Humans “are fantastically adept at rationalising and believing what we want to believe.” The Royal Commission received fascinating research on conflicts of interest and why financial advisers compromise best interests duty.
Tag Archives | conflicted advice
Many people have changed their minds on whether the Royal Commission was a good idea. What the fact-finding reveals though is an age-old lesson in economics: outcomes gravitate toward incentives.
The Royal Commission’s attention switched from the big players to a small independent advice firm with only six staff, but it showed the potential for conflicted advice runs deep.