Financial planning firm agrees to external compliance review
Queensland-based financial planning firm and Australian financial services licence (AFSL) holder, Carwardine Financial Services Pty Ltd has been obliged to undergo an independent external review of its compliance with the financial services laws, following an Australian Securities and Investments Commission (ASIC) surveillance.
The ASIC surveillance, which concluded in September 2016, identified concerns surrounding compliance with the obligation to act in the best interests of clients and the appropriateness of advice provided to clients.
The regulator also said it had concerns about:
- Carwardine's resources to ensure that it complied with its obligations as a licensee and to carry out supervisory arrangements; and
- Carwardine's ability to ensure that its representatives complied with the financial services laws.
ASIC said the company had agreed to engage an independent expert who will review, assess and make recommendations regarding its compliance with the financial services laws. The expert will also assess whether recommendations made have been implemented effectively.
The independent expert will report to ASIC and Carwardine.
ASIC said the company had cooperated fully with ASIC's inquiries and that ASIC had acknowledged the constructive action taken by Carwardine to address its concerns.
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