ASIC not looking into AMP BOLR issue
It is not in the "jurisdiction" of the corporate regulator to look into AMP’s strategy that would significantly reduce payouts from its buyer of last resort (BOLR) arrangements, the Australian Securities and Investments Commission (ASIC) has said.
Speaking at a Parliamentary Joint Committee today, ASIC chair, James Shipton said that the evidence surrounding the affected planners was a commercial dispute between the parties and it understood that the parties that were pursing this matter was to do with private rights or actions.
“There is no evidence it is within our jurisdiction and that’s where we view the matter,” Shipton said.
“…if there are further and better particulars on this matter than we would be very prepared to review that and amend our conclusion.”
The arrangements would see an exit of around 250 financial planners and when asked by Senator Deborah O’Neill on whether the exits and financial burdens it would place on the planners would be sufficient enough for ASIC to investigate, Shipton said that was a broader issue that the regulatory was aware of.
“We see the shifts commercially and environmentally in the industry and we are monitoring it because we are worried about unmet advice needs,” he said.
Recommended for you
Insignia Financial has announced a board director will be stepping down next year after almost a decade amid a board refresh.
Zenith Investment Partners has appointed a Brisbane-based business development manager, who previously led Fitzpatrick Private Wealth Partners as a director and senior adviser.
Praemium has said it is open to investing in artificial intelligence “in a big way” as it believes it can transform the business and details how it is already being used by the firm.
Sequoia has shared its strategic initiatives for FY25, including organically increasing its licensee market share and restructuring its specialist investment arm.