Legislation

Just how thin the line that Berry walks becomes clear when he outlines the two paradoxical objectives of the CSLR. He has to highlight the worst in financial advice, while making it seem better and more trustworthy in the eyes of the public.

After the original Delivering Better Financial Outcomes bill was released in March, Treasury this week released an updated version for consultation. With minimal changes, there remains a significant bone of contention for the industry to wrestle with.

The data is a reminder that while this enormous shift of wealth is imminent, it won’t happen before its time. According to AMP, more education about the options available might instigate the process.

It’s an aspect of financial services regulation that was flawed from the outset and has become all but useless over time. The divergence in opinions on how to fix it could give some hint as to why it’s taken so long to address.

Like the Reserve Bank, ASIC is keenly aware that the rise of private markets, and especially private equity, creates both “upside and downside risks” to an efficient and fair economy. But it’s ASIC that sits in the first line of defence, and its new cohort of commissioners are determined to keep this burgeoning market clean.

Costs for the compensation scheme are spiralling out of control, with the FAAA estimating another $4,165 will be added to every adviser’s CSLR bill – bringing the estimated total to $5,709 – if the funding model isn’t re-examined.

The cost of living increased across all indexes in the March 2024 quarter. But while employee households carried the brunt of higher prices, self-funded retirees emerged relatively unscathed according to the Australian Bureau of Statistics.

After the Hayne Royal Commission many advisers decided to steer away from large dealer groups in favour of becoming self-licensed. In the last six months, however, that trend has taken an abrupt turn.

ASIC’s successful case against the rogue “licensee for hire” serves as a timely reminder of what can happen when AFSLs aren’t on top of their compliance responsibilities. Here are ten tips to avoiding the same fate.

The government’s reform package may be flawed, but it’s crucial that the first tranche goes through parliament before the next election, Abood said. Further delays will stall vital investment in the financial advice industry.

It was assumed by industry that a glaring gaffe in the government’s draft legislation, which forces super funds to assess every piece of advice before deducting advice fees, would be amended in the final bill.

There are several bones of contention that the FAAA, and the industry more broadly, has with the compensation scheme’s settings, despite supporting it in principle. At the heart of it is the government’s repeated willingness to foist retrospective punishment on the good for the sins of the bad.