Brokers are time poor - advocacy should reflect that, says newly appointed CEO
Barely a month into his new role as chief executive of the FBAA, Leo Gagic has spent his time walking in a broker's shoes, understanding their concerns and working out what makes them tick.
Even ahead of joining the role, he was deep in research mode, getting to grips around what's happening in the industry.
He wasted no time engaging in a listening tour, asking “What does the experience look like? What's happening in the industry? And then trying to form a view around future opportunities”, he said in an interview with MPA.
That listening tour is a sign of things to come for Gagic – who was announced as the successor to outgoing FBAA veteran Peter White last month.
"The key thing for any senior leadership role is never assume," Gagic said. "The listening never stops. It's a continuation – that's what we've got to do."
He's applying the same logic to how the FBAA gathers member feedback on emerging issues, including a planned series of webinars on hot topics such as anti-money laundering and counter-terrorism financing (AML/CTF) compliance.
"We never assume that people know all about it," he said. "Let people know what's going on, give them the education, but ask for their feedback so we can represent them the right way."
Not the obvious choice
As an external hire, Gagic might not have been the obvious pick to lead the broker advocacy body. But his CV speaks volumes.
Gagic’s career has run through big banks, finance companies, a telco and a debt-collection company, with several years spent running operations at Liberty Financial, where he was, in his own words, “completely embedded in the broker network” and helped launch the country's first non-conforming finance offering before shifting into prime lending.
That breadth was exactly what the FBAA was after. "There was a Board appetite around how we harness all the good things we do, but also how we bring in a transformational leader who has a strong backbone in banking and finance," Gagic said.
He highlighted the core disciplines underpinning his career – "banking, lending, credit risk, underwriting operations" – arguing the regulatory and stakeholder challenges are consistent regardless of sector. "Whether it's debt-collection practices or financial counsellors dealing with vulnerable customers in financial hardship – it's all quite similar when you look at it that way."
A direct approach to AUSTRAC
That transformational mandate is already visible in how Gagic has approached advocacy.
Within a handful of weeks of starting, the FBAA issued a statement requesting a meeting with the Australian Transaction Reports and Analysis Centre (AUSTRAC) to seek clarity on AML/CTF obligations for members.
According to Gagic, the trigger was an FBAA member in Perth who had begun documenting an entire compliance regime around the changes.
"There's so much going on. Events everywhere, awards everywhere. And as a broker, I'm time-poor – I've got to focus on growing my business."
"I'm thinking, I don't know if you really need to do this," Gagic said of the broker’s onerous compliance practices. "I need to help you, and I'm not going to take the long path – I'm going to go direct and get some clarity." Gagic has since reached out directly to AUSTRAC chief executive Brendan Thomas, pushing for answers on whether commercial lending falls within scope.
"There's an obligation in this role," he said of the direct-to-source way he acts. "An obligation to our members to help them cut through the bureaucracy and red tape and get answers. Sometimes those answers aren't what people want to hear. But they need an answer – they need clarity. That's our role: to be the primary advocate."
That directness sits alongside a deliberate effort to stay diplomatic with the range of stakeholders – regulators, banks, ombudsman services – that any association chief must navigate.
"There are going to be times where you agree to disagree," Gagic said. "But it's about being diplomatic, approaching it with professionalism, and making sure we don't lose the strong voice that's been part of our DNA. If we think something's fundamentally not right, we're going to continue to call it out."
Simplifying the offer
Asked what has stood out most since starting, Gagic pointed to the sheer volume of activity brokers are expected to keep across. "There's so much going on. Events everywhere, awards everywhere. And as a broker, I'm time-poor – I've got to focus on growing my business."
His response is a plan to simplify the FBAA's service catalogue around where brokers sit in their business lifecycle – startup, growth or exit – rather than a one-size-fits-all suite of services. "It's almost like the Apple model. A simple set of products, you sell it, you do it well, and you get behind that."
Gagic wants education delivered through practical, real-world examples rather than theory, describing his approach as "sharing and stealing" – bringing in good ideas from across the network rather than reinventing them.
Building with Nick Sherry
Gagic isn't the only new face at the FBAA. Ex-Labor minister Nick Sherry was announced as new chair on the same day, a shared start that has fed straight into how the pair are shaping the organisation's direction.
"We're already working closely together – meeting regularly, very much aligned," Gagic said. "We both started the same day, and there's great synergy already."
Gagic described Sherry as bringing "another dimension in terms of skills, talent, background and capability" to the organisation, while stressing that board alignment doesn't change where his focus sits. "Remember, I'm here for the members," he said, "and I'm here to do what they need me to do."
Where to from here
Barely a month in, Gagic is clear that the early listening phase is the groundwork for a longer game. "For me, it's really about the next five, ten years," he said, "setting up for future success given all the changes and disruption in the industry”.
Whether that means AUSTRAC delivering the clarity he's chasing, or a simplified service model that actually lands with time-poor brokers, Gagic's direction of travel is clear.
