ASIC’s example SOA: page by page breakdown
* Page 1: Title and contact details of financial planners, plus a pointer to ASIC’s Fido web site.
* Page 2: Summary of the advice, for example: “I recommend Joe gets $800,000 of life and TPD
[total and permanent disability insurance] cover from his super fund.”
* Page 3-4: Client’s personal details (goals and objectives, financial information, risk profile).
* Page 5-6: Actual advice (where the money is going), and why it is appropriate for the client.
* Page 7: Does the advice have disadvantages? What are they?
* Page 8: What the advice does not deal with (eg, tax issues, superannuation).
* Page 9-10: How the adviser gets paid, including a break down of fees, commissions, dial ups, rebates.
* Page 11: Ownership arrangements: Is the financial planning practice associated with the recommended products?
* Page 12: Authority to proceed: Client ticks-off brief checklist confirming that the adviser has informed
them adequately.
AUTHOR
Recommended for you
As the government announces a public inquiry into the collapse of Dixon Advisory, risk adviser Richard Silberman has detailed the three areas that typically lead to an AFSL's collapse.
With a growing number of advisers now running their own business, they need to pivot their career identity to being a business owner rather than just as a financial adviser if they want to futureproof their business.
Zenith Investment Partners has launched a range of new managed account portfolios over the past quarter, including on Insignia Financial’s Expand platform.
The financial services technology firm has officially launched its digital advice and education solution for superannuation funds and other industry players.
