PERSONAL CHOICE PRIVATE (PCP)

• PCM is a platform joint venture company that is 98% owned by AIOFP members and 2% owned by AIOFP on behalf of members. PCM has been successfully operating since 1998 where the shareholder agreement treats all members/shareholders equally regardless of their size. Past ventures have been with IOOF and Asgard where over $1.3 billion has been raised.

• PCM has recently developed a Private Label structure with Westpac/Asgard where all parties agreed to an independent trustee to represent the fund members and advisers. The product is called Personal Choice Private [PCP].

• Westpac/Asgard and the trustee have also agreed to a termination clause that delivers ownership and control into the hands of the PCM shareholders/advisers. This is the critical difference between a ‘white label/badge’ and a private label – advisers own the product, the FUA and the clients. The advisers only own their embedded margin with white label/badged structure, the institution [acting as the custodian/administrator/trustee] owns the product and the clients.

• PCP clients enjoy identical security and administration services as Westpac/Asgard retail clients as Westpac/Asgard are operating as the custodian and administrator. The PCM Board deals directly with the trustee on menu, operational and risk insurance issues.

• PCM and AIOFP have used their scale to negotiate institutional rates on both administration and trustee fees that delivers a significant saving to clients. These rates have also allowed PCM to embed a margin for shareholders that is paid on a monthly basis. These numbers are commercially sensitive and can only be divulged once a confidentially agreement has been signed.

• In summary, there are numerous instances over the years where adviser clients invested in platforms are sold onto another party and the adviser has no say or benefit in the outcome. PCP changes this environment by having the appropriate agreements and structure in place. Simply put, PCM has the power to influence outcomes that are in the clients and advisers best interests. The uncertainty around FOFA has not diminished our view on PCP. Regardless of what happens with FOFA, we believe advisers should be seeking the best priced/featured platform option for their clients anyway and supporting a structure where advisers have control makes commercial and political sense in our view.

• The PCM and AIOFP Boards have a highly experienced and influential team to govern the direction of PCP, PCM, FRC and AIOFP.
  • AIOFP Chairman, Peter Daly – Managing Director of AFS Ltd.
  • Dr Dennis Maddern – Managing Director of Maddern Financial Services Ltd.
  • Tony Siragusa – Partner Money Guidance Advice and Accounting.
  • Ben Jayaweera – Principle Growth Plus
  • John Ardino – Principle Lifespan Financial Planning.
  • Peter Johnston – AIOFP [practice principle for 22 years]
  • PCM Chairman Darren Pawski – Managing Director Wealthsure Ltd.
  • Les Mace – General Manager RIAA
  • Dr Tony Virtue – Principle Virtue and Partners – RO of PCM.
  • Peter Daly and Peter Johnston are also Directors of PCM.
  • Andrew Reeve – Parker – Principle NW ADVICE – FRC committee.
  • Rob McGregor – McGregor Asset Consulting – FRC committee.
  • Mercer, JB Were, Morgan Stanley Smith Barney

To view the Personal Choice Advisor Brochure click here

To view the Personal Choice – Private Insurance Service click here

To view the Part 1 – Personal Choice Private eWrap – Super/Pension Product Disclosure Statement click here

To view the Part 2 – Personal Choice Private eWrap – Super/Pension Product Disclosure Statement click here