‍The Finsider is our blog series providing insights into the Australian financial services landscape. We interview experts who will share their perspectives on ideas and issues facing the financial industry today and in the future.

Our special guest for this month is Harvey Kalman. Harvey is a chairman, board member and senior executive of several organisations. He has thirty years of experience in the financial services industry providing leadership and strategic advisory across business growth, risk management, funds management, service provision, operations, and innovation. Harvey is currently chairman of Trenton Capital Management, Clearwater Portfolio Management, PWM, executive director of HLK Advisory and board member at Akambo Financial Group. He grew one of the largest independent trustee businesses in Australia at Equity Trustees.

What do you think are the most important issues facing the financial services industry today?

The key issues facing the industry are the lack of education and empowerment of the actual investors, coupled with the lack of competition based on red tape. The inability to get financial advice like we can get tax or accounting advice is a growing problem for Australians.

What do you see as the biggest opportunity for financial services/funds management companies?

I think there is a critical role for the industry to play in empowering Australians to make informed decisions about their investments, as opposed to abdicating these decisions to index or non educated choices.

What’s been the biggest change(s) in the industry since you started your career?

There are a few changes that I think have been real game-changers:

-       The control by “platforms” and the resulting disempowerment of the end investor

-       The number of players – not just the number of managed funds available but also options such as ETFs, managed accounts and platforms, as well as the more recent growth in private markets

-       Too many “compliance” costs for all.

What is one change you would like to see happen in the industry in the next 12 months?

I would love to see professional financial advice being as affordable as, for example, accountants.

What advice would you give to those starting out their careers in financial services?

As the margins get tighter and more AI and Index investing take over, roles will be limited in the market. I would therefore recommend looking for alternative non traditional investments options or companies to work within.

What are you most proud of when you look back on your career to date?

I helped a sleepy old Trustee company survive and become a “cornerstone” of the funds management and trustee industries.

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