Brokers aren't leaving it up to their associations and aggregators any more-- they're taking a stand
Brokers aren't leaving it up to their associations and aggregators any more-- they're taking a stand
As a broker right now, it feels like you’re on unsteady ground. Everything seems to be shifting underfoot – but not always for the worse.
The latest “structural shift” was delivered in AFG’s Competition Index for June 2018, which revealed that major and non-major banks have almost reached parity when it comes to loan flows originated by the aggregator’s 3,000-strong broker network.
Major lenders claimed 59% of those brokers’ mortgages at the end of May, continuing a five-month slide for the majors, while the non-majors captured 40.9% of home loans.
On page 12, we interview AFG CEO David Bailey, who talks about the importance of the channel and a future of unknowns.
This past month also saw a positive break for brokers as the MFAA released a data-heavy media blitz. Brokers have been asking and demanding a public defence of the industry. Now they’ve got it.
Conveniently, brokers also had a strong March quarter, settling $46bn in home loans, the largest March quarter by value since the MFAA began collecting data in 2012. Brokers captured 55.3% of the home loan market, which the MFAA says shows sustained consumer confidence in the channel.
But brokers aren’t just leaving it up to associations and aggregators. On mpamagazine.com.au, we wrote about Launch Finance director Steve Milligan’s white paper on the value of finance brokers and positive consumer outcomes; and about the new broker advocacy group, Mortgage Broker Forum, which was spearheaded by some of the most decorated loan writers in the country.
In this issue, we have plenty of good-news stories and firsts for MPA. In our Top BDMs feature (page 30), you’ll find the faces and stories of some of the most committed, experienced and passionate BDMs in the business. We also have pictures and highlights from our inaugural MPA Broker Business Exchange. And we reveal what brokers have to say about their aggregators in our annual Brokers on Aggregators report.
It’s worth looking at how these groups are innovating and evolving to ensure brokers’ businesses remain prosperous. At the end of the day, lenders, aggregators, associations, industry media, and more than 50% of the Australian population are all relying on brokers.
Otiena Ellwand
editor,
MPA
