Earlier this month ASIC revealed that six of Australia’s biggest banking and financial services institutions have paid or offered over $3 billion in compensation for financial advice-related misconduct. Much of this resulted from the 2018 Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry, the ripples from which are still being felt by licensees, advisers and investors today. The financial adviser Code of Ethics followed hot on [...]

Recent research shows trust in financial advisers has risen in Australia…however, 58 percent of prospective clients lack trust in advice. This article, proudly sponsored by GSFM, explores the inextricable links between trust and ethical practice in providing financial advice. The Oxford dictionary defines trust as: “The belief that somebody/something is good, sincere, honest, etc. and will not try to harm or trick you.” Not only does that definition encapsulate all [...]

2022 review of life insurance genetic testing moratorium In June 2022, Australia’s life insurers announced[1] their intention to cease their membership of the Financial Services Council (FSC) and form a new representative body, the Council of Australian Life Insurers (CALI). In 2019 a Moratorium[3]  on genetic testing in life insurance was introduced in response to a growing chorus of concern from consumer advocates and medical experts, it was designed to [...]

Field underwriting leads to better customer outcomes Field underwriting, in simple terms, is the information gathering and screening of risk advice clients, done by a financial adviser before an application is submitted to the life insurer’s own underwriters. In a sense it is like a triage process, with several benefits: it can help the adviser narrow down the strategic options for the client (for example based on their occupation or [...]