Following the collapse of major funds, Australian advisers are increasingly turning to self-licensing to gain control, with technology and autonomy driving the trend as regulators debate balancing advice independence with consumer protection.
The recent collapse of the Shield and First Guardian funds has accelerated a shift in the Australian advisory sector, with a growing number of advisers exploring self-licensing as a way to regain control of their practices and manage reputational and operational risk.
According to the original report in Financial Newswire, self-licensing specialist My Dealer Services (MDS) said the fund failures had “shaken” advisers and prompted them to reassess the “costly… and reputational dangers” of operating under large licensees. MDS managing director Alex Euvrard told Financial Newswire the events had highlighted that many advisers lack oversight of “systems, processes and even Approved Product List (APL) selection”, and that advisers were approaching MDS seeking “more control over their own destiny”. The company claims it grew the number of self-licensees it services by 20% to 120 in 2025 and that it has shepherded its more than 400 adviser members through new Financial Adviser Register requirements.
MDS’s head of strategy, Ashley Mahadeea, told the same outlet the firm had prepared for an expected influx in 2026 by adding supplier partnerships and upgrading services: “MDS has also introduced 10 new and five enhanced supplier partnerships this year that give MDS members access as well as pricing benefits to best-in-class providers. These included platinum and gold partnerships with Morningstar, HUB24, Lonsec and intelliflo.” The company said it would continue to offer hands-on compliance support, boost advocacy for self-licensing and lift internal technology to create greater efficiency.
Industry voices and recent research underscore two complementary drivers behind the move to self-licensing: autonomy and technology. In an account of his own move to a bespoke AFSL, Tribeca Financial CEO Ryan Watson told IFA that self-licensing delivered “freedom and flexibility”, enabling timelier, values-driven decisions and the ability to place client interests ahead of corporate templates. Separate research reported by AdviserVoice found that nearly half of advisers are transitioning to self-licensing, citing digital tools that improve client interaction and streamline reporting as central to making micro-AFSL models viable and to closing the advice gap.
At the same time, policy debate is intensifying about how to balance adviser independence with consumer protection. A green paper examined by Professional Planner proposes reforms to the AFSL framework that would raise the accountability of advisers and micro-licensees , including a suggestion from the Financial Services Council that individual advisers hold their own Professional Indemnity (PI) insurance. Critics warn such measures could raise costs, erode affordability and push some advisers from the market, potentially undermining access to advice. The Professional Planner analysis stresses the need to weigh enhanced oversight against the sustainability of advice businesses.
The combination of regulatory scrutiny, market shocks and better plug-and-play technology is reshaping what it means to be a viable licence-holder. Proponents of self-licensing argue smaller licensees can now assemble leading compliance, software, investment and practice-management functions previously concentrated in larger groups, while retaining discretion over product selection and client treatment. MDS frames its expanded supplier partnerships as evidence that scaleable support is available to micro-AFSLs.
Nevertheless, industry observers caution that the transition is not risk-free. The green paper debate points to unresolved questions about liability, consumer safeguards and the cost of compliance for smaller operators. Market participants will be watching how regulators respond to the twin pressures of protecting consumers after high-profile fund failures and ensuring that reforms do not unintentionally shrink the pool of advisers.
For advisers weighing options, the practical calculus appears to rest on three factors: the desire for autonomy, the capacity to absorb compliance and insurance costs, and access to technology and third-party providers that can replicate the infrastructure of larger licensees. As one sector founder put it to Financial Newswire, advisers value self-licensing “as a way to control their business and make their own choices about how they treat their clients and where they place their money without the scrutiny of a parent licensee and being dictated to by templates.”
Industry data and recent commentary suggest 2026 could be a pivotal year for self-licensing uptake, shaped by regulatory decisions on AFSL reform, the practical availability of scalable support services and the lingering effect of recent fund collapses on advisers’ appetite for corporate affiliation. The debate over how best to balance adviser freedom with consumer protection is likely to intensify as more firms test the micro-AFSL model and policymakers consider measures to raise accountability without undermining the economics of advice.
- https://financialnewswire.com.au/financial-planning/more-advisers-recognising-self-licensing-benefits/ – Please view link – unable to able to access data
- https://www.ifa.com.au/news/34626-freedom-and-flexibility-the-benefits-of-self-licensing – This article discusses the advantages of self-licensing for financial advisers, highlighting increased autonomy and the ability to make client-centric decisions without corporate constraints. It features insights from Ryan Watson, CEO of Tribeca Financial, who shares his experience of leaving a previous licensee in 2016 to establish his own Australian Financial Services Licence (AFSL). Watson emphasizes the freedom and flexibility that self-licensing provides, allowing for timely and values-driven business decisions. The piece underscores the growing trend of advisers seeking self-licensing to enhance their operational independence and client service.
- https://www.professionalplanner.com.au/2025/07/licensing-green-paper-looks-to-raise-accountability-of-advisers-and-micro-afsls/ – This article examines a green paper proposing reforms to the Australian Financial Services Licence (AFSL) system, aiming to enhance oversight and accountability for financial advisers and micro-licensees. The Financial Services Council (FSC) suggests that individual advisers should carry their own Professional Indemnity (PI) insurance to create a more direct form of accountability. However, the article critiques this proposal, arguing that it could lead to increased costs and reduced affordability of financial advice, potentially driving advisers out of the industry. The piece highlights the need for careful consideration of such reforms to balance accountability with the sustainability of financial advice services.
- https://www.adviservoice.com.au/2025/08/bridging-the-advice-gap-with-technology-increases-flexibility-for-self-licensees-new-research-shows/ – This article presents research indicating that self-licensed financial advisers are increasingly leveraging technology to enhance flexibility and bridge the advice gap. The study highlights that nearly half of advisers are transitioning to self-licensing, driven by the desire to provide high-quality advice and the challenges of maintaining profitability within traditional licensee structures. The piece emphasizes the role of digital tools in improving client interactions and streamlining reporting processes, enabling self-licensees to operate more efficiently and effectively meet client needs.
- https://www.professionalplanner.com.au/2025/07/licensing-green-paper-looks-to-raise-accountability-of-advisers-and-micro-afsls/ – This article examines a green paper proposing reforms to the Australian Financial Services Licence (AFSL) system, aiming to enhance oversight and accountability for financial advisers and micro-licensees. The Financial Services Council (FSC) suggests that individual advisers should carry their own Professional Indemnity (PI) insurance to create a more direct form of accountability. However, the article critiques this proposal, arguing that it could lead to increased costs and reduced affordability of financial advice, potentially driving advisers out of the industry. The piece highlights the need for careful consideration of such reforms to balance accountability with the sustainability of financial advice services.
- https://www.professionalplanner.com.au/2025/07/licensing-green-paper-looks-to-raise-accountability-of-advisers-and-micro-afsls/ – This article examines a green paper proposing reforms to the Australian Financial Services Licence (AFSL) system, aiming to enhance oversight and accountability for financial advisers and micro-licensees. The Financial Services Council (FSC) suggests that individual advisers should carry their own Professional Indemnity (PI) insurance to create a more direct form of accountability. However, the article critiques this proposal, arguing that it could lead to increased costs and reduced affordability of financial advice, potentially driving advisers out of the industry. The piece highlights the need for careful consideration of such reforms to balance accountability with the sustainability of financial advice services.
- https://www.professionalplanner.com.au/2025/07/licensing-green-paper-looks-to-raise-accountability-of-advisers-and-micro-afsls/ – This article examines a green paper proposing reforms to the Australian Financial Services Licence (AFSL) system, aiming to enhance oversight and accountability for financial advisers and micro-licensees. The Financial Services Council (FSC) suggests that individual advisers should carry their own Professional Indemnity (PI) insurance to create a more direct form of accountability. However, the article critiques this proposal, arguing that it could lead to increased costs and reduced affordability of financial advice, potentially driving advisers out of the industry. The piece highlights the need for careful consideration of such reforms to balance accountability with the sustainability of financial advice services.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The narrative is recent, published on 12 December 2025. The earliest known publication date of similar content is 12 December 2025. The report is based on a press release from My Dealer Services (MDS), which typically warrants a high freshness score. No discrepancies in figures, dates, or quotes were found. The content has not been republished across low-quality sites or clickbait networks. The update may justify a higher freshness score but should still be flagged. ([financialnewswire.com.au](https://financialnewswire.com.au/financial-planning/more-advisers-recognising-self-licensing-benefits/?utm_source=openai))
Quotes check
Score:
9
Notes:
The direct quotes from MDS Managing Director Alex Euvrard and Head of Strategy Ashley Mahadeea are unique to this report. No identical quotes appear in earlier material. The wording of the quotes matches the original report. No variations in quote wording were found. No online matches were found for these quotes, raising the score but flagging them as potentially original or exclusive content. ([financialnewswire.com.au](https://financialnewswire.com.au/financial-planning/more-advisers-recognising-self-licensing-benefits/?utm_source=openai))
Source reliability
Score:
7
Notes:
The narrative originates from Financial Newswire, a reputable organisation in the financial sector. However, it is a single-outlet narrative, which introduces some uncertainty. The report is based on a press release from MDS, which typically warrants a high reliability score. No unverifiable entities or fabricated information were identified. ([financialnewswire.com.au](https://financialnewswire.com.au/financial-planning/more-advisers-recognising-self-licensing-benefits/?utm_source=openai))
Plausability check
Score:
8
Notes:
The claims about the shift towards self-licensing among financial advisers are plausible and align with recent industry trends. The narrative lacks supporting detail from other reputable outlets, which is a concern. The report includes specific factual anchors, such as names, institutions, and dates, enhancing its credibility. The language and tone are consistent with the region and topic. No excessive or off-topic detail unrelated to the claim was noted. The tone is professional and resembles typical corporate or official language. ([financialnewswire.com.au](https://financialnewswire.com.au/financial-planning/more-advisers-recognising-self-licensing-benefits/?utm_source=openai))
Overall assessment
Verdict (FAIL, OPEN, PASS): OPEN
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The narrative is recent and based on a press release from MDS, which typically warrants a high freshness score. The quotes are unique and potentially original. The source is reputable but a single outlet, introducing some uncertainty. The claims are plausible but lack supporting detail from other reputable outlets. The language and tone are appropriate. Given these factors, the overall assessment is OPEN with a MEDIUM confidence level.