Over 2k advisers have exited the industry this year

The current number of advisers sits at 18,574, following a record week during which as many as 124 professionals left the industry, data issued by Wealth Data on Thursday (2 December) revealed. 

The weekly losses do, however, include those that have occurred as a result of Commonwealth Bank’s wind-down of Commonwealth Financial Planning (CFP), impacting 74 advisers over the past week.

But the total net loss for the week was also compounded by heavy losses at AMP (-38) and IOOF (-28) with very little take-up elsewhere. Wealth Data noted that AMP had losses across the board and none at this stage have switched to alternate licensees, while IOOF losses were compounded by several staff coming off the ASIC FAR.

According to the data, 2,062 advisers have left the industry since the start of the year, while only 144 new entrants were recorded. 

It’s worth noting that the only area boasting growth was the self-licensed sector where, year-to-date, 13 licensees have opened and 45 have closed. By comparison, across the accounting – limited advice group, zero licensees have commenced and 105 have closed.

The data also revealed the existence of 51 licence owners with more than 50 advisers, of which 13 are in positive territory for combined growth of 95 and 38 are in the red for a combined total of 1,970.

SMSF Adviser Network remains the largest individual licensee at 638, AMP Financial Planning at 612 and Morgans at 474.