Former Macquarie Equities adviser banned
The Australian Securities and Investments Commission (ASIC) has banned a former Macquarie Equities Limited (MEL) authorised representative from providing financial services for five years as part of its Wealth Management Project.
ASIC banned Nicholas Kerr from Queensland after finding he carried out unauthorised discretionary trading on his client accounts, provided inappropriate advice, and generated false records.
MEL had banned its representatives from engaging in discretionary trading on behalf of clients since 2004. Discretionary trading is where a client authorises the financial adviser to invest on their behalf without requiring their directive before each transaction.
However, it was found Kerr, who was a representative of MEL from 2008 to 2013, engaged in discretionary trading on five client accounts, hence breaching financial services laws.
He deceived clients into believing he was authorised by MEL to run a discretionary trading account when he was not.
ASIC also found Kerr created false records that showed he had advised clients before trading when he had not.
MEL reported Kerr's conduct to ASIC.
Kerr's ban came after ASIC also banned three other MEL representatives in 2015 as part of its Wealth Management Project, including Ben Rickman, Shawn Hickman, and Brett O'Malley.
The project focused on the conduct of advisers in institutional firms, including Macquarie, AMP, NAB, Westpac, CBA, and ANZ.
AUTHOR
Malavika Santhebennur
Recommended for you
A relevant provider has received a written direction from the Financial Services and Credit Panel after a superannuation rollover resulted in tax bill of over $200,000 for a client.
Estimates for the calendar year 2024 put the advice industry on track for a loss in adviser numbers as exits offset gains from new entrants.
Adviser Ratings shares five ways that financial advice changed in 2024 with an optimistic outlook for 2025, thanks to the Delivering Better Financial Outcomes legislation.
National advice firm Invest Blue has announced several acquisitions, including the purchase of an estate planning and wealth protection business Lambert Group.
