The Crackdown by Asic on Rogue Financial Advisors over the Past 15 Years, Has Improved Customer Confidence When Seeking Advice Regarding Their Retirement Financial Needs. Do You Agree?
The crackdown by ASIC on rogue Financial Advisors over the past 15 years, has improved customer confidence when seeking advice regarding their retirement financial needs.
Do you agree?
The Australian Securities and Investment Commission (ASIC) are known to register businesses and organisations in order to manage and investment schemes. In today’s society they also make rules to ensure there is honesty in the financial markets. These schemes and rules have come into place over the past fifteen years as customers were not feeling comfortable as well as experiencing non honest financial advisors in the past. There have been many circumstances where consultant firms and employees have been slack with the care of information and or guidance to their clients, especially those within the retirement age as they are less likely to understand the new financial trends or products leaving them to decide anything the advisor suggests. This issue results in a loss of customers as well as the want for reimbursement from the firms due to the experience. This being the reason customers lacked confidence in the financial advising business. However, this has changed as ASIC has come a long way in the past 15 years and has been able to get specific regulations approved by legislations resulting in better financial advice. ASIC released this September, a Future of Financial Advice (FOFA) paper that outlines improvements such as managing conflict on the remuneration ban and building there requirements. Due to ASIC realising that good customer feedback and sureness on the service needs to be managed and improved. The fundamental products ASIC focuses on is to make the relationship between the distribution and advice about products such as managing investments, superannuation, platforms and margin loans within a manner that is acceptable within the ASIC guidelines. Although this paper does suggest improvements, there are some areas which have not been improved and unethical
Do you agree?
The Australian Securities and Investment Commission (ASIC) are known to register businesses and organisations in order to manage and investment schemes. In today’s society they also make rules to ensure there is honesty in the financial markets. These schemes and rules have come into place over the past fifteen years as customers were not feeling comfortable as well as experiencing non honest financial advisors in the past. There have been many circumstances where consultant firms and employees have been slack with the care of information and or guidance to their clients, especially those within the retirement age as they are less likely to understand the new financial trends or products leaving them to decide anything the advisor suggests. This issue results in a loss of customers as well as the want for reimbursement from the firms due to the experience. This being the reason customers lacked confidence in the financial advising business. However, this has changed as ASIC has come a long way in the past 15 years and has been able to get specific regulations approved by legislations resulting in better financial advice. ASIC released this September, a Future of Financial Advice (FOFA) paper that outlines improvements such as managing conflict on the remuneration ban and building there requirements. Due to ASIC realising that good customer feedback and sureness on the service needs to be managed and improved. The fundamental products ASIC focuses on is to make the relationship between the distribution and advice about products such as managing investments, superannuation, platforms and margin loans within a manner that is acceptable within the ASIC guidelines. Although this paper does suggest improvements, there are some areas which have not been improved and unethical