ASIC flags life/risk advice surveillance
The Australian Securities and Investments Commission (ASIC) has flagged its intention to conduct a surveillance of life/risk advice as part of its broader work on the Life Insurance Framework review.
ASIC commissioner, Danielle Press flagged the surveillance in an address to the National Insurance Brokers Association today noting that ASIC would be looking at “representative and random samples of life insurance advice”.
Press told the forum that since January, last year, ASIC had been collecting aggregate level data from life insurers every six months to assist with its 2021 LIF review.
“We are currently analysing the data collected to date, though it is still too early to comment on any real trends that may be attributed to the reforms,” she said. “In undertaking the review we will consider the factors identified by the Royal Commission and, if we think the reforms have not been effective, we will consider recommending to the Government that the cap on commissions be reduced further.”
Recommended for you
Sequoia Financial Group has declined by five financial advisers in the past week, four of whom have opened up a new AFSL, according to Wealth Data.
Insignia Financial chief executive Scott Hartley has detailed whether the firm will be selecting an exclusive bidder for the second phase of due diligence as it awaits revised bids from three private equity players.
Insignia Financial has reported a statutory net loss after tax of $17 million in its first half results, although the firm has noted cost optimisation means this is an improvement from a $50 million loss last year.
With alternative funds being described as “impossible” for fund managers to target towards advisers without the support of BDMs for education, Money Management explores the evolving nature of the distribution role.
