ASIC consults on proposals about advice fee consents and independence disclosure

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ASIC has issued Consultation Paper 329 Implementing the Royal Commission recommendations: Advice fee consents and independence disclosure (CP 329). CP 329 seeks feedback on: draft legislative instruments that deal with advice fee consents and independence disclosure; and a proposal to issue more guidance in Regulatory Guide 245 Fee Disclosure Statements (RG 245) to help industry meet obligations around

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ASIC and APRA welcome law reform on superannuation regulator roles

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The Australian Securities and Investments Commission (ASIC) and the Australian Prudential Regulation Authority (APRA) have jointly welcomed the proposed legislative reforms increasing the role of ASIC in superannuation. In response to recommendations from the Financial Services Royal Commission (FSRC), on 31 January the Treasurer released exposure draft legislation for consultation. The draft legislation introduces important reforms

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ASIC and APRA welcome law reform on superannuation regulator roles

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The Australian Securities and Investments Commission (ASIC) and the Australian Prudential Regulation Authority (APRA) have jointly welcomed the proposed legislative reforms increasing the role of ASIC in superannuation. In response to recommendations from the Financial Services Royal Commission (FSRC), on 31 January the Treasurer released exposure draft legislation for consultation. The draft legislation introduces important reforms

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ASIC releases report on financial advice provided by superannuation funds

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ASIC has released Report 639 Financial advice by superannuation funds. This report examines the ways in which superannuation funds help members obtain financial advice and the quality of personal advice obtained through the funds. In conducting the work, ASIC surveyed 25 superannuation funds about how they help members obtain financial advice (survey) and reviewed a sample

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ASIC warns trustees on new rules for Putting Members’ Interests First

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ASIC has called on superannuation trustees to improve the standard of communication to fund members about important reforms impacting member insurance arrangements. As a result of the recent Putting Members’ Interests First (PMIF) reforms, by 1 December 2019 superannuation trustees are required to write to members with a balance of less than $6,000. These members

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ASIC urges consumers to question whether SMSFs are right for them

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ASIC has warned Australian investors considering establishing their own self-managed superannuation fund (SMSF) to be particularly aware of the potential downside to such a strategy, and that many Australians set up SMSFs that are inappropriate for their circumstances. ASIC has identified eight ‘red flag’ situations which, together or in part, would make it extremely unlikely

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Consumers see value in financial advice, but lack of trust remains an issue

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New ASIC consumer research released reveals the barriers faced by consumers when considering financial advice. ASIC’s Report 627, Financial advice: What consumers really think (REP 627) presents independent research into consumer experiences of, and attitudes towards, financial advice and the advice industry. The research focused on the overall use of financial advisers, motivators and barriers to seeking personal

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Details for public hearings on ASIC’s responsible lending guidance announced

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ASIC will hold public hearings in Sydney on the 12th of August and Melbourne on the 19th of August. The hearings are part of the wider public consultation on ASIC’s guidance on the responsible lending obligations. It will allow ASIC to test particular issues raised in submissions. More information about the consultation, including the current Regulatory

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ASIC has warned superannuation trustees about influencing employers’s choice of default fund through improper inducements

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ASIC has issued guidance to superannuation trustees, reminding them that using improper inducements to influence employers in their choice of default fund is illegal. The guidance set out in Infosheet 241, draws attention to the recently amended s68A of the Superannuation Industry (Supervision) Act 1993.It also illustrates how s68A applies in common scenarios to ensure that

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Industry funding reminder for financial services licensees

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ASIC has reminded Australian financial services and Australian credit licensees who have industry funding obligations to factor in the time it may take ASIC to assess applications to cancel or vary their licence, as part of any measures by licensees to reduce the industry levy they are charged for the 2019-20 financial year. ASIC Commissioner

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