MPAMAGAZINE.COM.AU ISSUE 19.07
BROKERS ON AGGREGATORS How Liberty Network Services took the top spot in the annual broker survey BDMS IN THE SPOTLIGHT Meet the people supporting brokers with tough scenarios
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CHRIS SCREEN The head of third party goes full circle
SME EDUCATION The bank helping brokers with small business clients
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JULY 2019
CONNECT WITH US
CONTENTS
Got a story or suggestion, or just want to find out some more information? twitter.com/MPA_Australia facebook.com/Mortgage ProfessionalAU
UPFRONT 02 Editorial
Customer relationships work in many directions
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29 FEATURES
BDMS IN THE SPOTLIGHT
Meet some of Australia’s top BDMs and find out how they work with brokers
CHRIS SCREEN
The head of third party at Westpac talks about the joys of working in a major bank
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06 Head to head
Brokers explain how important their aggregators are
08 News analysis
Arrears are on the up – but brokers are here to show how they can help
10 Opinion
FEATURES
2019 BROKERS ON AGGREGATORS
BIG INTERVIEW
Housing affordability remains a key economic issue
Open banking is the only option
SPECIAL REPORT
The annual survey finds out what brokers really think of their aggregators, ranking them in important areas such as compliance support, education, training, accuracy and timeliness of commission payments
04 Statistics
44 SME education
Suncorp explains its education for diversified brokers
46
FEATURES
A CUSTOMER LENS
Pepper talks about how it is educating brokers and focusing on borrowers
49 FEATURES
BROKER BUSINESS EXCHANGE See the highlights from this year’s event in Sydney
PEOPLE 54 Career path
Meet the new start-up launching in Australia
56 Other life
The mortgage adviser who loves his bike
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UPFRONT
EDITOR’S LETTER www.mpamagazine.com.au JULY 2019
A spotlight on education
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spend so much of my time speaking to mortgage brokers about how they improve relationships with their customers or how they try to make things easier for their customers, it’s interesting to hear from those who are doing the same for mortgage brokers. In this issue we hear from both aggregators and BDMs about how they are continuously working to improve relationships with brokers. Looking at the Brokers on Aggregators survey results (from page 16) as well as the recent aggregator roundtable, I’ve had a chance to speak to a number of aggregator groups. They have all talked about how much they were focused on education. Whether it be keeping brokers up to date with changing lender policies, training on new systems or teaching them about what diversified products they can offer, there has been a lot to focus on. In the pressures and challenges of the last year, it is no surprise that brokers placed a heavier priority on their aggregators’ compliance support.
EDITORIAL
SALES & MARKETING
Editor Rebecca Pike
National Sales Manager Claire Tan
Journalists Tom Goodwin, Abel Riototar Contributor Andrew Tierney Production Editor Moira Daniels
ART & PRODUCTION Designer Cess Rodriguez Traffic Coordinator Freya Demegilio
Global Head of Communications Lisa Narroway
CORPORATE Chief Executive Officer Mike Shipley Chief Operating Officer George Walmsley Managing Director Justin Kennedy Chief Information Officer Colin Chan Human Resources Manager Julia Bookallil
EDITORIAL ENQUIRIES
tel: +612 8437 4784 rebecca.pike@keymedia.com
SUBSCRIPTION ENQUIRIES
tel: +61 2 8311 5831 • fax: +61 2 8437 4753 subscriptions@keymedia.com.au
ADVERTISING ENQUIRIES
Despite there being no immediate threat to trail commissions, diversification is still top of everyone’s minds
claire.tan@keymedia.com
I also spoke to a number of BDMs for this issue and they have been no strangers to the growing importance of compliance. As they have guided brokers through the challenges of the last year, their roles have also become more complex. Whether they work for a bank or they work for an aggregator, BDMs are trying to keep on top of the appetite changes and help brokers workshop deals when they don’t fit the right criteria. But for most, if not all, of the BDMs I spoke to, they really love their job and building solid relationships with brokers. There are also some other great interviews in this magazine which demonstrate how the industry is pushing forward after the tumultuous period it has seen. Despite there being no immediate threat to trail commissions, diversification is still top of everyone’s minds. I had a great chat with Pepper’s CEO (page 46) where he talked to me about how the lender was working to educate brokers and support them with its new commercial offering. I also spoke to Suncorp, which is also focusing on its education on brokers, particularly with its small business loans. Keep reading to see how your aggregator fared in our survey and enjoy the issue!
Key Media Regional head office Level 10, 1–9 Chandos St, St Leonards, NSW 2065, Australia
Rebecca Pike, editor, MPA
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tel: +61 2 8437 4700 • fax: +61 2 9439 4599 www.keymedia.com Offices in Sydney, Auckland, Denver, London, Toronto, Manila, Singapore, Seoul
Mortgage Professional Australia is part of an international family of B2B publications and websites for the mortgage industry CANADIAN MORTGAGE PROFESSIONAL neil.sharma@kmimedia.ca T +1 416 644 8740
Copyright is reserved throughout. No part of this publication can be reproduced in whole or part without the express permission of the editor. Contributions are invited, but copies of work should be kept, as the magazine can accept no responsibility for loss.
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UPFRONT
STATISTICS
Feeling the sentiment Younger people and investors are more enthusiastic about the property market than those who already own a home DESPITE HOUSING prices having dropped recently in some areas of the country, nearly 90% of Australians still think affordability is a significant issue, according to ME’s Quarterly Property Sentiment Report survey for Q2 2019. However, it also found that younger people and investors keep a more positive property market outlook than first home buyers and owner occupiers. “Positivity among investors and younger groups suggested some people were seeing price falls as an opportunity to buy,” ME’s general manager of home loans Andrew Bartolo said in the report.
28%
Australians who feel negatively about the property market
38%
First home buyers who think their house price will go up in the next 12 months
For Bartolo, the enduring positivity on property price expectations over the next 12 months is “possibly linked to Australians’ long-held belief that property prices will always go up”. “Sentiment has also likely improved since we conducted the survey given negative gearing now seems to be off the table and APRA has proposed changes to home loan serviceability,” he added. According to Bartolo, the cooling property prices open opportunities for those who want to get into the market, but it is important they “think long-term and always buy affordable”.
52%
Australians aged 25-39 who plan to buy a property in the next 12 months
WHAT’S THE WORRY? When it comes to perceived worries and opportunities among property owners and the wider property market, concerns about housing affordability heads the list. Also high on the list of worries are tighter credit policies and concern over negative equity.
60%
Owner occupiers who are worried about their property value falling by property status ME Quarterly Property Sentiment Report – Q2 2019
OUTLOOK IS NEUTRAL The report paints a picture of the property market with “polarised sentiment” that varies by age, property status and intent. How do you feel about the property market? 100% 80% 60%
26
43
27
29 38
40% 20%
31
35
NEGATIVE NEUTRAL POSITIVE
44
27
0% Owner occupier
Investor
First home buyer
ME Quarterly Property Sentiment Report – Q2 2019 (p. 2)
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MARKET STAYS POSITIVE In general, the market feels more positive about price expectations, but this depends on property status and location. Compared to other states, metro Tasmania has the greatest number of people who think their property’s value will likely go up in the next 12 months.
What will likely happen to your property’s value in the next 12 months?
11%
29%
UP DOWN STAY THE SAME NOT SURE
32%
28% ME Quarterly Property Sentiment Report – Q2 2019 (p. 3)
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OVERALL WORRIES OF PROPERTY OWNERS
I’m worried I’ll soon be forced to switch from an ‘interest only’ to ‘principal and interest’ home loan, increasing my loan repayments 52% net disagree 4%
48%
I’m worried tighter credit policies will mean it’s more difficult to refinance my loan 32%
net agree 15% 68%
I’m worried falling property prices mean I owe more on a property than it’s worth 51% net disagree 2%
49%
I’m worried about the value of my property falling 38% DISAGREE
OVERALL PROPERTY MARKET WORRIES AND OPPORTUNITIES
net agree 24% 62% AGREE
Despite price falls in some areas, I still think housing affordability is a big issue in Australia 12%
net agree 75% 88%
I’m happy that property prices are falling because it increases my chances of buying a property 41% DISAGREE
net agree 18% 59% AGREE
ME Quarterly Property Sentiment Report – Q2 2019 (p. 7 and 8)
MORE SAVINGS
INCLINED TO DO NOTHING According to the report, while most Australians plan to neither buy nor sell their property, many of them would want to get into the property market, with those aged 25 to 39 and those earning over $125,000 being the most likely buyers.
Changes in house prices have had negative and positive impacts on household finances, with the most positive impact being on household savings. Negative How has the recent property price movement in your area impacted various aspects in your financial situation? Positive
What are your property plans in the next 12 months?
Savings behaviour
21%
58%
Intend to neither buy nor sell Intend to buy property
34%
Intend to sell
36%
net positive 15% Debt situation
27%
23%
net negative 4%
Willingness to spend on discretionary items like entertainment or eating out
30%
net negative 6%
30%
net negative 2%
24%
General finance confidence
12%
Sense of wealth
28% ME Quarterly Property Sentiment Report – Q2 2019
28%
net negative 1%
27% ME Quarterly Property Sentiment Report – Q2 2019 (p. 5)
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UPFRONT
HEAD TO HEAD
How important is your aggregator’s support? They’re an indispensable companion in surviving the tough lending environment
Nathan Taddeo
John McNamara
We have been with our aggregator AFG for nearly 20 years now. Their support and services have helped our business grow and really take off in recent years. Their IT platform has improved significantly, not only as a database and an online application tool, but also as an assistant that handles our business compliance. However, the most outstanding support that their system gives us is being an automated marketing tool that provides regular emails and updates to our database, as well as unearths new leads from past clients or contacts. I am sure many aggregators responded well to the royal commission outcomes, but AFG’s sensible and professional approach in responding was outstanding for me.
Mario Borg
Director Credo Financial Group
Principal owner Mario Borg Strategic Finance
I would say this is dependent on your expectations. Most aggregation agreements are based on the aggregator taking a percentage of the money your business generates, so then to me, if you are receiving a portion of my income, we are business partners. And like any business partner, I expect them to do their best to help the business thrive and grow. Yes, I need to know they are providing the services I expect, but all aggregators can do that. Is my aggregator supporting us by helping us grow in an ever-changing market? Being proactive could be by providing help in marketing or recruiting, and constantly looking to build on their current offering through software updates and more.
Let’s face it, without an aggregator a broker wouldn’t exist. Overcoming volume hurdles would be almost impossible and you can’t run a successful mortgage broking business without access to an aggregator’s right tools and support. When choosing an aggregator, my priorities include market reputation, powerful mortgage software, accuracy of commission payments, ongoing investment in technology, ongoing support and training, having a prominent voice as an industry leader and an influencer when issues arise. My current aggregator is Connective and I wouldn’t want to be anywhere else because they continue to exceed my expectations in many ways.
Director SMS Finance
MOVING INTO ASSET FINANCE Because of lenders changing their policies and risk appetites, businesses have found it harder to get a loan over the past 12 months, according to head of Connective Asset Finance Brent Starrenburg. The aggregator has been educating brokers to get into the asset space for over five years now. In 2018, Connective saw a rise in the number of mortgage brokers diversifying and more of them wanting to join an aggregator they can work with in asset finance. “With the mortgage broker side, this was probably spurred on by the royal commission, where they were concerned about loss of income,” Starrenburg said.
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UPFRONT
NEWS ANALYSIS
Borrowers in arrears As the latest figures show borrowers are continuing to struggle with mortgage repayments, data from elsewhere portrays growing numbers turning to mortgage brokers THE LATEST figures showing continued growth in the number of home loans through mortgage brokers is a sign that borrowers have not lost trust in the industry – and brokers can build on this as more borrowers in Australia struggle with mortgage arrears. According to Standard & Poor’s Performance Index (SPIN) for prime mortgages, arrears were up by 17 basis points year on year in April. Arrears have continued to rise over the last 12 months, despite low interest rates and stable employment conditions. Standard & Poor’s analyst Erin Kitson said the most noticeable growth in arrears was for those struggling with arrears of at least 90 days. Arrears were mostly up nationwide, with only the ACT reporting a decrease; Western Australia and Queensland recorded the largest month-on-month increases. Kitson said the overall increase in 90 days arrears could be due to the state figures; at least half of the longer dated arrears were in Queensland and WA, states which are experiencing the post-mining boom effect and high unemployment rates. WA has also had drops in wage growth and Queensland has had instances of drought and natural disasters. Kitson said as well as those state factors, the market at the moment was not helping. “The ability to refinance your home loan – which can often be a common way to selfmanage out of mortgage stress – is much more restricted in an environment of tight-
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ened lending conditions,” she said. “So that obviously makes it harder for those borrowers to get themselves out of arrears.” Last month the Reserve Bank of Australia (RBA) made its first rate move in nearly three years, dropping the rate to 1.25%. While this may provide some relief for borrowers struggling to pay their mortgages, Kitson said it may not impact those with longer arrears of more than 90 days. “I think for those borrowers in longer dated arrears positions it may not necessarily be that helpful, particularly given that refinancing conditions are still tight, you’ve still got property prices coming off and wage growth pressure is still there,” she said. “You’ve got those other opposing forces,
suggests that it is just what they are doing. The latest MFAA market share figures show that more borrowers than ever are turning to mortgage brokers. In the quarter of January to March 2019, 59.7% of home loans were through mortgage brokers, which was up 4.4 percentage points compared to the same quarter in 2018. Data from loan comparison site Finder also reported a 369% increase in the number
“The market has spoken. These figures are testament to the hard work and high standards maintained by Australia’s mortgage brokers” Daniel Carde, Resimac or economic headwinds that are working against the impact of a rate cut and I think those impacts will be more pronounced for those borrowers in longer dated arrears.”
Borrowers seek broker help Despite the refinancing hurdles, struggling borrowers can turn to mortgage brokers for help with their home loans – and recent data
of people looking to refinance immediately after the RBA cut, demonstrating the borrower demand. Resimac’s general manager of third party distribution, Daniel Carde, said the MFAA figures show that Australians truly value the services provided by the mortgage broking industry. “The market has spoken,” he said. “These figures are testament to the hard work and
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HOW AUSTRALIA COMPARES Non-performing household loans* Share of loans ** 0
1
2
3
4
%
2
3
4
%
Spain
France
UK Germany
US
Australia Sweden
New Zealand 0
high standards maintained by Australia’s mortgage brokers. “In these uncertain times, people appreciate the role of brokers as trusted advisers, providing choice, including access to lenders like Resimac, and guidance for their customers.” Carde said the mortgage broking industry had been through one of the “toughest periods of uncertainty in its history” and that the data was testament to its strength.
Broker’s support is key Mortgage Choice chief executive officer Susan Mitchell also praised the MFAA figures, highlighting how important brokers were particularly in times when borrowers were struggling. She said, “There are often external factors such as trauma, loss of income or the breakdown of a relationship that lead to borrowers falling behind on their home loan repayments.
“Brokers can support their customers by nurturing an ongoing relationship with them based on transparency and trust” Susan Mitchell, Mortgage Choice Releasing the market share data, MFAA CEO Mike Felton said, “To record the highest market share in the history of this survey during a period of restricted credit highlights the key role brokers have played in driving competition, choice and access to credit by stepping in to find solutions and provide critical assistance in the redistribution of credit demand.”
“This makes it difficult to identify risks and prevent them falling into arrears. That being said, a broker’s support is key to helping borrowers who find themselves in this situation.” Mitchell pointed out that a broker’s ongoing relationship with borrowers was vital and will not only enable brokers to look out for signs of difficulty, but will also encourage
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*
Includes housing loans, credit card balances and other loans to individuals that are 90+ days in arrears or impaired; data for Australia and US include all depository institutions; data for NZ and European countries include major banks only ** Per cent of loans by value; data are latest available (Australia, US and NZ as of March 2019; European countries as of June 2018) Sources: APRA; EBA transparency exercise; FDIC; RBA; RBNZ
borrowers to feel comfortable with talking to their broker about the situation. “Brokers can support their customers by nurturing an ongoing relationship with them based on transparency and trust through proactive communication,” she said. “Regular and open lines of communication between brokers and their customers will encourage [them] to reach out to their broker if they struggle to make loan repayments and face financial hardship. “Further, brokers who are proactively communicating with their customers should be able to identify if a customer’s home loan is no longer meeting their needs, or if the customer’s lifestyle or financial situation is leading them to fall behind on their loan repayments.”
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UPFRONT
OPINION
GOT AN OPINION THAT COUNTS? Email rebecca.pike@keymedia.com
Open banking a digital saviour Credit risk professional Andrew Tierney argues that Open Banking is the only option for an industry facing a new wave of aggressive financial regulation THE REGULATORY juggernaut that is thundering down the road is going to hit financial lenders and intermediaries hard. Following heavy criticism in the recent Royal Commission report, ASIC is reinventing itself as something remarkably similar to the aggressive US Securities and Exchange Commission (SEC). In April’s Federal Budget, $404.8 million was allocated over four years for ASIC to implement a more ‘in-your-face’ enforcement strategy. With its greatly increased financial heft, ASIC is putting the industry on warning that prosecutions will be more frequent, penalties much larger, and companies will no longer be able to sidestep by striking settlement deals. Furthermore, in his report, Kenneth Hayne recommends ASIC assess every suspected contravention for whether the penalty should be determined in a court. Those that I speak to in the industry have been alarmed by this change of regulatory approach. Surely, they say, this is not only going to expose operators to more ASIC action, but to more rejected applications and lower levels of business. They see a big shake-up of the industry on its way, with many businesses closing down. However, I do not share their alarm. I am a firm believer that every challenge presents an opportunity. Those who grasp the opportunity offered by Open Banking can dramatically slash their regulatory risks, while also making themselves more profitable. If truth be told, many lenders still rely on an applicant’s say-so, paper proofs and manual processes.
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In terms of the regulatory risks identified by ASIC (i.e. affordability and creditworthiness), this is a complete nightmare. Thankfully, Open Banking is a straightforward way out of this predicament. As we all know, Open Banking requires banks to share their line-by-line customer statement data with other parties. This treasure trove is available to third parties at little cost via integrated tech companies
those tasks relevant to the applicant are flagged. Mistakes are eliminated and you have a digital audit trail to present to ASIC that is based on a factual picture of your client. Open Banking is a neat solution to the higher bar that the regulator is putting in place, but it is additionally a tool that can maximise profits in the new age of cautious lending. An obvious plus is that it slashes the proportion of bad lending decisions made, which feeds through directly to the bottom line. Loan management is made far easier. Open Banking allows a borrower’s bank transactions to be taken over a wide timeframe, so if a first payment is missed, the account can be ongoingly interrogated to establish when the customer may be in a position to pay. Signs of stress can be flagged and payments reorganised rather than missed. This level of automation brings big cost savings. Underwriting that used to require a team of people no longer does. The granularity of Open Banking means terms
“Those who grasp the opportunity offered by Open Banking can dramatically slash their regulatory risks” such as LendingMetrics, Equifax, Experian and Illion. With an applicant’s permission, months of transactions can be captured from their current account. And it is supplied in real time. Someone applies for a loan, agrees to limited timeframe and read-only access to their current accounts, and thousands of lines of transactions can be analysed. In milliseconds, they are tested by algorithm to determine whether the loan should be granted or not. With Open Banking, lenders – for the first time – can make an affordability assessment that is extremely accurate and virtually eliminates the need to use HEM. The technology can place the lender’s own rules around the intelligence. There is either a ‘decline’ or ‘referral’ outcome. And with referrals, instead of the underwriter having to go through a long list of standard tasks, only
can be adjusted to match the individual’s circumstances. Those reading this and thinking cost may be an obstacle, need to know that there are Open Banking and Auto Decisioning platforms – such as LendingMetrics’ ADP – that are inexpensive and available off-the-shelf. They are already in use by early-adopters. So, if you are keen to stay the right side of the regulatory juggernaut, while at the same time taking your business to the next level, all I can say is, can you really afford not to embrace this change? Andrew Tierney is a risk management expert who works in credit analysis and underwriting at Balance Risk Management. He has had previous roles at Westpac and Equifax.
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PEOPLE
BIG INTERVIEW
CHRIS SCREEN: MOVING FULL CIRCLE After eight months in the role, Westpac Group’s head of third party distribution Chris Screen talks about his family, growing up in south-west Sydney and taking on such an important role at a crucial time in the industry
A KEEN family man, Westpac Group’s head of third party distribution splits his time between the banking world and spending time with his wife and four sons. Chris Screen took on the role towards the end of last year but has been at the group since 2012, having spent nearly four years at St.George Bank and three-and-a-half years as Westpac’s general manager of home ownership, mortgage product.
service, which is at the core of what banks are all about,” Screen says. “So, I got a good crash course in doing that in the first few years of my career in retail branches and understanding how a bank operated at that front end. I enjoyed it immensely, it gave me a great set of skills that I use today.” Having grown up as a Dragons fan in south-west Sydney, joining St. George in 2012
“There’s a demand from the consumer to get support and the brokers in my mind … have a great opportunity to be able to be that conduit” Unlike many people who often say they “fell” into finance, Screen followed his dad’s footsteps and joined a bank straight out of school. He began working in NAB branches, studying degrees part time, and spent 19 years at the major bank. “It was a great experience because at that point I was a young 17-year-old and straight into the workforce and customer
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was a particular highlight for Screen. Being able to work in Sydney and see his sons grow up there has been a boon. “We’ve got some good roots and family and friends here, so I’ve enjoyed the process of being part of the Sydney fabric and learning about banking on the way through the 25 years now,” he says.
Among those 25 years, 16 were spent in customer-facing roles. As head of third party, he feels he has come full circle to a position where he can interact with both customers and partners like the broker channel. “It feels a little bit like coming home,” he says. The role involves making sure the group is well positioned to ensure it is looking after consumer choice and supporting the broker network in delivering those choices, says Screen. One way Westpac supports its broker network is through its BDM team, which Screen says goes out on a daily basis making calls and meeting with brokers to help with the entire application process. The key thing for his BDMs is that they are “well-rounded”, and the group spends time on its training, education and support to ensure its BDMs stand out to brokers. “For me it’s all about getting my BDM team to be critically focused on key points that matter for customers so they can deliver those messages for brokers,” he adds.
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PROFILE Name: Chris Screen Title: Group head of third party distribution Years in the industry: 25 Career highlight: “Being able to go full circle and end up working in St.George after growing up in that district” Career lowlight: “Where I’ve worked in businesses where I haven’t connected with the strategy”
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PEOPLE
BIG INTERVIEW
“We’re getting a lot more in tune on where the consumer mindsets are and understanding them as best we can”
While it has been an “exciting” time, starting the role in November was also challenging, ,due to the issues around the royal commission and the release of the final report in February. But Screen says he would not have asked for anything different. It gave him the opportunity to fully understand how the channel works. Now that the industry is through the other side, he can focus more on how Westpac supports the broker and the customer. Rather than shy away from the issues raised last year, Screen says the bank is “staring into” them. His focus now is on how the group delivers products and how it is looking after the customer. One big area of focus for Westpac is how it can help in customers’ life moments, which as well as buying a home, including times of separation or financial hardship. “We’re getting a lot more in tune on where the consumer mindsets are and understanding them as best we can and delivering a quality solution. That’s what the game is for us,” Screen says. Making the move from NAB and then later joining Westpac, Screen has now had extensive experience working for two of Australia’s biggest bank groups. For him, working at a big bank is backed with the strength, knowledge and understanding of the Australian landscape. Coupled with strong distribution networks, he believes the big banks can provide greater experiences for customers. Another benefit of being a major bank like Westpac is the level of research it can bring to
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bear when working to understand customers. The bank’s recent Home Ownership Report uncovered that eight out of 10 prospective home buyers were actively taking steps to educate themselves on home financing. Screen says this opens up the opportunities for brokers to help customers who need support. “There’s a demand from the consumer to get support and the brokers in my mind, as partners with the bank, have a great opportunity to be able to be that conduit, as they’ve proven they can be over a many number of years,” he adds. “For me the opportunity is to continue to build on that, because there’s going to continue to be that demand. We’ve got a really strong responsible lending environment, which has made the accessibility to credit more complex for consumers to navigate through, and they need the right support to do that.” Looking ahead, Screen says he is very positive about the future now there is more clarity in the industry. The final report for the royal commission has been released and the recent result of the federal election has provided certainty for the industry. Screen also points to the recent interest rate cut and the increased conversations around what is required to support the economy. “I think that can be cause for optimism in my mind, so I see that there’s a general opportunity for the businesses out there, the consumers out there, to take advantage of and I’ve got positive thoughts about what the next six months look like,” Screen says.
WESTPAC’S HOME OWNERSHIP REPORT
are taking steps to 84% better educate themselves of next home buyers 56% are too scared to purchase at auction of next home buyers 73% are turning to finance professionals of next home buyers 40% are using digital tools to understand home buying themselves 43% consider financially confident did not know exactly 70% what comparison rates were not know what 41% didrefinancing was Source: Westpac Home Ownership Report 2019
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SPECIAL REPORT
BROKERS ON AGGREGATORS
BROKERS ON AGGREGATORS In our annual survey, brokers have their say on their aggregators’ performance. After a year of changes and uncertainty the top priority for brokers has stayed the same, but other areas have moved higher up the list AGGREGATORS HAVE felt the pressure of the last year as well, having to face the royal commission scrutiny alongside brokers and make sure they are providing support and education as policy changes. It seems they have risen to these challenges, too; brokers had mostly positive things to say about their aggregators’ services in this year’s survey. Eighty-seven percent of brokers said they were highly unlikely or unlikely to leave their aggregators over the next 12 months, which was an improvement on last year. Brokers also responded positively to how they felt about their fee/commission split and about hidden costs. It was no surprise to see that the importance placed on aggregators’ compliance support was higher than other areas this year. While it received the same score of 4.48 as last year, the perceived importance of areas like the lending panel
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and IT and CRM support dropped. This could be because in the environment over the last few months, brokers have been looking for support from their aggregators in different ways. The broker image was being tarnished and banks have been making it harder than ever to apply for finance; they needed better support to keep compliant and get deals through the banks. Communication with brokers also rose in importance, which is not a surprise. After the final report from the royal commission, the industry began its campaign to educate the government and electorate about the importance of brokers. Many spoke out against aggregators at the time, suggesting there should be more communication about what they were doing to fight for the industry; of course, most of them were behind the scenes having meetings with officials and supporting the MFAA’s advertising campaign.
Another thing the aggregators have been doing is improving their digital tools, CRM systems and processes to support brokers. This is something they will no doubt keep working on as time moves forward, which is necessary considering 13% of brokers in this survey said they would consider leaving their aggregator if they had poor IT and CRM support. In our final results section, you’ll find the runners up talking about the areas they were rated highly for and then there is an interview with the managing director of MPA’s number one aggregator. Around 500 more brokers took part in this year’s survey compared to last year and considering how positive the results were, this seems to be an indication of how willing brokers are to praise their aggregators. Read on to find out which aggregators came out on top for which areas and what brokers had to say about specific services their aggregators provide.
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OUR TYPICAL RESPONDENT $60m+
Years in the industry 11%
Less than 2 years
$40,000,001–$60m
21%
2–5 years
9%
Based in VIC (34%), NSW (31%) and QLD (17%)
32%
Settlement volume
16%
6–10 years
Aged between 46 and 55 (37%)
$0–$10m
7%
24%
30%
10–20 years
28%
$20,000,001–$40m
22%
Over 20 years
$10,000,001–$20m
WHAT DO BROKERS WANT? 1 = not important; 5 = very important 4.65
Accurate and on-time commission payments Compliance support
4.48
Quality of lending panel
4.47
Communication with brokers
4.43
Training and education
4.35
BDM support
4.35
IT and CRM support
4.28 3.99
Additional income streams 3.74
Marketing support
3.67
White label offering Lead generation
2.71
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SPECIAL REPORT
BROKERS ON AGGREGATORS
BROKERS’ TOP PRIORITIES Changing industry conditions and scrutiny over the last year have caused brokers to rethink which services they value the most from aggregators
HOW LIKELY ARE YOU TO LEAVE YOUR AGGREGATOR IN THE NEXT 12 MONTHS? Likely Neutral
Extremely likely 4% 4%
5% 7%
80%
Unlikely
Extremely unlikely
AS THE industry saw increased scrutiny and changing regulation as a result, it is no surprise the priorities for brokers have changed over the last year. Brokers have shifted their expectations of their aggregators and while some areas have become more important, others have dropped down the line. From fourth most important in last year’s Brokers on Aggregators survey, compliance support was placed in second this year. As well as regulation changes, banks have introduced different policies and are placing a higher emphasis on compliance. To keep up with the constant changes, brokers have recently told MPA they started to introduce weekly sessions in their brokerages to talk over scenarios and policy updates. It is no
wonder they also want support and guidance from their aggregators. Accurate and on-time commission payments remain brokers’ most important service. Poor accuracy and timeliness of commission payments also emerged as the top reason why a broker would want to leave an aggregator. This overtook poor IT and CRM support, which was the top reason last year. Despite these results, more than 94% of respondents said they were happy with their aggregator’s commission split. IT and CRM support was the third highest priority for brokers in 2018 but it dropped down to seventh place this year. Looking at the areas which now come above it, it is not hard to see why it dropped in importance.
TOP 5 REASONS TO LEAVE YOUR AGGREGATOR Poor accuracy and timeliness of commission payments
45%
16%
Poor BDM support
12%
Poor compliance support
12%
Poor IT and CRM support Poor quality of lending panel
18
13% 12%
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After a year of constantly changing policies and the threat to the industry, brokers are placing more importance on the quality of the lending panel, communication with brokers, training and education, and BDM support. Despite the talk about diversification as brokers faced losing trail commissions, aggregators providing additional income streams ranked only eighth in importance. For another year, lead generation came at the bottom of the pile, although a number of respondents later said in the survey they expected more help in this area.
Brokers seem happier with their aggregators than in 2018, with 80% saying it was extremely unlikely they would leave their aggregator When asked what one service your aggregator could add to improve its offering, one Queensland broker said, “Just lead generation. [It] should tie up with real estate agents and help the new brokers to generate more leads.” Mostly, the brokers responding in this year’s survey were happy with their aggregators. Only 8% said it was likely or extremely likely they would switch. Brokers seem happier with their aggregators than in 2018, with 80% saying it was extremely unlikely they would leave their aggregator, compared to 75% last year. Liberty Network Services placed in every aspect of support and communication in the survey.
HIGHLIGHTS: SERVICE AND SUPPORT BDM support
Outsource Financial
Liberty Network Services
Connective
Liberty Network Services
National Mortgage Brokers
Choice Aggregation Services
Connective
Compliance support
Connective
IT and CRM support
Liberty Network Services Communication with brokers
Connective
Outsource Financial
Liberty Network Services
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SPECIAL REPORT
BROKERS ON AGGREGATORS
GETTING PAID Even with increased conversation around broker payments, respondents showed overall happiness with their aggregator’s fee/commission split, although some questioned hidden costs
WITH BROKER pay a hot topic during the last 12 months, it was refreshing to see that most brokers are happy with their aggregator's commission/fee split. In fact, even with the increased attention on commissions, fewer brokers said they were unhappy when compared with last year’s survey.
Consistently voted the top priority for brokers, Finsure came out on top for accurate and on-time commission payments. “With commissions being such an important part to a broker’s business, our Commission Processing infrastructure has always been a priority for our development
COMMISSION STRUCTURES AND SUCCESS Commission split
30%
Flat fee
Transaction fee
$0-$10m
25%
Percentage of respondents
$10,000,001-$20m
20% $20,000,001-$40m
15% 10% $40,000,001-$60m
5% 0% Settlement volume
$60m+
team, with a core focus on three areas – accuracy, efficiency and automation,” said Finsure general manager Simon Bednar. While brokers were generally happy across the board, there was a small percentage that said hidden costs by their aggregator were a problem. Last year, 6% of respondents said it was either a problem or a major problem. This year, the figure was double that. For those brokers who said it was a problem, some raised concerns about not knowing where their money was going to and others said they had experienced increased fees without knowing why. A broker from Queensland said it was difficult to get an answer from their aggregator. “With the asset finance I always have to ask when I get paid and no one seems to know the answer. Same goes with the amount of commission which can be frustrating,” she said. Brokers on a commission split (71%) have taken an even larger share this year, above those on a flat fee (27%) and a transaction fee (2%).
ARE HIDDEN COSTS IMPOSED BY YOUR AGGREGATOR A PROBLEM?
88%
3% Major problem
20
Not a problem
9% Problem
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SPECIAL REPORT
BROKERS ON AGGREGATORS
The figures showing settlement volume based on pay structure paint an interesting picture. Last year, those who earnt a flat fee were by far the most likely to be making $60m or more. This year, they are less likely than those on a commission to be earning those figures. Instead, they are slightly more likely to earn between $40m and $60m. This could be as a result of the higher proportion of commission earners answering the survey this year.
While brokers were generally happy across the board, there was a small percentage that said hidden costs were a problem With talk of changing commissions over the last year, there has been a focus on brokers diversifying into other areas. Liberty Network Services was voted on top for offering additional income streams, which matches the Liberty group’s message to brokers.
ARE YOU HAPPY WITH THE FEE/COMMISSION SPLIT? 23.8%
22
Accurate and on-time commission
Finsure
National Mortgage Brokers
Connective
Connective
Finsure
Connective
Choice Aggregation Services
Additional income streams
Liberty Network Services
White label offering
Somewhat happy
5.5% 70.5%
HIGHLIGHTS: MONEY MATTERS
Not happy Very happy
Finsure
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GROWING YOUR BUSINESS With an increased emphasis on compliance, education and training for this year and the future, aggregators are working to provide a broader range of services to their broker clients HOW USEFUL ARE YOUR AGGREGATOR’S PD DAYS?
5.22%
29.44%
Not useful at all
Useful
65.34%
Very useful
MAIN OBSTACLE TO LEAVING AN AGGREGATOR Data migration/IT issues 27% Clawbacks/trail issues 18% Contractual obligations 13% Other 11% Lack of time 19% Licensing issues 5% Loss of back-office services 3% Loss of marketing services 2% Upfront commission issues 2%
PARTICULARLY WITH the policy changes and threat to the industry that has been seen over the last year, aggregators are boosting their education and training. Whether it be in marketing, diversification or scenario workshops, they are ensuring brokers are fully equipped to look after their customers. The hard work is paying off it seems, as less than 6% of brokers said their aggregator’s personal development days were not useful. Loan Market came out on top for its training and education. It combines face-toface interaction between coaches and brokers with its online education platform, Springboard. It also featured in the top three for marketing support and lead generation: two areas brokers are looking to more and more. In fact, aggregators seem to be doing a great job at training and education. Only 8% of brokers said poor education would be a reason they would leave their aggregator, while 5% said it would be for poor marketing support. For the 8% of brokers who said it was likely or extremely likely that they would leave their aggregators in the next month, there were a number of obstacles that would hinder their exit.
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SPECIAL REPORT
BROKERS ON AGGREGATORS
HIGHLIGHTS: BUSINESS DEVELOPMENT Lead generation
Liberty Network Services
Loan Market
Outsource Financial
Australian Finance Group
Loan Market
Australian Finance Group
PLAN Australia
Outsource Financial
Liberty Network Services
Marketing support
Liberty Network Services Quality of lending panel
Finsure Training and education
Loan Market
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The biggest obstacle was data and migration issues and, worryingly, the second biggest obstacle was lack of time. Amongst the other concerns were the loss of certain services, trust in a new firm and disruption to their business. One broker from NSW said the biggest problem for them was around transferring their trail book. “It is the broker that is maintaining the ongoing relationship with the client not the aggregator. A consumer can refinance a loan and cease relationships with a bank, why can we not move our trail book?” he said. While lead generation was nearly at the bottom in terms of priorities for brokers, when asked what one service their aggregator could add to improve its service offering, support with leads was possibly the most common theme. One NSW broker said, “Lead generation, as that is the major thing that would improve the profitability of the business.” Other areas brokers would like to see more of was marketing support, improved CRMs and better communication. When asked which lenders these brokers would like to see added to their aggregator’s panels, there were some standouts. The most sought-after lender for their panels by a long way was HSBC; Liberty, Newcastle Permanent and ME Bank were also popular choices. This year saw a much higher demand for fintechs like Judo Bank and OnDeck, as well as non-conforming or specialist lenders. The top three aggregators for the quality of lending panel were the same as in 2018, showing they are keeping up with broker and customer demand. “Whilst there are a variety of factors that contribute to customer satisfaction, one of the fundamental requirements is providing a loan solution that is ideal for the customers’ needs. This can only happen by arming our brokers with a wide variety of products from Australia’s top lenders,” Finsure general manager Simon Bednar said.
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WHAT YOU’RE SAYING As part of commissioner Hayne’s recommendation for a borrower-pays model, brokers would have to pay aggregators a direct fee. If that was on the cards, what would you look for in an aggregator to justify paying a fee? “I already pay my aggregator a monthly fee and expect value for the money I pay them. Their value is a fabulous software package, fantastic back office support, professional development programs to maintain my industry knowledge and timely commission payments” – Vic broker “If the aggregators assisted with a system/process to manage creditors to ensure we are paid by clients and paid on time, that would be valuable to me. I have charged fees before and following up clients to pay adds a whole new level of management to our business model” – SA broker "The aggregator would have to be available for their members at all times and provide them with ongoing support in all aspects of the member’s business i.e. marketing, compliance, assistance with lenders, scenario support, and assistance in growing their businesses" – NSW broker “Lead generations to be included. Got to get leads from aggregator as the table has turned” – ACT broker
WINNING COMMENTS
Hundreds of brokers responded to our prize-winning question, which was asked ahead of the federal election. These three winners were chosen to receive a bottle each of Penfolds Bin 389, courtesy of MPA! “I would want an aggregator to provide a more personal contact person, in a way a BDM to look after us on an individual company basis, instead of only having certain people to go to within the aggregator company who don't know our business on a personal level. I would want this person to then be able to train our staff as soon as there is a need for further training also" – NSW broker “A customer-facing portal to enter holdings and track them in real time. Timely and relevant marketing and customer lifecycle management, automated trigger and event detection, seamless handovers to advice/wealth creation, proactive mortgage management and tax-effectiveness advice etc” – Qld broker “As brokers we would have to be more sophisticated in our client offering; it’s not just the newsletters or marketing, but perhaps bring clients into a networking world that can expand their businesses, enhance their lives and keep them on track to reaching their ultimate goals, not just purchasing a property” – NSW broker "I would be prepared to pay for a strong compliance proposition, as this will be imperative when Best Interest Duty is defined and legislated" – NSW broker
“Regular interaction with brokers, going into bat for the broker where required, working with the industry to improve the quality of brokers and their educational requirements” – Vic broker
“Brand presence to attract paying customers and a good white label product with specific advantages that you could promote to potential borrowers as an offset to the fees you are charging” – NSW broker
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SPECIAL REPORT
BROKERS ON AGGREGATORS
FINAL RESULTS MPA speaks to the top five aggregators for 2019, as voted by responding brokers 5th
4th
FINSURE
Overall score: 4.245
3
1
MPA: Finsure was awarded gold for quality of panel and white label offering. What will Finsure be doing to ensure it continues high quality solutions for brokers and their customers? Simon Bednar, CEO: Finsure is built by brokers, for brokers. So, to ensure we continue to deliver high quality solutions, the answer is simple – we'll continue to listen to the feedback our brokers provide and evolve our solutions accordingly. We will continue to partner with new lenders that can help our brokers satisfy customer needs. We will continue to deliver marketing services that help brokers enhance their brand and attract customers. We will continue to offer market-leading commission structures.
2nd
OUTSOURCE FINANCIAL
Overall score: 4.266
1
2
1
MPA: Outsource Financial came out on top for BDM support. What is your approach to working with broker members? Tanya Sale, director: Our business has been built on a high level of support to members. One of our roles is to assist members to become successful business owners. With the introduction of ieducate, our in-house training facility, we guide members to unlock their potential, define target markets and put their business where their customers need them. ieducate will continue to create innovations which will assist our members to evolve. Our mantra will always be 'Education is Empowerment' and this will be driven by the outsource support team.
3rd
LOAN MARKET
Overall score: 4.298
1
1
1
MPA: You were praised for your training and education. What is your approach to this area? Kristy Bartlett, head of learning and development: Loan Market is obsessed with helping brokers grow bigger and more profitable businesses and at the heart of that is training and education. Loan Market also has a relentless focus on compliance to keep brokers safe, retain its people and attract new businesses. In May 2018, Loan Market revised its audit program where five random files are reviewed per broker, every six months. The results of the audit form a detailed report placing brokers in four tired rankings. The P&P team then coach the broker through their report, highlighting areas to improve.
CONNECTIVE
Overall score: 4.313
2
2
3
MPA: Connective won the gold in broker communication and compliance support, both among the top four most important areas for brokers. Why is this so important? Daniel Oh, group legal counsel: With an ever-increasing focus on compliance and broker behaviour, we support our members with their compliance requirements so they can focus on growing their business with confidence. We have the most well-resourced compliance team and strong relationships with key industry stakeholders. Mark Haron, executive director: We are passionate about active communication with our brokers to ensure we are supporting their success. The Connective team are always available to talk to our brokers one on one. Our focus on communication was demonstrated during the royal commission and election campaign when it became more important than ever to communicate with our members as we fought for our industry.
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1st
LIBERTY NETWORK SERVICES Overall score: 4.449
5
2
2
After coming in second place last year, Liberty Network Services has made it to the top spot. Managing director Brendan O’Donnell explains how the group’s customer focus and broker support has earnt it the recognition it deserves MPA: Liberty Network Services came in second last year; what made the difference this year? Brendan O’Donnell: Our relentless focus on helping advisers to help more customers get financial! We consistently engage with advisers to ensure we understand their challenges and the support they need to succeed. We have a ‘success framework’ that guides our engagement with advisers with focus on eight key areas, namely: brand you, customers, prospects, professionalism, service excellence, differentiation, diversification and learning. These focus areas help advisers work on the things they can control and minimise any distraction on the things they can’t control. As we know, over the past 12 months we’ve had plenty to contemplate with the royal commission and federal election which can easily distract from day-to-day customer engagement and business growth. Many aggregators claim they have a high touch model where in reality this is often not the case. Our Network Sales Managers have portfolios of no more than 25 advisers. Our BMS (Business Marketing Sales) program together with ongoing coaching, training and process management is proving very effective.
MPA: Your highest score was for IT and CRM support. What do you offer brokers and how will you continue to adapt? BO: Our mobile technology platform Spark continues to evolve with the key emphasis on ease of use and navigation helping advisers to engage with customers and prospects in a seamless and efficient way. It allows advisers to stay on top of their business while they’re on the road, with CRM, application, submission, settlement, document management, loan tracker, compliance, training and communication support. Our CAP (Customer Appreciation Program) helps advisers engage with customers post-settlement, receiving feedback by way of testimonials and net promoter scores. While we have exceptional technology and constantly seek ways to work smarter, and digitise and streamline processes for advisers, we recognise that nothing replaces local face-to-face support, coaching and mentorship.
MPA: How is LNS continuing to support brokers who might be looking to expand in the current environment? BO: We have no more than 25 advisers per Network Sales Manager (NSM), which means our advisers get personalised support when they need it. Integral to our culture is ensuring good customer outcomes at all times. We are fortunate with our agile approach and progressive technology that we are able to quickly adapt to any new requirements emerging from regulatory or industry bodies. We provide extensive support in terms of website leads, strategic referral partners, digital optimisation and connectivity to name a few.
“Integral to our culture is ensuring good customer outcomes at all times” www.mpamagazine.com.au
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FEATURES FEATURES
TOP BDMSS
BDMS
IN THE SPOTLIGHT Some of the top BDMs across the country discuss how they work with mortgage brokers and what they think makes a good BDM
HAVING A good BDM can make all the difference. Brokers will choose to stick with their aggregator because of the BDMs they have; they will find the right solution for their customers because the BDMs will talk them through difficult scenarios and their business opportunities can open up through the support BDMs are willing to provide. Brokers often focus on their relationships with their customers – and rightly so – to ensure they fully understand their needs and situations. The same goes for BDMs focusing on their relationships with the broker. In the following pages, BDMs talk about what they build their broker relationships on. The stand-out themes are trust and respect, which have to work both ways. Some BDMs grow their relationships with a bit of ‘banter’ or by being a more involved business partner than someone who is only present when there are questions. They also talk about being constantly
available for brokers: answering calls, responding quickly to emails and being open and honest. With long turnaround times a worry for brokers and borrowers, it is crucial for BDMs to keep brokers updated on where the deal stands – even if that means telling them it cannot be done. With the difficult lending environment over the last couple of years, the broker relationship has never been more important. BDMs are seeing more and more challenges coming through, often with scenarios that would once have been easy to deal with. Lender BDMs will try their “darndest” – as one BDM put it – to work with their credit teams to come up with an option, but sometimes that’s still not enough. In these instances, the BDMs know the best possibility for the broker and their customer is to suggest alternative sources of finance. They do not give up when the deal becomes
impossible to put through their own bank; they continue to help the broker. Aggregators and lenders are constantly training and educating their BDMs, particularly over the last two years, to ensure they understand the changing environment and how best to help brokers. As well as providing support for various lending scenarios, BDMs are becoming well-equipped to guide brokers through diversifying their product range. In this feature we have incorporated a combination of residential and commercial BDMs who can help brokers at whatever stage of diversifying they are in. Most importantly, this feature is about celebrating the BDMs that are working hard for their brokers. We talk to them about the skills they have when it comes to dealing with challenges, how they build their relationships and what makes a good allround BDM.
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FEATURES
TOP BDMS
HANA CARON Being a BDM is more than just numbers for Hana Caron; it is the relationships she finds the most rewarding. Having been in ANZ’s commercial and asset finance space for 21 years, she was attracted to the BDM role because she could see the bank’s commitment to the broker market and their customers. She spends her time workshopping transactions and providing training, which gives her the opportunity to interact with a variety of people. “The role provides a great mix – it keeps me busy,” she says. “For these reasons along with the constantly changing market, I’ve always enjoyed this role.” Caron uses her vast experience across frontline roles, operations, credit and sales to
LISA PERICAUD Travelling across the state for development days and events is crucial to ANZ BDM Lisa Pericaud, who understands the importance of a face-to-face connection with brokers. Packed with her “wicked Irish sense of humour”, she says having some fun alongside working hard is what distinguishes her from fellow BDMs. Pericaud has been in the industry and working for ANZ for more than 20 years in a number of roles impacting the thirdparty network, including support, credit and relationship management. Moving into her current role as an asset finance broker account manager was “a natural progression”, allowing her to build on her passion for the industry and make a more meaningful difference.
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VICTORIA assist brokers and their customers across a range of scenarios. She says her experience in the third-party channel as well as her deep understanding of the industry helps her bring flexibility to assist brokers with any challenges they might face. Each day comes with its own unique set of challenges. Background knowledge is essential – but listening to and understanding each individual scenario is even more crucial. For Caron, it is important to create strong relationships with brokers by understanding them and their businesses, as well as what they want to achieve in the short and long terms. “I believe this genuine interest and partnership goes a long way to building and maintaining lasting relationships,” she says.
NEW SOUTH WALES “The role plays to my natural strengths and interests: building relationships, customer service and helping businesses grow,” she says. Her favourite thing about the job is having a share in the success stories of her brokers and their customers. In order to create those success stories she knows she has to build strong relationships. She gets to know what is important to her brokers, from a business perspective to their outside world. The relationships help when working through any challenges a broker might face. “It all starts with a conversation, it’s as simple as that. You need to truly understand what is required and why it’s important to the customer to find a way forward, together,” Pericaud says.
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REBECCA GOODWIN Moving over from the New Zealand arm of ANZ, Rebecca Goodwin began her involvement in the broker industry 10 years ago in a credit assessment role. But she says she was always interested in the BDM role given the variety of work it involved day-to-day. The seven years she spent in credit assessment gave Goodwin a deep understanding of everything that is required from a customer documentation perspective and, most importantly, what makes a deal. This knowledge and her ability to provide clear and concise answers is what helps her create strong relationships with her brokers. “I pride myself on not shying away from difficult conversations and being there for
ANDREW HOROWITZ ANZ BDM Andrew Horowitz is prepared to “put on the gloves” and help the broker and customer achieve the best outcome. He has been in the finance industry for more than 14 years, starting out as a teller in a branch, with the last six years as a broker BDM. The greatest thing about being a BDM for Horowitz is his team. He says he works with an amazing group of people with diverse backgrounds, experience, knowledge and interests. “Together the team carries each other through any challenge or adversity,” he says. “The outcomes for our brokers and customers hinges on us as individuals and the broader team working side-by-side every day.” Horowitz’s attitude to being a BDM is about
VICTORIA my brokers when times are tough,” she says. The relationship-building is one of her favourite things about the job and this includes being there to support brokers. Goodwin knows as well as anyone how difficult the past 18 months have been with the industry facing “unprecedented change”. To assist brokers with the challenges they have faced, she says she makes sure she is responsive and available to them when they are seeking a solution that suits the customer’s needs, even when she knows it will not end in an ANZ deal. “I try to see the challenge through my broker’s eyes and I’m always conscious that there is a customer at the end of every transaction,” she says.
QUEENSLAND being real and not picking and choosing what situations he wants to deal with. He says he always avoids passing on an enquiry to someone else because to him, a great BDM is someone who comes to work to get involved. His golden rule when it comes to building relationships with his business partners is “give and earn respect”. While he acknowledges he cannot answer every phone call that comes his way, he says the best way to work through challenges is to discuss it with honesty and a willingness to work together. “There is a customer at the end of every interaction who needs to be the focus in order to achieve the best outcome for everyone,” he says.
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FEATURES
TOP BDMS
YASH DAVE Rome was not built in a day and neither are relationships, says Connective BDM Yash Dave. One of his favourite things about being a BDM is the relationship-building and networking he gets to do with brokers, whether they joined the industry last week or 32 years ago. “If you’re in the business of relationship management you’ve got to build relationships to start with and then you need to nurture them,” Dave says. “The only way we can nurture them is to build trust and that’s not built overnight.” Moving across from a career in banking, his knowledge of the lending space is useful when dealing with different lending scenarios. On top of that, being an aggregator BDM means
AARON CODY Getting to know his brokers on both professional and personal levels is “a real joy” for Connective BDM Aaron Cody. He joined the aggregator in 2010, becoming a business support manager five years ago. The relationship side of Cody’s role does not stop at brokers; he finds it just as important to build relationships with lender partners, saying they are “as vital a piece of the puzzle”. “Being a key link between lenders and brokers, and helping both sides navigate that sometimes bumpy path, is very satisfying,” he says. The relationships are all about getting the best possible outcomes for the customer, so
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NEW SOUTH WALES he has a whole range of solutions he can provide, and he can help brokers with lenders they might not know much about. Suggesting options for alternative lenders is becoming more common in the recent lending environment. For Dave, being a responsive BDM is vital in these times: “It’s very easy to say yes and it’s difficult to say no. It’s about being up-front and not giving them false hope.” With strong diversification support at Connective, Dave is also positioned to guide brokers when they want to try something new. He trains his brokers on the aggregator’s CRM platform and sits with them when they do their first commercial deal.
VICTORIA he says all parts of that puzzle need to make sure they are pulling in the same direction. He acknowledges that with different lender policies and broker processes that can be difficult, but the satisfaction for him comes when he can provide a solution in those times. As he admits: “I really love a challenge!” His brokers know to turn to him when anything out of the box happens. Working through those challenges, he says you need to have a clear understanding of it as well as the experience to find the solution. “Once the issue is defined, I’m focused on overcoming it,” he says. “I always make it my job to help my brokers find the solutions they require for their customers.”
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MAY WATSON Connective BDM May Watson says her absolute favourite thing about her job is her brokers. Having been in the finance industry for more than 20 years and in the aggregation and broker channel for around 11, she still finds joy in helping brokers grow their business, putting processes and workflow in place and watching them flourish. “Also, my Connective team nationally and especially in WA, we have a good strong team of seven now,” she says. “We all work really well together and strive to help our brokers while still having fun in the office.” Watson builds her broker relationships by having regular meetings and events, listening to the issues they may have. She takes the
ZORICA GRUBIC After taking some time off for maternity leave, Zorica Grubic is back as a BDM and loving it. She works with brokers to help them embrace technology, be more efficient and diversify into new areas. With a background in financial planning, she believes having a holistic approach is key. Sometimes that means introducing brokers to partners who can fulfil the additional needs of clients and sometimes it means educating brokers about diversifying themselves. Either way, she works closely with her brokers, building strong relationships to make sure she fully understands their businesses. “I have a good understanding and awareness of who they are so I can help them,” Grubic says. “It comes down to ‘we’re
WESTERN AUSTRALIA time to understand the different and unique businesses each broker deals with. When a broker is facing a challenge, she listens to them and guides them through it; she has had her fair share of experience in that area. “I have in the past used my in-depth knowledge of compliance to support brokers through a very difficult period in the industry and have also achieved great success in helping brokers diversify in a declining WA residential market,” she says. In recent years Watson has been involved in events to help empower and support women in the industry, which included business plan programs, marketing, wellness and copywriting.
QUEENSLAND all people’ and it’s caring about them; not so much just their business, but about them and who they are, their family, their children. It’s about understanding all of them.” Being an aggregator BDM means she can take more of a dive into helping brokers with their technology and development. She says what is particularly important to her is helping brokers achieve those “little milestones”. “Helping them write their first car loan or using a lender they have never used before; I think that’s all helping them grow and be successful,” she says. Overall, she takes pride in being able to add value to brokers’ businesses, whether that be by helping with tools, technology, marketing and being accessible to help with scenarios.
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FEATURES
TOP BDMS
SANDY GOURGY Not all broker relationships are the same for this ING BDM. Trust is the common denominator, but there are many that are also built on banter, as she believes it is just as important to have a laugh. Sandy Gourgy has been with ING for over six years. Seeing herself as a “one-stop shop” for brokers, she says it is important to have contacts throughout the whole organisation. The trust piece is important to her, “whether it’s trust that I will be there when they need me, or that I do not waste their time with empty promises or irrelevant information”. The most common challenge for Gourgy
GEOFF MURPHY For ING’s Geoff Murphy, he builds such strong relationships that he feels more like a business partner or even a friend to his brokers. He has been at ING since 2015 and works with the bank’s top writers in the residential space. “You get to know them personally, what they like to do, their family, their kids,” he says. “For me I really rely on that in terms of my results and when I have to deliver bad news.” It is not just about the broker for Murphy; he recognises that every time he deals with his brokers, there is a customer at the end and his own passion is driven by the passion he sees in brokers.
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NEW SOUTH WALES is working through deals that are outside the box. This is where she finds it best to meet face-to-face to work through it and present it together to ING. Sometimes there are deals that will not fit ING at all and she says a good BDM will be able to make suggestions and refer brokers to other industry contacts; she likes to hold combined focus groups with other lenders to do just that. Besides this, a good BDM to her is one who is available. “Balls can be dropped, we are all human, but I think it’s important that BDMs are there for it all. After all, that’s how trust is built,” she adds.
VICTORIA “They come to me with a sense of urgency, but I get it,” he says. “These customers are buying their first home or buying their investment property or refinancing for a better outcome and for a BDM we can’t lose sight of that.” There are many ways he works with brokers when challenges arise, including providing timely and concise information so brokers can make a decision quickly. Whether his brokers prefer emails, texts or phone calls, he adapts to suit and makes sure they are kept informed along the way, particularly if he recognises a deal might not go their way.
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RICHARD BENNETT Richard Bennett’s past four years as a BDM for ING are backed up by more than 40 years in the wider finance industry. As commercial sales manager in NSW he works with brokers who have an understanding of commercial lending or who have large deal flow in the commercial property space. He ensures applications to ING run as smoothly as possible and works to build a great rapport with the brokers he works with. As part of his ‘personal brand’, he aims to be as responsive as possible, returning phone calls and emails within 24 hours. When it comes to working through chal-
LORENCE CREMA Having more than 28 years’ experience in the commercial banking space, ING BDM Lorence Crema understands “we don’t operate in a perfect world”. He sees his role as a commercial sales manager as building on an already successful platform with ING’s third-party brokers, as well as increasing the opportunities in the commercial and property finance sector through the channel. Crema loves being part of ING: “We are a challenger bank and I’m excited to be part of an organisation that is growing and providing alternative solutions,” he says. For him, building relationships with brokers is all about trust and credibility. It is important
NEW SOUTH WALES lenges, he says it is all about being honest. “If the transaction is one that is simply not a fit for ING then I advise the broker promptly so that they can move on to another financing source,” he says. However, that does not mean he gives up. If a transaction can be worked with a little “massaging”, he will work with his credit colleagues to obtain the best outcome. That is exactly what being a good BDM means to him. As well as being available, responsive, honest and up-front, he says, “Do your darndest to represent their proposal to the credit team as best as possible.”
QUEENSLAND for Crema to remain close with broker partners and to provide proactive and valued support to them and their clients. Having a relationship built on trust and credibility can assist with overcoming any issues that may arise. “As we know, we don’t operate in a perfect world and when challenges arise it is important for our brokers to know that we are supporting them,” he says. With a range of different lending scenarios on a daily basis, Crema says it is important for a good BDM to be well experienced and apply effective relationship-building skills with a variety of brokers who have diverse professional backgrounds and experience.
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FEATURES
TOP BDMS
CHRIS THORNTON Now in his sixth year at La Trobe Financial, BDM Chris Thornton says his relationship with brokers is one of mutual respect. He knows the tough role brokers have, particularly in the current lending market, but that is why he is there. “In my view, BDMs are an extension of our brokers’ knowledge base and service proposition, so I try to be as engaged and professional as I can,” he says. When a broker faces a problem, Thornton says only one word comes to mind: listen. He listens to the broker’s challenge in order to understand how it has materialised and then, if it is within his influence or reach, work towards a solution.
CHRIS MEAKER With over 20 years in the finance industry, La Trobe Financial BDM Chris Meaker has had significant experience with specialist lending. Building a strong relationship with brokers is top of the priority list so that he can better understand their businesses and find the right solutions for their brokers’ customers. Meaker says he has worked with the majority of brokers he deals with for a number of years, where he has earned their confidence and trust by helping them to achieve the best outcome for their customers. “I’m also lucky to work with so many brokers who have become friends over the years and this helps me to build strong ongoing partnerships,” he says.
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QUEENSLAND He knows sometimes this takes him out of the 9am to 5pm routine, but that to be a good BDM, time often needs to be sacrificed. Sticking to La Trobe’s philosophy of ‘others before self’, Thornton’s goal is to ensure he finishes the day with satisfied customers. “I think this message is easy to lose sight of but it is one that drives my decision making and actions,” he says. To do this, he recognises the need to understand funding origins and their limitations and to keep on the front line of changes to credit risk appetite, back-of-house processes and regulation which may affect products and service.
VICTORIA Not all brokers are aware of La Trobe’s product offering, he adds, so he sees education and training as a key part of his role. He spends time workshopping complex scenarios and looking for solutions that may assist his brokers’ customers. For him, a good BDM is someone who supports brokers and offers services as if they were one of their staff members and an extension of their business. “It’s also very important to manage brokers’ expectations and keep them up to date with their applications,” he adds. “Offering good customer service is something I strive for and am proud to deliver for my broker partners.”
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DAWN INANLI BDM Dawn Inanli is well aware that in the current market environment, challenges are a daily occurrence. After joining the broker industry with an aggregation group in 2001, Inanli is now proud to be part of a specialist lender like La Trobe Financial. Recognising and understanding the challenges in the industry, Inanli builds her relationship with brokers on honesty, professionalism, and being friendly and approachable. Importantly, she also says there needs to be reciprocal respect: “Respect where respect is due,” she says. Addressing some of the challenges faced by brokers, Inanli says she is always up-front and vocal about turnaround times in order to allow
SCOTT SHYING After roles in other areas of the banking industry, BDM Scott Shying has been working at La Trobe Financial for the past two years and says nothing has been as rewarding as his current position. He has spent 20 years in banking and finance, both operationally and dealing directly with clients, including working as a branch manager with Bank of Queensland and a relationship manager in the institutional property finance teams at St.George Bank and Bankwest. Shying’s current role as senior manager, client partnerships, entails communication of relevant information, problem solving and training the wider broker community.
NEW SOUTH WALES the broker to set the pace with their customer. With processing issues also slowing things down, her reaction is to cut to the chase to find a satisfactory option. She also ensures the broker is aware as soon as possible whether the customer situation does not meet policy criteria and if possible, will offer an alternative solution. Inanli is passionate about her role and says it is paramount to go the extra mile for her brokers, by replying to emails every day, answering phone calls, taking the time to understand their business and challenges and working towards what the broker’s expectations are. “I am not a brochure delivery manager. I am a senior manager, client partnerships and I believe in my position,” she says.
NEW SOUTH WALES His previous experience in the industry means he has been building relationships for a long time. “It is always great to catch up with some of my original introducers whom I met back in the 1990s when I was an equipment BDM for GIO Finance.” When it comes to working with his brokers, Shying always encourages them to call or email whenever they have a scenario that is a bit outside of the box. As well as “being a people person”, Shying knows what else he needs to do to be a good BDM: “In my book, a good BDM is enthusiastic, knowledgeable and [can share] their knowledge if they are unable to offer brokers what they require.”
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FEATURES
TOP BDMS
LEANNE URQUHART Leanne Urquhart is not afraid of pushing boundaries to find the best solution for her business partners, no matter how complex the scenario might be. “I’m passionate about working through a deal for the best possible customer outcomes,” she says. “I’m brave enough to ask the questions, and I don’t give up.” With a focus on providing constant support to her business partners, Urquhart has dedicated a huge amount of her career to building strong relationships. “I spent the first 12 months of my career building rapport and getting to know my business partners so I could be better equipped
MATT HALL
“I focus on building trust and creating a safe environment. Having a trusted relationship with your business partners is essential to succeeding as a BDM” says Liberty BDM – Residential, Matt Hall. With 17 years’ credit experience, Hall has a distinct ability to create open lines of communication from the get-go. “If a deal doesn’t fit then I will always be up-front,” he says. “Time is essential when getting deals done, so honesty is crucial. And it’s what brokers want.” Hall carries this ethos through every aspect of his role, particularly when challenges or issues arise. “Challenges are not something
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QUEENSLAND to help them in the future.” Urquhart carries this level of drive through her daily duties but brings it back to basics when it comes to challenges and obstacles. “Listening is always the biggest thing for me,” she adds. “If there’s ever a challenging deal, I take the time to sit back, break it down and find the winning solution.” Motivation, ambition and high energy levels set Urquhart apart from other BDMs in the industry. “I put on a game face every day, which gives me the confidence I need to get deals done and help my business partners achieve their goals.”
VICTORIA
you can rush or skim over,” he says. “You need to get all the pieces of the puzzle together before focusing on the outcome. It is essential to be on the same page as your brokers when challenges arise which means complete transparency is essential.” Hall prides himself on going above and beyond for his business partners, always looking for an opportunity to guide, educate and support brokers wherever possible. He thrives on finding solutions and is proud to be considered an asset to the broad range of brokers in his network. “No broker has the same business set-up or the same clients. Being able to support brokers to grow their businesses is truly rewarding.”
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MARK MCINTOSH There is more to being a BDM than just returning calls and being available, says Liberty BDM – Commercial Mark McIntosh. “That’s the baseline. It’s our job. What makes a great BDM is how you exceed expectations and go above and beyond for your business partners every single day,” he says. McIntosh’s background in the finance industry spans 16 years and includes roles in sales, credit and relationship management. With these skills under his belt, McIntosh is equipped to confidently workshop a variety of commercial deals. And it is coming up with solutions for the more challenging scenarios that he says keeps him in the job. “I love having the opportunity to sit down
GRANT SMITH
The real thing that sets Liberty BDM – LFI Grant Smith apart from other BDMs is his awareness of the broker’s end customer, and how he can play a role in enhancing the customer outcome. “What sets a top BDM apart is the ability to help your business partner, but also exploring the opportunities for them to stand out in the customers’ eyes,” he says. It is more important than ever before for brokers to diversify to build their businesses and Smith has the experience to help his business partners navigate this path with confidence. With 10 years’ experience in asset
NEW SOUTH WALES with my brokers and work through deals,” he says. “Especially the ones that they thought were impossible or they didn’t have a chance with. Liberty make this easy with our free-thinking approach, so I have the opportunity to really help my brokers grow their commercial business.” When asked about his favourite part of the job, McIntosh talks about the “thrill of the chase”. He loves the challenge of finding new business partners to work with, especially those who are new-to-industry. “I still get excited about helping new brokers learn about Liberty, our products and what we can do to help their customers get financial,” he adds.
VICTORIA
and residential finance, and now insurance, Smith has the tools his brokers need to find new opportunities to grow. “Having the knowledge to help my brokers identify opportunities to step across asset classes, allows me to provide a unique service.” Smith has built up an array of strong relationships with his brokers and understands the importance of trust, communication and above all – service. “Brokers need to have the trust in me that I’ll be available to deliver when needed, and be consistent in my communications and managing expectations.”
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FEATURES
TOP BDMS
PASQUALE CAIA Being able to provide alternative solutions to customers, Pepper BDM Pasquale Caia sees himself as more of an educator than a business development manager. His favourite thing about his role is walking out of an appointment knowing he has taught a broker something they did not know before, being able to turn a no into a yes, or changing the mindset of a broker where they did not think they could do something before. The alternative solutions Pepper offers makes for a lot of uplifting stories. “Being able to save a home, save a house, save a family, save money for a client. There’s nothing more rewarding than being able to help that
DREW CLEGG Formerly in the lending space, BDM Drew Clegg says he can relate to brokers dealing with customers and is very passionate about helping them achieve the right solutions. With a lender like Pepper, Clegg says his role is a lot about educating brokers on how they can help their clients who do not fit the normal criteria. But with wide experience across the residential, commercial and non-conforming space, brokers know they can speak to him about a huge range of scenarios. “I spend a lot of time talking over the phone, going deep into clients’ scenarios, trying to provide solutions for customers. The partnership we build becomes strong,” Clegg says.
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VICTORIA/TASMANIA customer at the end of the day,” he says. Caia has strong relationships with his brokers, building trust by delivering on what he says he will. From this, he gets a lot of repeat business from brokers who are confident in what he offers. Dealing with loans that do not always fit the box, he knows to provide timely and honest information, where he and the broker can then work through what the solution might be. “Time is important to brokers, and there’s no point wasting time. There’s a customer at the end of it. I’m very mindful of that so the customer is not led down the garden path,” he says.
NEW SOUTH WALES Working with his brokers towards a common goal is one of the most important aspects for him. In a market that is getting a bit more complicated, he likes to provide more outcomes and solutions for customers, which not only builds a broker’s business but improves their reputation. For Clegg, a good BDM is one who is always available and responsive, particularly when many of the transactions he deals with are urgent and need to be workshopped. “Not everything fits,” Clegg says. “Understanding why it doesn’t fit, then finding ways to make it fit – they’re the ones that make it worthwhile doing what we do every day.”
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KATE FREWIN
QUEENSLAND
Keeping the lines of communication open for her brokers is vital to BDM Kate Frewin, whose philosophy is remembering that there is a real person at the end of every transaction. She says that when a broker is calling her three
very rewarding for Frewin, particularly as she takes the time to really understand the client’s scenario. For her, being a good BDM is all about the communication, even when it means
times a day, she understands this means a customer is probably calling them three times a day. Because of this she makes sure her relationships with her brokers are excellent. “We really take a partnership approach at Pepper and I really believe in that very strongly,” she says. “We’re both working together to help out and at the end of the day, it’s a person with a real life situation they need help with.” Helping someone in that real life situation is
telling the broker bad news. If Pepper cannot help the customer she says it is best for the broker to understand the reasons why so they can workshop an alternative and have clear conversations with that customer. “I think it’s really important for the BDM to help the broker understand the whys,” she says. “If someone’s got a challenging scenario, [it’s about] helping them workshop, sitting down with them, looking at what they have and what they’re working with.”
KATHRYN MORTIMER
The most important thing for BDM Kathryn Mortimer is building a rapport with her brokers so she can visit them without feeling like she is selling something. She knows her brokers can call her because they trust her to have a good conversation and point them in the right direction. Mortimer has worked in the back offices at some of the major banks, which she says gives her the advantage of being able to see situations from “all sides of the fence”. For Mortimer, the best thing about being a BDM at Pepper is helping the end customer. “Knowing you’re going to change their life or that their life quality is going to improve
SOUTH AUSTRALIA
because we have removed their financial stress, that makes it more special to me,” she says. This is reiterated to her when brokers take the time to forward on emails from customers who say they have changed their lives. Brokers have faced their fair share of challenges recently and when difficult scenarios come up, Mortimer makes sure brokers understand the situation straight away. “It’s the communication piece – making sure I can say yes or no really quickly so it’s not wasting their time. Knowing time is precious to them. I try to make sure I get back to them quickly so they can get back to their customer,” she says.
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FEATURES
TOP BDMS
TOP BDM DIRECTORY ANZ BDM name
Company
Phone number
Location
Area of expertise
David Montebello
ANZ
David.Montebello@anz.com
0413 966 514
SA
Asset Finance
Gordon Townley
ANZ
Gordon.Townley@anz.com
0411 132 062
NSW
Asset Finance
Kevin Skafte
ANZ
Kevin.Skafte@anz.com
0423 969 013
VIC
Commercial
Cherie Kingsley
ANZ
Cherie.Kingsley@anz.com
0434 072 498
QLD
Commercial
Scott Nesbit
ANZ
Scott.Nesbit@anz.com
0411 441 516
WA
Commercial
Richard Pudsey
ANZ
Richard.Pudsey@anz.com
0401 997 478
WA
Residential
Jenna Siviour
ANZ
Jenna.Siviour@anz.com
0402 965 052
SA
Residential
John Kakakios
ANZ
John.Kakakios@anz.com
0466 533 970
NSW
Residential
Mark Pascoe
ANZ
Mark.Pascoe@anz.com
0402 968 534
VIC
Residential
Blake McLucas
ANZ
Blake.McLucas@anz.com
0466 330 415
QLD
Residential
BDM name
Company
Phone number
Location
Mark McColl
Connective
mark@connective.com.au
0408 688 055
VIC
Aaron Cody
Connective
aaron@connective.com.au
0448 094 512
VIC
Christopher Feltham
Connective
cfeltham@connective.com.au
0448 014 667
QLD
May Watson
Connective
may@connective.com.au
0499 899 060
WA
Ciara Brown
Connective
ciara@connective.com.au
0439 218 057
VIC
Loreta Berti
Connective
loreta@connective.com.au
0452 600 260
NSW
Elena Alvaro
Connective
elena@connective.com.au
0477 377 003
SA
Jamie Ontal
Connective
jamie@connective.com.au
0408 688 700
WA
Wendy Sampson
Connective
wendy@connective.com.au
0475 831 695
NSW
Kieran Pace
Connective
kieran@connective.com.au
0408 740 848
VIC
CONNECTIVE Area of expertise
ING BDM name
Company
Phone number
Location
Area of expertise
Lorence Crema
ING
lorence.crema@ing.com.au
0478 316 442
QLD
Commercial
Robert Tassone
ING
robert.tassone@ing.com.au
0478 320 603
NSW
Commercial
Adrian Lee
ING
adrian.lee@ing.com.au
0475 941 654
VIC
Commercial
Clem Marcocci
ING
clem.marcocci@ing.com.au
0401 145 180
Sydney CBD / Inner West – Sydney
Residential
Nicholas Brookes
ING
nicholas.brookes@ing.com.au
0419 157 218
Western Region – Bankstown / Parramatta / Ryde / Liverpool / Penrith / West
Residential
Shellie Hall
ING
shellie.hall@ing.com.au
0406 664 105
North West Melbourne / Melbourne CBD and Tasmania
Residential
Farid Mirkhil
ING
farid.mirkhil@ing.com.au
0406 530 458
East and West Melbourne
Residential Residential Residential
Peter Bousen
ING
peter.bousen@ing.com.au
0478 404 111
North and Western Brisbane, Toowoomba, Sunshine Coast and Central QLD
Kevin Chaissan
ING
kevin.chaissan@ing.com.au
0476 844 003
Brisbane CBD and Southern Suburbs, Gold Coast and Far North NSW
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LA TROBE BDM name
Company
Phone number
Location
Chris Thornton
La Trobe Financial
Chris Meaker
La Trobe Financial
Dawn Inanli
Area of expertise
cthornton@latrobefinancial.com.au
0414 451 034
QLD
Residential, Commercial, SMSF, Development, Specialist
cmeaker@latrobefinancial.com.au
0490 305 126
VIC
Residential, Commercial, SMSF, Development, Specialist
La Trobe Financial
dinanli@latrobefinancial.com.au
0490 123 392
NSW
Residential, Commercial, SMSF, Development, Specialist
Scott Shying
La Trobe Financial
sshying@latrobefinancial.com.au
0448 404 413
NSW
Residential, Commercial, SMSF, Development, Specialist
Paul Biddle
La Trobe Financial
pbiddle@latrobefinancial.com.au
0421 029 687
WA
Residential, Commercial, SMSF, Development, Specialist
Stacey Weaver
La Trobe Financial
sweaver@latrobefinancial.com.au
0402 924 354
SA
Residential, Commercial, SMSF, Development, Specialist
Michelle Rose
La Trobe Financial
mrose@latrobefinancial.com.au
0401 641 482
QLD
Residential, Commercial, SMSF, Development, Specialist
Mark Simmons
La Trobe Financial
msimmons@latrobefinancial.com.au
0432 631 795
NSW
Residential, Commercial, SMSF, Development, Specialist
Bryce Hill
La Trobe Financial
bhill@latrobefinancial.com.au
0490 305 010
VIC
Residential, Commercial, SMSF, Development, Specialist
Shiralee Wooding
La Trobe Financial
swooding@latrobefinancial.com.au
0490 123 397
VIC
Residential, Commercial, SMSF, Development, Specialist
LIBERTY FINANCIAL BDM name
Company
Phone number
Location
Area of expertise
Bronson Mauro
Liberty Financial
bmauro@liberty.com.au
0434 338 551
SA/NT
Residential
Christine Gough
Liberty Financial
cgough@liberty.com.au
0434 338 536
VIC
Commercial
Gabriele Famularo
Liberty Financial
gfamularo@liberty.com.au
0434 338 593
NSW
Motor
Geoff Spencer
Liberty Financial
gspencer@liberty.com.au
0434 338 522
NSW
Residential
Matthew Melis
Liberty Financial
mmelis@liberty.com.au
0434 338 597
WA
Motor
Patrick Moore
Liberty Financial
pmoore@liberty.com.au
0434 338 544
QLD
Residential
Philip Vouliotis
Liberty Financial
pvouliotis@liberty.com.au
0434 338 595
VIC/TAS
Motor
Sean Driscoll
Liberty Financial
sdriscoll@liberty.com.au
0434 338 533
VIC
Residential
Alf Vasta
MoneyPlace
alf.vasta@moneyplace.com.au
0428 299 545
VIC
Personal loans
Sam Sfeir
Moula
sam.sfeir@moula.com.au
0448 253 430
NSW/ACT/QLD/NT
Experience in asset and equipment finance, specialising in SME lending
Company
Phone number
Location
Area of expertise
Pasquale Caia
Pepper Money
pcaia@pepper.com.au
0499 777 315
Victoria/Tasmania
Residential mortgages – Prime, Near Prime and Specialist
Drew Clegg
Pepper Money
dclegg@pepper.com.au
0499 777 314
NSW
Residential mortgages – Prime, Near Prime and Specialist
Kate Frewin
Pepper Money
kfrewin@pepper.com.au
0437 199 861
QLD
Residential mortgages – Prime, Near Prime and Specialist
Kathryn Mortimer
Pepper Money
kmortimer@pepper.com.au
0428 437 150
SA
Residential mortgages – Prime, Near Prime and Specialist
Siobhan Williams
Pepper Money
swilliams@pepper.com.au
0499 499 515
NSW
Residential mortgages – Prime, Near Prime and Specialist
Diane Robinson
Pepper Money
drobinson@pepper.com.au
0499 146 066
QLD/ South Australia/Northern Territory / Western Australia
Residential mortgages – Prime, Near Prime and Specialist
Arthur Karvelas
Pepper Money
akarvelas@pepper.com.au
0418 350 312
Victoria / Tasmania
Residential mortgages – Prime, Near Prime and Specialist
Brett Conway
Pepper Money
bconway@pepper.com.au
0498 999 066
National
Residential mortgages – Prime, Near Prime and Specialist
Staci Karas
Pepper Money
skaras@pepper.com.au
0427 730 076
Victoria / Tasmania
Residential mortgages – Prime, Near Prime and Specialist
PEPPER BDM name
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FEATURES
EDUCATION
Educating brokers for success Whether you are a broker looking to start helping your small business customers or you have done so for years, Suncorp has launched a new education platform to assist. MPA speaks to the bank’s national manager, SME and commercial, Robynne Frost, to find out more AFTER THE tumultuous time the broking industry has just faced, the word on everyone’s lips is education. Lenders and aggregators alike are working to educate brokers, whether it be on new products and policies, or ensuring they are kept up-todate with changes. Keeping ahead of the curve, Suncorp has tailored its education with a ‘significant twist’ to meet the needs of the broker. The non-major bank has launched Small Business SunEducation, a program to guide brokers on small business lending through any stage of their diversification journey. Complete with webinars, templates, tools and facilitated sessions, Small Business SunEducation helps brokers understand their small business customers, build fundamental credit skills, carry out in-depth financial analysis and construct a strong small business application. Whether you are an experienced commercial broker or just starting out, Small Business SunEducation is designed to add real value to brokers’ ongoing education needs.
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The need to diversify With 30% of Suncorp’s home loan customers being self-employed, the bank’s national manager, SME and commercial, Robynne Frost, says brokers would probably find similar numbers among their own customer base.
Frost says this represents a significant opportunity for brokers to diversify and offer customers solutions for not only their personal lending needs, but also their business needs. “For Suncorp, education and diversification
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Sponsored by
through our Power of Partnership model underpins our overall proposition,” she says. “If we can build deeper relationships with our broker partners through education, we hope this will in turn give brokers the confidence to consider Suncorp for their customers’ lending needs. That’s obviously a good outcome for us but we also know that highly skilled brokers deliver better customer outcomes.” With the program designed to support brokers regardless of where they are in diversifying, Frost says they have also catered for most learning needs and individual learning styles. “So, for brokers who prefer to learn online, Suncorp has incorporated a number of online sessions, such as webinars and podcasts;
WHAT YOU NEED TO KNOW ABOUT SUNEDUCATION Small Business SunEducation is a comprehensive, marketleading program, designed to support brokers on every step of their diversification journey. Built around the diversification lifecycle, the program provides practical, tailored knowledge to help brokers: Understand small business customers and identify opportunities Build fundamental credit skills Develop in-depth financial analysis Construct a strong small business application
“If we can build deeper relationships with our broker partners through education, we hope this will in turn give brokers the confidence to consider Suncorp” but for those who prefer face-to-face conversations, there are facilitated sessions they can attend in person,” she says. The industry’s push on education has been elevated over the last 12 months. With the royal commission, changes brought in by the Combined Industry Forum and the influence of parliament, brokers have had to look at how they bolster their businesses for future earning capability and customer retention. Not only that, changes from APRA and the tightening of credit standards have meant the market has seen a strong retraction in home lending. Rather than viewing this negatively, Frost says this opens up huge opportunities
for diversification, particularly as business lending has seen growth. The future success for brokers lies in “the ability to maintain strong customer relationships by meeting their needs”. “An integral part of this process is the ability to meet the customer’s multiple needs,” Frost notes. “If you don’t, someone else will.” As a priority segment for Suncorp, the focus on small business with brokers and aggregator partners supports Suncorp’s pledge of $3bn of new credit for the SME sector. The bank has also carried out research into the small banking sector, which showed four out of 10 small businesses in Australia are
seeking out trusted advisers. But to be that adviser, Frost says brokers need to understand how these businesses work, what their nuances are and what is important to them. “Mortgage brokers are in an inherent position to be able to relate to small business customers, because the lion’s share of them are small business customers themselves,” she says. “If I’m helping my small business customers with home loans and their home loan needs only, I’d be absolutely crazy not to have a broader and deeper conversation with them about their potential business needs.”
The barriers to SME lending In the earlier stages of its education journey, Suncorp found that barriers to diversifying were from a lack of knowledge and education. Not only was this in terms of not knowing how to start a conversation, but it also came down to the way brokers were structuring their own businesses. For instance, are brokers geared up to deal with small business needs? Anecdotally, it is known that business owners are time-poor, work long hours and can lack digital savvy. Frost says brokers need to ensure they build their businesses, so they have more flexible working hours and can create solid online processes. But the biggest barrier Suncorp has identified among brokers in the past four years, through its SME dedicated channel, is an absence of both strong financial analysis skills and confidence understanding business financials. It is hoped that Small Business SunEducation will help fill many of these education gaps, developing smarter, more confident, agile brokers – which Suncorp says is a great outcome for brokers and an even better outcome for customers.
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FEATURES
VENDOR FOCUS
Mario Rehayem: A customer lens Having recently launched into the commercial lending space, Pepper Money is supporting and educating brokers who are growing and diversifying their businesses. MPA speaks to CEO Mario Rehayem about what brokers should be focusing on to succeed and how the lender is helping
MPA: Why do brokers need to focus on customer experience to succeed? Mario Rehayem: It’s very important for brokers, or anyone in business for that matter, to have a value proposition that encompasses customers. The vast majority of brokers have historically indicated that their business relies heavily on word of mouth referrals. In today’s world, word of mouth is no longer between family and friends – it’s become a global marketing tool via social media and online reviews. So, the need to focus on customer experience is more important than ever. A mortgage broker’s business revolves around customers. But in order to help the
customer, you must understand them first. It’s imperative for brokers to always apply a customer lens to their business processes. To do this you will need to monitor, observe and collate data on how the customer reacts to your processes and what level of effort they need to apply during the entire journey. Brokers’ processes must constantly evolve and grow as the profile of their customer base widens. It’s not a coincidence that successful broker businesses have the following in common: they have a clear understanding of their value proposition and it’s compelling; they understand their customer’s needs and
PEPPER IN NEW ZEALAND Pepper recently announced it had moved into the New Zealand market with a white label agreement. It has partnered with New Zealand financial services group Astute NZ to bring a new range of home loan products to Kiwi borrowers. The product range will be sold under the Ascenteon brand and comprises eight different products ranging from prime through near prime to specialist loans. The lender was already established in New Zealand as a loan servicer after the group acquired the GE Money loan book in 2011. The Ascenteon range will be offered through Astute NZ’s network of advisers.
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they have clearly been incorporated into their business processes. Over time this has created a culture of good governance which is in addition to their compliance regime.
MPA: Why do brokers need to focus on that regulatory environment? MR: Brokers have had a very turbulent time over the last 18 months. Changing regulation is an area where brokers have to keep their finger on the pulse. In any business, if you are licensed or the representative of a licensee, you need to know what is deemed right and what is deemed wrong and then operate well within those parameters – not at the edges. Things to be mindful of include: what is considered ‘good’ lending practices? How should you interview a customer, and what information should you retain? What type of living expenses should you be looking at? Customer experience is always enhanced by a good digital experience and, on top of that, making sure you are always doing the right thing by your customer. To do that you’ve got to know what regulatory environment you are playing in. It’s important not to rely on someone else to look after the compliance or regulatory
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side of your business; you need to have a firm grasp of that. We have seen examples where that’s fallen over through the royal commission. If that’s not the biggest wake-up call for this industry, I don’t know what is.
MPA: How is Pepper helping brokers stay on top of the regulatory environment? MR: Pepper has always respected the broker channel and appreciates how challenging it is to keep up to date with the everchanging regulatory environment. This is why Pepper has heavily invested in broker education with one of its core focuses being regulation. Pepper has been highlighting the opportunities, concerns or gaps the broker industry had at that point in time. We have either used or leveraged off our own experiences in that field or reached out to experts to be able to first enrich our understanding, and then pass that on to brokers over time. If we have a look at the roadshows we’ve held previously, we have given brokers insight into what will likely impact their business in the future. We’ve spoken about the importance of compliance, the importance
It’s not that we have a crystal ball. It’s just that we have a diversified business that goes across multiple jurisdictions around the globe and they have already grappled with many of the scenarios the Australian market is experiencing today.
“Diversification gives you an offensive and defensive strategy to tackle even the most difficult market conditions” of completing a detailed assessment of the customer’s living expenses, to be diligent in what you ask and record – if it’s not recorded it didn’t happen. It’s important to not just focus on what the lender is requesting; brokers need to be aware of their own compliance obligations. All of the observations about industry trends we’ve made over the years have eventually come to fruition and we gave brokers that knowledge ahead of time.
MPA: Why does a broker need to focus on diversification to succeed? MR: Diversification is extremely important for the broker as much as it is for the customer. To become a successful broker, they need to respond to the needs of as many customers as possible. So, it’s in the broker’s best interest to ensure they have enough of an understanding of the products available to them across a range of lenders, in order to offer something tailored to their customer’s situation.
There are three main reasons diversification is vital for broker businesses to succeed, they are as follows. One, customer centricity – Customers love simplicity; they gravitate to brokers who can service all their needs with ease. The more services and products you offer, the less the customer has to retell their financial history at application stage for each product they apply for. Two, business sustainability – The demand curve for home loans is materially different to that for commercial loans and auto finance. Diversification gives you an offensive and defensive strategy to tackle even the most difficult market conditions. Three, business valuation – A business that still generates leads coupled with a trail book is worth way more than just a trail book multiple. The more diverse your business is the more leads you convert and so on, not to mention that you are helping more customers fulfil their financial needs. Diversification is not about trying to
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FEATURES
VENDOR FOCUS
A BRIEF HISTORY
2001
• Pepper launches
2004
• Pepper issues the first of many non-conforming securitisations for $250m
2014
• Pepper Asset Finance commences
2016
• Pepper launches personal loans product
2017
• Mario Rehayem appointed as CEO
2018
• Pepper’s first ever billion dollar securitisation • Launch of Kogan Money partnership
2019
• Launches into commercial space
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do something you’re uncomfortable with; it’s about having a look at your core skills as a broker and the work you carry out. For example, the information you have gathered during a home loan enquiry represents the bulk of the information – if not all in some cases – required to complete an auto loan, commercial loan or personal loan.
MPA: Why did you move into the commercial real estate space? MR: Pepper is constantly looking to help customers that are under-served, and we believe there is a golden opportunity in commercial real estate loans. Our ability to identify voids or under-served borrowers in this segment gave us a really good insight into what customers were looking for and why brokers were hesitant to, or would not offer, commercial real estate loans.
us the opportunity to leverage off our own core skills and come out with something innovative with regards to how they can write a commercial loan, at the smaller end of the market – Pepper’s maximum loan size is currently $3m.
MPA: Why does Pepper hold its Insights Roadshows and what did brokers get out of the recent sessions? MR: The brokers that I have spoken to so far have given us really good feedback on the real life experiences that were presented to them at the roadshow. Pepper has always had the view that when you invest in people that investment will come back tenfold. That’s why we have always encouraged the broker industry to find more ways to assist more customers, instead of simply encouraging them to sell a Pepper product. We’ve tried to
“What we are doing is giving back to a channel that has been very supportive of Pepper for 18-and-a-half years” We found a way to introduce a seamless process, one that mirrored their residential mortgage application process, but the only difference was that it was for commercial real estate, so only their security details were different. The other thing we did was to leverage off our existing lending infrastructure and our experience of the self-employed borrower. Forty percent of Pepper’s clients today are self-employed. We understand what their needs are and how to assess them from a credit perspective. For us, our broker market penetration is something we are proud of and by turning to them, we found a large number of brokers who found it difficult to write commercial loans with existing lenders and that their customers weren’t getting the loan they wanted due to lack of options. That gave
offer the broker solutions to their everyday business challenges. To do that you must immerse yourselves in a broker’s business and feel some of their struggles, feel their pain and understand their restrictions. We then take that back to our business and question how Pepper can find ways to relieve them from those pressures, or challenges, or headwinds that they are facing. We knew that if we were to embrace that and find ways to encourage them and get them into a better place, then the broker market as a whole would flourish, and we would be a beneficiary of that. It is not a direct investment where we are asking for a return. What we are doing is giving back to a channel that has been very supportive of Pepper for 18-and-a-half years.
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FEATURES
EVENTS
INSIDE THE BROKER BUSINESS EXCHANGE 2019
TODAY’S MORTGAGE BROKING landscape is constantly evolving. To stay competitive, brokers need to be up-to-date across industry developments, nurture existing business relationships, and source new market opportunities and industry partnerships. This year’s MPA Broker Business Exchange, held at The Westin in Sydney in early June, served as a unifying front for mortgage brokers of all stripes. The wet weather wasn’t enough to deter hundreds of eager brokers from turning up to gain insights from some of the industry’s top thought leaders.
As rain bucketed down over Sydney, brokers gathered at The Westin to gain new insights into one of Australia’s most crucial financial sectors – broking
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2/07/2019 9:11:37 AM
FEATURES
EVENTS
The event provided an innovative learning and networking platform for mortgage brokers to do business and learn about key facets of broking, such as how to keep your business profitable and sustainable while surrounded by an environment of continual change. The international keynote speaker for the day was Shawn Allen, principal owner of the Canadian-based Matrix Mortgage Global. It’s fair to say that Allen has encountered his share of adversity during his time in the broking business – Matrix was founded in 2008, just
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as the GFC hit. The housing market crash that followed, which hit Canada badly, could have been disastrous. Speaking to MPA in February, Allen noted that regulatory changes at the time sent some brokers’ businesses to a “screeching halt”, when many of their A clients were suddenly barely able to qualify with B lenders. However, Allen was able to turn the situation to his advantage, thanks largely to his “unshakeable belief ” that he would succeed. His success stemmed from his willingness to
work with non-bank and alternative lenders. “Our focus on alternative lending meant record-breaking sales for us and a significant increase in business,” Allen told MPA. “Our business went up as many brokers scrambled to find new lenders.” Diversification was another key topic for many speakers on the day. Given the shifting nature of the property markets around Australia, increased difficulties in securing credit and the recent royal commission, there was an eagerness to highlight the importance
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of branching into new areas. Connecting with clients beyond mortgages was encouraged, and brokers highlighted how mortgages and investment loans can serve as in-roads to a greater share of the client’s wallet. Each session finished with a Q&A, and workshops were held throughout the day, giving attendees a chance to home in on finer points of discussion. With powerful ideas about the current state of the broking landscape, as well as its future, the MPA Broker Business Exchange marked another successful year in 2019.
Brokers gained new insights from workshops held throughout the day
For information about upcoming events and to view footage from this year’s event, visit mpamagazine.com.au.
Panel discussions were held throughout the day
Pepper Money’s stand at the MPA Broker Business Exchange 2019
Shawn Allen, principal owner of the Canadian-based Matrix Mortgage Global
Loanworks at 2019 MPA Broker Business Exchange
Bluestone Mortgages’ stand at the MPA Broker Business Exchange 2019
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PEOPLE
BROKERAGE INSIGHT
Better choices for a better life Since 2006, Mortgage Choice Miami has brought its brand of broking expertise to the Gold Coast and the surrounding community. MPA speaks to founder and director James Hasselle about his time in the industry
IT ALL STARTED with a mission to
Breaking out of the broking mould
secure a home loan of his own. In 2003, James Hasselle was straight off the plane from the UK, looking to establish himself in a new country. Naturally enough, that meant setting up a home – and he needed a home loan to achieve that. A meeting with a local broker initially seemed to be less than promising. That is, of course, until both parties realised that something far more valuable could come out of the meeting than a simple loan. Hasselle had previously been a mortgage broker in the UK and it quickly became evident that his services could be of use to the firm. “He couldn’t help me with the loan, but he could give me a job,” laughs Hasselle. “Of course, once I had the job I went out and got the loan – the rest is history.” Flash forward a few more years and Hasselle found himself establishing a brokerage of his own – Mortgage Choice Miami. It was the start of a mini-broking empire that has now grown to encompass three office locations, which provide invaluable advice to thousands of loanseekers on the Gold Coast and beyond.
With nearly 20 years in broking under his belt, Hasselle has witnessed first-hand
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Technology has reduced the emphasis on day-to-day admin, with many basic functions able to be automated, or at least processed with
“We employ and nurture young mortgage professionals and that’s just one more way we see Mortgage Choice Miami as giving back to the local community” significant changes in the industry. “Probably the biggest change is the increasing use of technology in the loan process,” says Hasselle. “These days, everything’s in the cloud.”
far greater speed. Theoretically, this tech should allow for an easier time for the customer. However, Hasselle feels that other factors have created greater difficulties for borrowers in securing finance for the purchase of property.
BROKERS AS DISTRIBUTION Technology has been a boon for many financial services. But it’s also taken a toll behind the scenes; many lenders have closed branches, reduced headcount and cut back on marketing. It’s a situation which has made brokers the de facto distribution arm for many lenders, Hasselle feels. “First and foremost, our responsibility is to our clients,” notes Hasselle. “But we’re also here to be the eyes and the ears of loan providers, to make sure that we’re connecting them to credit-worthy borrowers. We’ve got the depth of experience that they need to spot warning signs – and importantly, clients who don’t necessarily fit the standard template but are still a solid investment.”
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FAST FACTS Company: Mortgage Choice Founder: James Hasselle Locations: Mortgage Choice Miami, Mortgage Choice Palm Beach and Mortgage Choice Burleigh Heads, Queensland Year founded: 2006 Services offered: Home loans, SME finance, investment property loans, car loans and equipment finance
“It’s never been as hard as it is now to get a loan, or gain access to credit,” says Hasselle. “There’s much greater scrutiny of personal finances, and the interpretation of rules is more varied.” This, Hasselle contends, means brokers have an increasingly important role in the modern finance landscape. They need to step into the role more effectively and look at better ways to service existing clients while attracting customers who may not have previously used brokers. “The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry has made bank employees far more nervous about making decisions in favour of the client,” says Hasselle. “But that’s where experienced mortgage brokers step in to help. It’s our duty to help customers gain that competitive edge.” Everyday borrowers – families and small businesses – are the parties who are most vulnerable to the often-complex borrowing rules of the banks, notes Hasselle. “The new credit rules can be a roadblock to securing a home loan, particularly if they’ve had a few rejected applications already,” says Hasselle.
“The level of experience we possess is a crucial asset.” In practical terms, Hasselle notes that brokers must be willing to look outside the traditional banking mould. Non-banks and other non-conforming lenders will have an increasingly important role to play in providing Australians with credit, and Hasselle intends to take full advantage of this to benefit his clients. “Every year, religiously, we provide our clients with a home loan review to ensure they’re getting the right deal for their needs. I know that my team and I are going to provide our customers with a level of care and attention to detail they may not receive if they walk into a bank. A bank teller doesn’t have the expertise that we do when it comes to dealing with complex financial situations.”
Future plans With office locations in Burleigh Heads, Palm Beach and Miami, it is a sign that the business is growing and brokers are increasingly in demand. Day-to-day, it has meant a shift in Hasselle’s role too – good service and increased market share is not going to come by accident, he notes.
Number of employees: 9 Awards: Mortgage Choice Awards: • Rookie of the Year 2007 • High Flyer 2008-2018 • Business Excellence Awards – Queensland Multi Operator of the Year 2013, 2018 Industry awards: • 2019 MFAA Excellence Awards Finalist Finance Broker Business Award
“My role has changed to encompass a lot more people management; we’re not just a small business anymore,” says Hasselle. But whatever the future holds, Hasselle is confident about the future of the industry. He still looks forward to growing market share and helping more Australians realise their property dreams. “I still love doing what I do – I’m very passionate about it.”
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PEOPLE
CAREER PATH
TO FINTECH AND BEYOND Tradeplus24 managing director Adam Lane gave up university – but it hardly hindered his rise in the financial services industry Adam Lane left uni behind, taking a job as a telephone adviser for a UK High Street bank where he helped customers do everything from transferring money to checking balances in a pre-internet banking world. His manager saw potential in him and promoted him to business development manager and then to product manager. “As a not very wise 18-year-old, I decided university wasn’t for me and instead joined the workforce.”
1997
APPRECIATES LEADERSHIP Lane left his hometown to move to Leeds, where he joined GE Capital as a commercial manager, handling the company’s relationship with Walmart for a white-labelled personal loan product and was later part of a deal team responding to a tender to offer Virgin products. “It was at GE that I learned how a strong sense of economics was imperative to success in financial services. I became a leader for the first time at GE, and I began to appreciate that leadership is not as easy as it looks – it’s somewhat of a life’s work and something that needs consistent attention to try and master.”
DROPS OUT OF UNIVERSITY
2009
MOVES TO AUSTRALIA Lane joined his parents and sister in Australia and took a commercial manager position at Coles Group. He soon moved to the client side of the relationship to manage the credit card partnership Coles had with GE Capital. “Whilst at Coles, I helped the team launch Coles Home and Car Insurance. It was a great achievement for such a small team that focused on a full service within a FMCG business that was in a turnaround mode.”
2017
LEADS A TEAM In the role of general manager, Lane was responsible for a team of 250 staff involved in a range of disciplines. At a time when NAB was transforming its customer delivery model, Lane was accountable for more than 100,000 customer relationships. “I am proud about a number of accomplishments in this role, particularly around learning from mistakes made early and trusting my team to deliver by giving them autonomy to deliver better results for customers.”
2019 and beyond
STREAMLINES THE PROCESS While Lane and his team at Tradeplus24 acknowledge that a credit shortage exists for Australian SMEs, they are confident that their unique cash-flow solution can assist many Aussie businesses with the help of commercial brokers. “We are committed to lending responsibly and to leveraging the best elements of what we learned in corporate life whilst avoiding bureaucracy, internal politics or anything that gets in the way of delivering to customers.”
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2006
2011
ASSUMES BIG ROLES Lane became the senior product manager and head of product management for credit cards and deposits at NAB. Three years later, he was named head of transactional direct, leading a team that helps businesses and corporate clients with payments solutions. He was later tapped to lead a pilot customer journey program that boosted the bank’s transactional business revenue. “The accomplishments I am most proud of are the people I had led and the impact I had on their careers – many of them have gone on to achieve tremendous success – and renegotiating multimillion-dollar contracts with Qantas, Mastercard and Amex.”
2019
JOINS A START-UP As managing director of Credit Suisse-backed start-up Tradeplus24, Lane is “responsible for most things and accountable for almost everything” as the firm prepares its launch in Australia with the help of its parent company in Zurich.
“The diversity and challenge of starting something from scratch is what I really love about the role”
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PEOPLE
OTHER LIFE
TELL US WHAT YOU GET UP TO Email rebecca.pike@keymedia.com
“It’s about the great outdoors, and Australia has some of the greatest riding terrains in the world”
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Age when Simpson first rode a motorbike
1,000km
Distance Simpson covered on his trip from Cairns to Cape York
2
Number of tracks near his home where Simpson rides regularly
THE ROAD LESS TRAVELLED Smartline personal mortgage adviser Ian Simpson can spend days cutting through open terrain on his off-road bike GROWING UP on a farm in central western NSW, Smartline personal mortgage adviser and 2018 MPA Top 100 Brokers finalist Ian Simpson discovered at a young age that riding an off-road motorbike ignites his adrenaline like nothing else. From then on, his skill with the mean machine grew, ultimately taking him to various parts of the globe, including India, England and Thailand.
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“When I was 26, a mate and I rode two Royal Enfield motorbikes across India for three months. And a few years ago, I did a week-long trip from Cairns to Cape York with a group of friends,” he says. “I have a lot more of Australia that I want to explore, but at the moment, I am mainly riding off-road doing enduro and motocross in central NSW with my son and a few mates.”
Simpson loves riding off-road motorbikes for the amount of skill and physical challenge it requires, particularly on harder rides. He has also found that it is “a great thing to do” with those closest to him. “I ride with a few clients and fellow mortgage brokers, but overall, it’s something I do with my kids and family,” Simpson says.
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