Insurance

    Centrepoint Alliance to acquire Brighter Super’s advice book

    Article Image

    Centrepoint Alliance (ASX:CAF) will acquire the comprehensive financial advice review book from ESI Financial Services, a wholly owned entity of Brighter Super.

    The move is part of a strategic partnership that will expand Centrepoint’s client base and strengthen its position in the financial advice sector across Australia.

    Brighter Super, a Queensland-based superannuation fund with approximately 280,000 members, has chosen Centrepoint as its preferred partner to scale its advice offering.

    The acquisition will see up to 400 customers transition to Centrepoint, generating around $1 million in annual revenue.

    The transition will be managed through Centrepoint's wholly owned advice firm, Financial Advice Matters, which currently manages approximately $1 billion in funds under advice.

    FAM has a strong history of serving industry fund members and will provide personalised advice to Brighter Super clients requiring complex financial support.

    Under the agreement, only current review customers who agree to transition to FAM by May 16 will be included in the final purchase, which is priced at 1.25 times the transitioned revenue.

    Centrepoint will also offer employment to several Brighter Super advisers through novated agreements, based on the volume of transitioning clients.

    A three-year referral agreement has been established, under which FAM will continue to provide comprehensive advice services to Brighter Super members.

    Centrepoint says the acquisition marks a significant step in its growth strategy and reaffirms its commitment to delivering high-quality financial advice.

    Disclaimer

    Grafa is not a financial advisor. You should seek independent, legal, financial, taxation or other advice that relates to your unique circumstances. Grafa is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on the information provided directly or indirectly by use of this platform.

    Publisher
    Grafa