Australian Corporate Bond Co pays up for misleading statements

ACBC

image
image
expand image

Australian Corporate Bond Company (ACBC) has been fined $25,200 after an investigation by the Australian Securities and Investments Commission (ASIC) found it had made misleading promotional statements on its website in 2017.

Following an investigation, ASIC was concerned ACBC’s comparison of the key attributes of term deposits and exchange-traded bonds (XTBs) represented an investment in the latter as carrying an equivalent or substantially the same risk as investments in the former, while producing a higher return.

The corporate regulator was concerned the statements were misleading because the risk involved in an investment in XTBs was not equivalent to, or substantially the same as, that in term deposits.

ACBC amended the statements in response to ASIC’s concerns.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

This verdict highlights something deeply wrong and rotten at the heart of the FSCP. We are witnessing a heavy-handed, op...

5 hours ago

Interesting. Would be good to know the details of the StrategyOne deal....

4 days 10 hours ago

It’s astonishing to see the FAAA now pushing for more advisers by courting "career changers" and international recruits,...

3 weeks 2 days ago

Insignia Financial has made four appointments, including three who have joined from TAL, to lead strategy and innovation in its retirement solutions for the MLC brand....

2 weeks 4 days ago

A former Brisbane financial adviser has been charged with 26 counts of dishonest conduct regarding a failure to disclose he would receive substantial commission payments ...

3 days 8 hours ago

Pinnacle Investment Management has announced it will acquire strategic interests in two international fund managers for $142 million....

2 days 11 hours ago