.au OR call 1300 ELSTON.

*Source: The Canberra Times

Uncertainty hits self-managed super funds as Dixon Advisory goes into liquidation | The Canberra Times | Canberra, ACT

Warnings and disclosures

This material has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained in this material is General Advice and does not take into account any person’s individual investment objectives, financial situation or needs. Before making an investment decision based on this advice you should consider whether it is appropriate to your particular circumstances, alternatively seek professional advice. Where the General Advice relates to the acquisition or possible acquisition of a financial product, you should obtain a Product Disclosure Statement (“PDS”) relating to the product and consider the PDS before making any decision about whether to acquire the product. You will find further details of the service we provide and any cost to you within the Financial Services Guide. Any references to past investment performance are not an indication of future investment returns. Prepared by EP Financial Service Pty Ltd ABN 52 130 772 495 AFSL 325 252 (“Elston”). Although every effort has been made to verify the accuracy of the information contained in this material, Elston, its officers, representatives, employees and agents disclaim all liability (except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this material or any loss or damage suffered by any person directly or indirectly through relying on this information.

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