Australian Financial Risk Management Pty Limited
ABN 21 001 696 868
AFS Licence 237186

Version 3.8 - For a PDF version - click here
FSG prepared and issued 11 July 2017
By authority of Australian Financial Risk Management Pty Limited
www.afrm.com.au

 

Sydney CBD
Level 18, 321 Kent St
Sydney  NSW  2000
Telephone 02 8274 1911
Fax 02 4929 4815
Email  adminsyd@afrm.com.au

Newcastle
Suite 16a, Level 1, 50 Glebe Road
PO Box 866
The Junction NSW 2291
Telephone 02 4927 0001
Fax 02 4929 4815
Email afrm@afrm.com.au

Melbourne
Level 5, 750 Collins Street
Melbourne  VIC 3008
PO Box 647
Collins Street West  VIC 8007
Telephone 03 9670 8366
Fax 02 4929 4815
Email adminmelb@afrm.com.au

Central Coast
Suite 3.28 Platinum Building
4 Ilya Ave
PO Box 3403
Erina  NSW  2250
Telephone 02 4365 4691
Fax 02 4365 4692
Email admincc@afrm.com.au

Brisbane
14/240 Queen St,
Brisbane QLD 4001
Telephone 1300 364 341 or 07 3223 9380
Fax 02 6584 9316
Email adminqld@afrm.com.au

Port Macquarie
Suite 6, Level 1, Colonial Arcade
25-27 Hay Street
Telephone 02 6583 2399
Fax 02 4929 4815
Email adminpm@afrm.com.au

One postal address for all offices
PO Box 866
The Junction NSW 2291 

 

What is a 'Financial Services Guide'?

Our ‘Financial Services Guide’ or ‘FSG’ has been prepared to heighten client awareness of their basic rights in the financial services market.  We want you to know what type of financial services we provide so that you may make an informed decision about whether to use our service. 

This guide contains important information about:

  • The financial services we can offer you
  • How we and our associates are paid
  • Any potential conflict of interest we may have that may influence our advice
  • Our internal and external complaints handling procedures and how you can access them

When we give you financial advice it will be in the form of a Statement of Advice which will take into account your objectives, financial situation and needs.  This statement will also describe our fees, commissions and any associations which may have influenced the provision of the advice.  We may also provide you with a Record of Advice, subsequent to a Statement of Advice, if there have been no significant changes in your personal circumstances or the basis of the advice has not significantly changed since your last Statement of Advice.  This will outline any changes in strategy and may include revised information on fees or commissions.

If we recommend a particular financial product to you we will also give you information about that product in the Product Disclosure Statement (PDS).  To purchase products you will be required to complete an application form online or attached to the relevant PDS. The PDS contains information about the particular product and will assist you in making an informed decision about that product.

Please retain this document for your reference and any future dealings with Australian Financial Risk Management

 

Who is responsible for the financial services provided?

 

Australian Financial Risk Management Pty Limited (AFRM) is responsible for the financial services provided including the distribution of this FSG. 

Australian Financial Risk Management Pty Limited
ABN 21 001 696 868
Australian Financial Services Licence No.237186
Level 18, 321 Kent Street, Sydney, NSW 2000
Level 5, 750 Collins Street, Docklands, Melbourne, VIC 3008
Suite 16a, Level 1, 50 Glebe Rd, The Junction, NSW 2291
Suite 3.28 Platinum Building, 4 Ilya Ave, Erina,  NSW 2250
Suite 6, Level 1, 25-27 Hay Street, Port Macquarie, NSW 2444
14/240 Queen Street, Brisbane,  QLD  4001

What kinds of financial services and products are you authorized to provide?

 

Your adviser is authorised by AFRM to provide financial services advice on Risk Management, Business Succession and Insurance Planning.  The products this authority relates to are specifically risk products e.g. Income protection, business expenses, life insurance, disablement and critical illness insurance products. 

Do you have any relationships or associations with a Financial Product issuer?

 

ipac securities limited (ipac) is a 60.00% shareholder in Australian Financial Risk Management Pty Limited.  Nicholas Hatherly and Mark Hoskin are Directors and each hold a 20.00% share in AFRM.

ipac is a wholly owned subsidiary of the AMP Group, a leading financial solutions provider and investment manager.  The following entities are also part of the AMP Group and as such are affiliated with ipac and AFRM:

  • NMMT Limited
  • N.M. Superannuation Pty Limited
  • ipac asset management limited
  • Multiport Pty Ltd
  • AMP Capital Funds Management Limited
  • AMP Capital Investors Limited
  • AMP Superannuation Limited
  • AMP Life Limited
  • AMP Bank Limited
  • AMP Financial Planning Pty Limited
  • Australian Securities Administration Limited (ASAL)
  • Cavendish Superannuation Pty Ltd
  • Super IQ Pty Ltd
  • SMSF Administration Solutions Pty Ltd

AMP does not influence our research process or selection of products in any way.

 

What information should I provide to receive personalised advice?

 

You need to provide us with a list of your personal objectives, details of your current financial situation and any relevant information, so that we can offer you the most appropriate advice possible.

You have the right not to disclose this information.  If you do not provide full personal information the advice you receive may not be appropriate to your needs, objectives and financial situation.

You should read any warnings contained in the Statement of Advice very carefully before deciding on acquiring a financial product.

What information do you maintain in my file and can I examine my file?

 

Your privacy is important to AFRM.  To learn more about our collection and handling of your personal information and for details on how to access our Privacy Policy please refer to the Appendix: Privacy Collection Statement of this Financial Services Guide.

How can I give you instructions about my Financial Products?

 

You may tell us how you would like to give us instructions.  For example by writing, telephone, fax or other means such as e-mail.  To acquire a risk product a written application from the relevant PDS will be necessary.

How will I pay for the services provided?

 

We may receive a payment called brokerage, which is paid to us by the Financial Product issuer for placing new financial products.  We may agree to rebate any financial risk advice fees to you by amounts we receive in this manner.

These brokerage payments are not an additional cost to you but are paid to AFRM by the Financial Product issuer.  All brokerage payments are shown exclusive of any GST (unless otherwise indicated) and disclosed to you at the time you consider our financial product recommendations.

In combination with or, as an alternative to brokerage payments, you may pay us a fee under agreement. 

AFRM may charge you a fee between $550 and $5,500 (including GST) for the provision of financial risk advice. 

Alternatively, we may charge a fee between $550 and $33,000 (including GST) for other agreed services such as the management of complex insurance claims.

These fees should be used as a guide only.  Fees (if applicable to you) will be considered in light of the complexity and extent of services we agree to provide you.  Any fees will be outlined in the form of a “Letter of Engagement” for your agreement before any financial risk advice or claims management services are commenced.


How are any commissions, fees or other benefits received for providing the financial services?

 

These brokerage payments are not an additional cost to you but are paid to AFRM by the Financial Product issuer.  All brokerage payments are shown exclusive of any GST (unless otherwise indicated).

Upfront payments
Where a risk/life insurance product has been recommended the issuer of the product will pay AFRM brokerage.  The brokerage rates range between O% and 112.5% of your first year’s premium, varying from one product issuer to another.  For example, assume you pay insurance premium of $1,000, AFRM could receive one off payment of up to $1,125 in upfront brokerage.

Ongoing payments
Where a risk / life insurance product has been recommended the issuer of the product will pay AFRM ongoing brokerage.  This brokerage can vary, depending on the product, and may range between 0% and 34.1% of your premium. For example, assume you pay insurance premiums of $1,000, AFRM could potentially receive up to $341 pa ongoing brokerage for as long as you hold the product.

Additional payments
From time to time AFRM may receive an annual additional payment from certain product issuers which is based on set criteria. This may include, the amount of new business placed, the total amount of inforce premium, or the percentage of policies lapsed in any one year. 

The maximum additional payment (as a % of premium written) that we may receive each year from product issuers is outlined below:

  • TAL may pay AFRM an additional payment of up to 33.75% based on the criteria above.
  • MLC may pay AFRM an additional payment of up to 12.73% based on the criteria above.
  • AXA may pay AFRM an additional payment of up to 16.00% based on the criteria above.
  • AIA may pay AFRM an additional payment of up to 4.55% based on the criteria above.
  • BT may pay AFRM an additional payment of up to 10.00% based on the criteria above.

The exact amount of any fees, commissions/brokerage, bonuses or additional payments received by AFRM will be included in the Statement of Advice we provide to you.

 

Will anyone be paid for referring me to you?

 

Where you have been referred to us by someone else we may pay them a fee or commission in relation to that referral.  We will inform you in the Statement of Advice who will receive that fee or commission and the amount they will receive.

How does your adviser get paid?

 

Your adviser is an employee and receives a salary from AFRM, and may also receive a bonus or rewards.  Where your adviser is a Director of AFRM, they may also be entitled to profit share.

Your adviser may also receive non-monetary forms of benefits from product providers.  They may include conferences with respect to training and education, (excluding travel and accommodation for the conference), or token gifts, invitations to sporting or cultural events and dinners with less than a $300 value.

We maintain a register that records any forms of alternative remuneration.  This is available to you upon request.

Does AFRM have Compensation Arrangements?

 

Australian Financial Risk Management Pty Limited has appropriate Professional Indemnity Insurance arrangements in place as required by the Corporations Act.  This insurance will cover claims in relation to the conduct of current representatives/employees and those who may now no longer work for AFRM.

What should I do if I have a complaint?

 

  1. Contact either your adviser, or the ‘Complaints Manager’ at AFRM, and tell us about your concerns.
  2. f your complaint is not satisfactorily resolved within 3 days please write to:

Managing Director
Australian Financial Risk Management
Suite 16a, Level 1, 50 Glebe Rd
(PO Box 866)
The Junction,  NSW 22914. 

We recommend that you provide as much detail as possible in your correspondence.  We will then seek to resolve your complaint quickly and fairly.

  1. If your complaint can’t be resolved to your satisfaction you have the right to refer the matter to the:

    Financial Ombudsman Service (FOS)
    GPO Box 3, Melbourne VIC 3001  
    Telephone 1800 367 287 (free call)
    Email info@fos.org.au or website www.fos.org.au

This service is provided free of charge and Australian Financial Risk Management Pty Limited is a member of this service.

The Australian Securities and Investment Commission (ASIC) also has an infoline 1300 300 630 where you can raise a complaint.  If the complaint is in relation to the handling of your personal information, the Office of the Privacy Commissioner’s infoline is 1300 363 992.

     

 

Appendix: Privacy Collection Statement

As part of the risk management advice process, we need to collect information about you.  Where possible we will obtain that information directly from you, but if authorised by you we may also obtain it from other sources such as your financial planner or accountant. If that information is incomplete or inaccurate, this could affect our ability to fully or properly analyse your needs, objectives and financial situation, so our recommendations may not be completely appropriate or suitable for you.

We keep your personal information confidential, and only use it in accordance with our Privacy Policy.  Some of the ways we may use this information are set out below:

  • Your adviser and AFRM may have access to this information when providing financial advice or services to you;
  • Your adviser may, in the future, disclose information to other advisers and those who are authorised by Australian Financial Risk Management Pty Ltd (AFRM) to review customers' needs and circumstances from time to time, including other companies within the group;
  • Your information may be disclosed to external service suppliers both here and overseas who supply administrative, financial or other services to assist your adviser and the group in providing financial advice and services to you.  A list of countries where these service providers are located can be accessed via our Privacy Policy;
  • Your information may be used to provide ongoing information about opportunities that may be useful or relevant to your financial needs through direct marketing (subject to your ability to opt-out as set out in our Privacy Policy);
  • Your information may be disclosed as required or authorised by law and to anyone authorised by you.

Your adviser and AFRM will continue to take reasonable steps to protect your information from misuse, loss, and unauthorised access, modification or improper disclosure. You can request access to the information your adviser or AFRM holds about you at any time to correct or update it as set out in our Privacy Policy. Our Privacy Policy also contains information about how to make a complaint about a breach of the Australian Privacy Principles.  For a copy of our Privacy Policy visit www.afrm.com.au or you can contact us.

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