The Financial Planning Association (FPA) wants the Industry Super Network (ISN) to stop its advertising campaign against adviser payments.

“I call on the ISN to immediately desist from its disgraceful fear campaign of half-truths and hypocrisy, directed at wreaking maximum damage on all Australians – their own industry superannuation members included,” FPA CEO Mark Rantall said.

The ISN, which represents union-backed and public service superannuation funds, is running a campaign arguing that many members of retail funds are paying for advice they don’t receive.

The campaign is promoting up-front fees – which are available from industry funds – as an alternative.

The FPA says the many members of industry funds who do not receive financial advice are cross-subsidising those members who do.

“We are in the midst of a democratic political process to fundamentally reform an already world-class regulatory regime under which financial planners operate in Australia,” Mr Rantall said.

“That process, the Future of Financial Advice (FOFA), should run its course without being derailed by veiled political messages dressed up as consumer advocacy – the likes of which we see perpetrated on working Australians by the ISN through this advertising campaign.

“It is telling that the ISN sees fit to launch a fresh fear campaign on the retirement planning and savings of working Australians while conveniently ignoring the many faults in its own backyard.”

The FPA says the ISN’s real agenda is the elimination of competition and destruction of financial advice for Australians.

To counter the advertising campaign, the FPA has sent a communiqué to its members to give to clients explaining fee structures and how it has banned conflicted remuneration practices.

“Given the timing of its latest fear-mongering we know [the ISN] will stop at nothing to further its self-interested attempts to shut down competition, kill off financial planning services other than its own and extract maximum political advantage.

“Any submission made to the FOFA reform process by the ISN must be discredited, and seen for what it is: politically motivated self-interest with scant disregard for working Australians.”