Trailing Commissions on old funds

Eight years ago, my husband & I invested in managed funds through a broker. We have not had an ongoing relationship with him since, other than updating some life insurance a couple of years ago. He has not proactively advised us during this time, but has answered general questions if I have called him. When changing over my life insurance, he actually misinformed me about my entitlement to collecting the govt co-contribution for super - he said I couldn't get it, and would be better off salary sacrificing. I had to go to the ATO website and show him he was incorrect!! Anyway, it all got me thinking that we are not getting very good value for money for the ongoing trails he is collecting. I am thinking of nominating iRefund as my broker to recieve a rebate. I have read the threads about this being unethical & tend to agree, but at the end of the day, how ethical is it for this guy to continue to receive a trail after eight years of doing nothing more than submitting our application forms? He also collected a hefty up front fee from our intial investments. Are there any pitfalls associated with using these companies? Has anyone had any experiences - good or bad? Are there brokers out there who would share the commission or at least review your situation each year?
 
Trishie forgive me if I am wrong but this is your first post and is a Dorothy dix.

Seems that there are a myriad of post at the moment that seem to be pumping different businesses.

As far as the business you refer to there are multiple businesses that offer rebates on commissions. You only need to do a Google search to find more. They all seem to charge around the $300 PA with the one you mentioned at the upper scale.

The Investsmart organization is one that I have used for some of their portfolio management tools (with marginal success) but I have never used them for any insurance/fund rebates. That not to say I wouldn't its just that the insurance policies I have don't have sufficient trails to make it worth my while.

Cheers
 
You have probably read a thread I either started of added to (cannot remember exactly) about this. I have done nothing about clawing back any commissions from my insurance or loan brokers because I value their assistance and don't want to jeopardise either relationship. I also have no issues with them getting a trailing commission because they do more than just collect their commission.

However, reading your question, I would have no hesitation in clawing back some of the commission you have paid, as there doesn't seem to be an ongoing relationship and it seems the service you have been getting is nothing to write home about.
 
How do you go about clawing back trailing coms for managed funds when there is no ongoing relationship with the originator anymore?

In my case there has been some switches done by myself on my own judgement, not a great deal of coms paid, but still would be interested in learning how you do this.

With respect to super money and managed funds.
 
I'd reckon there'd be heaps of planners who'd do a yearly review - yours just doesnt for whatever reason.

after 8 years I cant see a clawback in play.
 
How do you go about clawing back trailing coms for managed funds when there is no ongoing relationship with the originator anymore?

In my case there has been some switches done by myself on my own judgement, not a great deal of coms paid, but still would be interested in learning how you do this.

With respect to super money and managed funds.

That's pretty easy, just nominate one of the rebating services as your advisor, the commissions start geting paid to them and they rebate some of it to you.

If you are receiving a good service from a FP then it would be silly to use one of these services, but if you are not it is the only way to reduce your fees. The fund managers generally have default fee levels and only a nominated advisor can change this. I've been using www.rebatefinance.com.au for over a year now and am happy with them, but there are plenty of others also.
 
That's pretty easy, just nominate one of the rebating services as your advisor, the commissions start geting paid to them and they rebate some of it to you.

If you are receiving a good service from a FP then it would be silly to use one of these services, but if you are not it is the only way to reduce your fees. The fund managers generally have default fee levels and only a nominated advisor can change this. I've been using www.rebatefinance.com.au for over a year now and am happy with them, but there are plenty of others also.
Thanks for that reply, very informative.
 
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