No room for RBA in regulatory mix – IFSA

ifsa-chief-executive/financial-services-industry/retail-funds/industry-funds/australian-prudential-regulation-authority/IFSA/australian-securities-and-investments-commission/chief-executive/

14 December 2007
| By Mike Taylor |
image
image
expand image

Richard Gilbert

This week’s unprecedented Reserve Bank commentary on financial planning fee structures and superannuation fund comparisons has drawn a heated response from the Investment and Financial Services Association (IFSA).

IFSA chief executive Richard Gilbert has expressed deep concern at the comments made by RBA deputy governor Ric Battellino in circumstances in which he said there are already two Commonwealth regulators in the financial services space — the Australian Prudential Regulation Authority and the Australian Securities and Investments Commission.

He said that there was a need for clarity with respect to regulatory jurisdiction and this was something that was not being assisted by the comments made by Battellino.

Battellino earlier this week used an address to a finance and banking industry conference to discuss the impact of fees and charges on the relative returns provided by retail and industry funds.

He said that while it was difficult to isolate the exact cause of the underperformance of retail funds, an important contributing factor would have been that fees and expenses on retail funds were typically higher than for industry and corporate funds.

Gilbert said that the comments had been unhelpful in the context of the clearly defined regulatory roles within the Australian financial services industry.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

2 months ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months 1 week ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months 1 week ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

3 weeks 3 days ago

Minister for Financial Services, Stephen Jones, has provided further information about the second tranche of the Delivering Better Financial Outcomes (DBFO) reforms....

2 weeks 1 day ago

One licensee has lost 27 advisers in the past week, now sitting at zero, according to the latest Wealth Data figures....

3 weeks 3 days ago

TOP PERFORMING FUNDS