Give FOFA time to work says AMP CEO
AMP chief executive, Craig Meller has called for the Future of Financial Advice (FOFA) and other financial services regulatory changes to be given time to work before the Government embarks on further reform.
Saying that the regulatory changes which have occurred over the past five years had cost AMP Limited hundreds of millions of dollars, Meller said the regime needed to be given time to work.
Addressing the Committee for the Economic Development of Australia (CEDA), the AMP chief executive said it needed to be remembered that the costs of change were ultimately passed through to consumers.
"Yet despite this, it seems there's a strong desire in some quarters to re-regulate — even before the effectiveness of the last round of re-regulation can be assessed," he said. "At AMP, we strongly believe the regulatory changes introduced in the last three years across prudential regulation, across consumer protection regulation and across superannuation regulation will work. But they need time to be implemented and time for their effectiveness to be assessed."
We are strong supporters of this Government's approach to letting these changes bed down before embarking on any further disruption to the financial services sector.
Recommended for you
The Reserve Bank of Australia (RBA) has lowered rates to a level not seen since mid-2023.
Financial Services Minister Stephen Jones has shared further details on the second tranche of the Delivering Better Financial Outcomes reforms including modernising best interests duty and reforming Statements of Advice.
The Federal Court has found a company director guilty of operating unregistered managed investment schemes and carrying on a financial services business without holding an AFSL.
The Governance Institute has said ASIC’s governance arrangements are no longer “fit for purpose” in a time when financial markets are quickly innovating and cyber crime becomes a threat.
