Monday 13 July 2020

I need to talk about QInvest - Part One

QInvest is the Financial Planning entity owned by QSuper, one of Australia’s largest superannuation funds, QSuper.

QInvest provides personal financial advice to members of QSuper.

I worked for QInvest for nearly 7 years from October 2010. It was a most rewarding period of my career and bluntly, the ideals by which QInvest executed its responsibilities makes finding another employer with similar commitment difficult.

QInvest financial advice recommendations were based on each individual clients personal goals and objectives and evidence was collected, expected and retained supporting the exploration of such goals.

First and foremost, a strategy was devised, discussed, explained and agreed followed by the selection of products needed to execute the strategy.

There was no financial incentive whatsoever to select one product over another. There was no incentive to complicate a strategy. The size of funds being advised was not relevant to any individual or collective performance assessment. The number of clients helped was a key performance indicator together with the quality of the advice provided. More was not better; better was more.

I always considered there to be a purity about the way QInvest or we executed the craft. This feeling of ourity was reinforced when following the hearings and subsequent recommendations of The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services I

On Thursday 2 July it was announced that QInvest would soon cease to provide comprehensive personal financial advice. My understanding is this is not a Covid-19 or pandemic driven decision.

I have long held the belief that any organisation is entitled to change direction, re-structure or cease all or parts of its operations. I have accepted that changes result in different “people needs” and some may leave, be surplus to requirements or re-deployed. Change is necessary.

Notwithstanding, it is difficult to believe QInvest Clients, QSuper members or the financial service sector is better for not having an organisation such as QInvest provide the comprehensive services it has since 1974.

QInvest has a right to feel great pride for what has been achieved over 26 years and more so, for the way business has been conducted. I am personally proud to be a QInvest alumni.

QInvest implemented an Advice model and fee structure that allowed proper financial advice to be provided to clients that needed it but for whom many other providers would not be interested in delivering.

A 35 year old school teaching couple about to have their second child is an example I often used to outline the unique offering of QInvest. Typically, this couple would have low disposable income, low investable assets and usually quite high debt by way of their principal place of residence.

They would also benefit greatly from financial advice covering some or all of risk insurance, education saving, debt management, estate planning and cash flow planning. The QInvest model allowed such advice to be provided when many, maybe most alternative financial planning models would not be able to provide a service for more than perhaps risk insurance.

In addition, I was always proud that the part time cleaner at the rural primary school would receive exactly the same service, attention to detail and professional thought and scrutiny of quality as would a Departmental Director, Police Commissioner or Minister of the Crown.

I have worked for several banks, funds and institutions. I know of many more. All claim to have their customer, client or member as their sole and primary priority. From my observation and experience, only QInvest (and QSuper) state such a mantra then assertively prosecute it – from the bottom up, and back down again.

Most of all I am proud to have been associated with many wonderful QInvest people.

I have spoken to several QInvest Financial Advisers and one Para Planners who were present for the announcement on Thursday 2 June. All were disappointed and all were accepting if also frustrated.

Advisers in particular were concerned for the very many clients they worked with year in year out, particularly those they had helped through the loss of parents, partners and in some cases children.

They were concerned for the ongoing diverse financial needs for clients who were disabled or simply very naive financially. They were concerned for clients who they had worked with to bring them back from the brink of bankruptcy to again moving forward in their financial life having ceased systemic credit card mis-use and gambling habits. Would these people continue to prosper?

There is a difference between a member of QSuper and a client of QInvest. A large difference of incalculable value.

QInvest people, know them as people. They know their faults, hopes and dreams. They know their fears concerns and weaknesses. They know their health challenges.

I will always remember observing an Advice meeting where the client had untreatable terminal lung cancer and a time frame of 3 to 6 months at best. The comfort and understanding they expressed to the QInvest Financial Adviser following a very challenging meeting was as moving as it was sad. They not only knew their family would be taken care of financially, they understood how and trusted the ongoing assistance their partner would receive from that QInvest Adviser after they past away.

This is not an isolated situation. On many occasions QInvest Advisers attended meetings with clients and their families at home and in hospital knowing there were weeks, sometimes less to go.

Other Financial Advisers do similar but it was the culture of QInvest people to do this. QInvest Advisers on the whole accepted this was their duty and privilege to help. There was no tangible incentive to do so.

And then the impact on clients became just a little more personal for me.

Not long after the news of QInvest’s withdrawal from Comprehensive Advice services became public knowledge, my messenger on Facebook pinged.

The sender was someone I first met when we were both 14 years of age. It is many years, decades even since we have had any meaningful contact.. She told me she is a QInvest client and asked if I knew (name of Adviser). I did not know she was a client of QInvest or of said Adviser until she told me via messenger.

She had retired quite recently having done so after working towards that goal with the help of said Adviser. I was asked if she would still be able to see the Adviser revealing a review meeting had recently been arranged. Not wanting to say anything that could be misleading and given I no longer work at QInvest I suggested she call or e-mail and mention if comfortable she had spoken to me.

She called several times only to have the phone go to message bank and emailed. Distressed she came back to me and not making any promises, I offered to help.

I messaged the Adviser, explained what had happened, the distress of the client while acknowledging comforting her may not be their first priority right now.

Shortly after, the Adviser called her.

A measure of the QInvest culture and a measure of a culture that I am not sure QSuper as its owner understands is for all said Advisers concern for their own families well being and their own career, they promptly called the client and prioritised addressing their needs and fears.

It is not surprising that an Adviser would be professional and make contact. Equally, it would not be surprising if they had left the call for a day or until after the weekend. But no, they called within an hour of hearing of her distress and concern.

To be continued

Part two will be out on Thursday 16 July 2020

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