They already have a distribution channel setup via Spectrum Wealth:
Article source from The Adviser:
While the brokerage largely focuses on home loans, Mr Punter says that it also deals with other types of loans such as equipment and asset finance, which has a “strong” return on time investment, and, increasingly, commercial loans.
But the biggest diversification piece for The Savings Centre is insurance. The CEO says that he became accredited with Spectrum to provide no-advice risk insurance in late 2016 and wrote three deals within the first month.
According to Mr Punter, one reason for expanding into insurance, aside from being a “pretty obvious and relatively seamless cross-selling opportunity”, was to ensure clients are aware of the risks of not having adequate measures in place to protect their assets.
With Mortgage Broker's being put through the ringer in the RC and Productivity Report and commissions being in question there is a high chance savvy brokers will begin to partner will insurers like Spectrum Wealth as a new source of revenue.
FIG Price at posting:
13.0¢ Sentiment: Buy Disclosure: Held