Australian financial services industry is set to welcome a new entrant, TOMORROW Super.
With a $5m pre-IPO funding round, TOMORROW will deliver a low cost, hassle free, transparent and financial advisor friendly solution to customers looking to take control of their wealth.
The funding round comes to market off the back of a recent $1.2m capital raise for commercialisation of TOMORROW’s superannuation, pension and direct investment platform.
TOMORROW Super confident about its market prospects
TOMORROW has studied and learned from the evolution of platforms in the U.S., including Charles Schwab, which were designed for the consumer but enjoy mass advisor support.
Crescent Wealth acquired an 8% stake and becomes the maiden platform client. TOMORROW is bringing a neo-banking customer experience to the world of superannuation and investment.
TOMORROW Super is the brainchild of former BT Financial Group executive Wes Hall.
Former King & Wood Mallesons Chairman and a Managing Partner, Frank Zipfinger will chair the board, with Professor Talal Yassine and UK based financial services veteran, Peter Nicholas.
“There are three trends when investing in Australia; activism through ESG investing, low cost, and the rise of the self-directed investor. TOMORROW will deliver on all three,” said Hall.
“Many existing ESG offers in the market feel too much like a one size fits all approach and they are not low cost, so we wanted to create a platform that allows an individual or a household to invest in a portfolio or specific companies that align to their values or interests.”
TOMORROW’s target market is about stage and not age, but Hall draws parallels from those who typically establish an self-managed super fund, usually aged in the 35-50 year bracket.
TOMORROW Super to disrupt traditional super market
“Many self-managed super fund (SMSF) customers don’t believe that traditional super options meet their needs and they are on the hunt for something offering better options.”
“They may want to run their own super in an SMSF but it’s much more challenging and there is a truism in the market that there is nothing self-managed about a self-managed super fund”.
“The platform offers many SMSF attributes but without the hassle and high costs.”
“By offering greater choice, transparency and control with a client-led and financial adviser proposition, we can address the difficulties Australians face with their super,” Mr Hall said.
TOMORROW Super provides a low cost digital alternative solution to the existing platforms in the market at a time where financial advice in Australia is experiencing rapid dislocation.
The Best Interest test and FASEA standards are re-shaping what and how advice is provided in Australia and how the emerging trend of episodic advice is embraced in the country.
TOMORROW is ideally placed to benefit from the transition to episodic advice.
TOMORROW Super eyes transition to episodic advice
Episodic advice is complementing traditional advice models in a dislocating Australian market and yet, adviser numbers are decreasing despite the need for advice growing.
The company will offer a low cost, managed account platform proposition that gives clients a guided journey, helping to choose between diversified actively managed and index portfolios.
These choices will be aligned to their values and interests and the portfolios that include a blend of managed funds, ETFs and direct Australian and international shares.
Outside of the managed portfolios, TOMORROW also will offer clients the ability to invest in Australian and US stocks and global brands such as Nike, IBM, Microsoft, Zip & Tesla.
“TOMORROW is positioned to take advantage of the changing dynamics of investing and financial advice in a way that builds a better consumer outcome.”
“We take pride in the concept as it delivers high margins and will be low cost. We know that the Australian superannuation industry has changed little over forty years.”
“It’s currently highly overpriced for what you get, and the customer experience and investment choices tend to be an afterthought, so it’s difficult to differentiate between funds.”
“TOMORROW Super, when launched will change this situation,” said Mr Hall.
In addition to Wes Hall as founder and CEO of TOMORROW Super, the executive team features chief product officer Tristan Laszok who will spearhead product development and client experience head Steve Bull, who will focus on ensuring the client experience is like no other.
Anne Fitzgerald will drive product strategy and commercialisation. TOMORROW is being assisted by Prime Financial Group’s Capital & Corporate Finance team.
TOMORROW is seeking investors in its current funding round, who have the unique opportunity to participate in the next generation of wealth management platforms.
TOMORROW Super is commencing a pre-IPO raise and sophisticated investors who want to be become a shareholder in the business can register their interest.
