Sydney advice firm sees AFSL cancelled
ASIC has cancelled the Australian financial services licence (AFSL) of Sydney-based Brava Capital.
Brava was previously known as Dayton Way Securities between 2010 and August 2023.
ASIC said the licence cancellation took effect on 5 February 2024 after ASIC was notified that Brava Capital was no longer providing financial services. Brava had held an AFSL since 15 March 2011, which allowed it to provide financial product advice to retail and wholesale clients.
David Sutton, who was previously a director of Brava between 2010 and 2023, was permanently banned by ASIC on 29 June 2023 from providing any financial services, performing any function involved in the carrying on of a financial services business and controlling an entity that carries on a financial services business.
He was also disqualified by ASIC from managing corporations for five years in July 2023.
In October 2023, Brava was charged with criminal offences relating to the alleged failure to lodge financial accounts and an auditor’s report for each of the financial years from 30 June 2020 to 30 June 2022, following an ASIC investigation. The company pleaded not guilty and the matter was adjourned until 13 February 2024.
At the time, ASIC highlighted it is actively targeting breaches of financial reporting obligations, and failure to lodge audited financial statements may result in cancellation of a licensee’s AFSL.
This is the second Sydney firm to see its AFSL cancelled since the start of the year; Indie Advice, based in Newtown, saw its licence cancelled on 19 January 2024 after the regulator became aware that the firm had “not been providing financial services for some time” despite being authorised to provide financial advice to retail and wholesale clients.
Under the Corporations Act, ASIC has the power to suspend or cancel an AFSL if the licensee has ceased providing financial services.
AUTHOR
Laura Dew
Recommended for you
With regional and rural suburbs exhibiting high spare capacity to invest, Money Management speaks to three regional advisers on the opportunities beyond the major cities and the importance of a strong network.
Platform consolidation is expected to accelerate among financial advisers this year, as software company Finura pinpoints which two platforms are set to be the winners, thanks to this trend.
The software provider has made several appointments in its APAC wealth propositions team, with a focus on driving growth across digital advice, Xplan and strategic partnerships.
The platform has announced it plans to close its Xplore managed discretionary account service in 2026 which holds $2 billion in funds under administration.
