How to adapt to daunting regulatory changes and thrive

Change often isn’t easy, especially when it impacts how you run your financial advisory practice, or if you can even be an advisor at all.

Regulation changes in Australia, which is where I live, hit us hard and fast. There were 36,000 financial advisors in my country. Now, three years after the changes were announced, there are about 15,000. We had little chance to adjust to the new world of financial advice in Australia. For example, some of the new regulations require financial advisors to limit their clients to 300 households, charge fees, meet certain educational requirements and pass a five-hour national exam.

It was daunting, and there were times I wasn’t sure I’d get through it. I’m thankful that I did, and my MDRT friends helped tremendously. Now that I’m on the other side, it’s brought me more high-net-worth clients than I’ve ever had before.

One of the hardest changes for me to adapt to was going back to school. I’m 48 years old, hadn’t been to school in 25 years and didn’t really want to go back. That, however, was one of the government mandates. So, while working full time and running a business as well as handling other family responsibilities, I got my university degree.

I didn’t know how I was going to do it. Then an MDRT friend advised me to take small chunks of time to focus on studying. I’m not much of a studier, but this method allowed me to get through it.

My business is now doing better than ever; however, I realize now how important it is to watch what’s going on globally and talk to your MDRT friends from around the world. Change happens everywhere. By having that strong MDRT network around you, you can prepare and become one of the financial advisors who survives and thrives.

Roy Hall is a 19-year MDRT member from Hope Island, Queensland, Australia. He’s also a Top of the Table member. See more from him on this topic in his video “Adapt to regulations and thrive: Fewer clients, more fees and education.”

For more about MDRT members adapting to regulation changes:

• Read “Soldiering on”: Advisors in Hong Kong, China, devise creative approaches to new challenges. (Available in 10 languages)
• Read “Raising the regulation bar”: Increased oversight helps UK advisors look out for their clients’ interests. (Available in eight languages)