Saxby Bridge adviser banned
Former Saxby Bridge adviser Kevin William Fenwick has been banned for two years from giving investment advice by the Australian Securities and Investments Commission (ASIC).
In the past year, more than 27 advisers have been banned, including 15 who were permanently banned. Three advisers have been banned this year, with ASIC clamping down heavily on financial planners.
Kevin William Fenwick, of Miranda, Sydney, was an adviser for ABS Securities, a wholly owned subsidiary of Saxby Bridge.
Following an investigation, ASIC found Fenwich had failed to disclose to his clients the full extent of commissions he would earn as part of the investment.
He was also found to not have undertaken adequate product research into one of the investment products recommended, which affected the appropriateness of his advice. Fenwich also failed to advise other licensees who he represented about his becoming an adviser for ABS Securities.
ASIC also found that he recommended investments in high-risk, speculative tax-effective investment schemes when his clients had wanted a low risk, conservative investment strategy. This resulted in many of his clients having to borrow money to finance their investments and subsequently had prospective tax benefits denied by the ATO.
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
