Extend professionalism beyond planners says ASIC
The Australian Securities and Investments Commission (ASIC) has sent financial planners and other financial services players a message that they should climb aboard the professionalism agenda being outlined by the Financial Adviser Standards and Ethics Authority (FASEA) or risk further policy intervention.
ASIC’s new chairman, James Shipton used his address to the regulator’s annual forum in Sydney to note that an ASIC policy tool had been a catalyst for the formation of FASEA and that the regulator was prepared to pursue similar action in the future to broaden the imposition of professional standards across the industry.
“However, that isn’t the only way,” he said. “Another way is for the industry itself, working with standard setting and professional bodies, to promote and perhaps even require, professionalism within their sectors.”
“In other words, there is a window of opportunity for the industry to take the lead without the imposition of a regulatory catalyst,” Shipton said.
“Another very important point is that I do not exclude myself and my own organisation from the same responsibilities and standards we expect of industry. We are after all a key part of the financial ecosystem.”
The ASIC chairman said the regulator also needed to exhibit professionalism and there were changes underway that would make this even more evident.
“As you may know, legislation for industry funding for ASIC was enacted last year and the scheme will commence later this year,” he said. “For industry funding to work effectively and fairly, ASIC must continue its approach to transparency and engagement with a professional mindset. And this is something I am committed to making sure ASIC does.”
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