National brokerage Loan Market has spoken out about the launch of its financial planning service, Wealth Market.
Mortgage Business broke the news on Tuesday that Loan Market will launch a financial planning arm after the company advertised for planners on LinkedIn.
“This decision was not taken lightly given issues surrounding the industry in the past 12 months, however we believe it’s in the best interests of our clients and is consistent with other large mortgage brokers, including Mortgage Choice,” Loan Market chairman Sam White said.
“Loan Market has its own Australian Credit Licence and operates a franchise model where franchisees are either authorised under the Loan Market’s credit licence or have their own credit licence,” Mr White said.
“Our decision to create Wealth Market has been driven by the need to service customers,” he said.
Initially, Wealth Market will focus on providing insurance as well as an approved product list to advise its clients.
“It’s important to note that our approved product list will be structured in the same way as the leading financial planning dealerships,” Mr White said.
An aggressive recruitment process is currently under way and Wealth Market is expected to launch before Christmas.