AMP on brink of additional fees for no service breach

amp mike wilkins fees for no service breach financial planning Banking Royal Commission RC AMP Limited Financial Services review superannuation funds super funds super members

28 November 2018
| By Mike |
image
image
expand image

AMP Limited is worried that it may have another fees for no service case on its hands.

The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry revealed that AMP has discovered incidents as recently as mid-October relating to the charging of fees where no financial advice services were provided.

The revelation came as AMP acting chief executive, Mike Wilkins was giving testimony to the Royal Commission in which he confirmed the company was currently conducting a detail historical review of the fees of the planned service fees within its superannuation funds.

He agreed that an initial and high level assessment had indicated that there were policy and control gaps in the management and monitoring of fees charged to workplace super members and for fees received by AMP advisers.

Wilkins also confirmed that AMP had identified eight incidents as at 17 October 2018 with respect to charging of planned service fees and the provision of services.

However, while the AMP CEO could confirm that the incidents were being investigated he could not confirm that they had been breach reported to the Australian Securities and Investments Commission (ASIC).

Asked by counsel assisting the commission whether there was a risk that AMP might have another fees for service case on its hands, Wilkins responded “yes”.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

This verdict highlights something deeply wrong and rotten at the heart of the FSCP. We are witnessing a heavy-handed, op...

1 day 12 hours ago

Interesting. Would be good to know the details of the StrategyOne deal....

5 days 18 hours ago

It’s astonishing to see the FAAA now pushing for more advisers by courting "career changers" and international recruits,...

3 weeks 3 days ago

Insignia Financial has made four appointments, including three who have joined from TAL, to lead strategy and innovation in its retirement solutions for the MLC brand....

2 weeks 5 days ago

A former Brisbane financial adviser has been charged with 26 counts of dishonest conduct regarding a failure to disclose he would receive substantial commission payments ...

4 days 16 hours ago

Pinnacle Investment Management has announced it will acquire strategic interests in two international fund managers for $142 million....

3 days 19 hours ago