Have politicians been guilty of providing unlicensed advice?
The Australian Securities and Investments Commission (ASIC) has again been asked to make a judgement on whether politicians are breaching financial planning laws by making recommendations around the use of early release superannuation.
The Government’s hardship early release superannuation regime may have ended at midnight on 31 December, but Federal Opposition members are questioning whether social media comments by Victorian Liberal backbencher, Tim Wilson, represent a breach because they amount to the provision of unlicensed financial advice.
The Labor politicians have pointed to social media comments by Wilson in which he states: "Aiming to buy a first home and struggling to save the deposit? For 4 more days you may be able to access your super savings now to bring a purchase forward: earlier & cheaper. #HomeFirstSuperSecond - you’ll have a better life & a better retirement”.
The social media comment by Wilson immediately prompted Labor front-bencher and former shadow Treasurer, Chris Bown to state: “Mr Wilson is giving financial advice here. Unless he is a trained and licensed financial adviser he has some explaining to do”.
Bowen also pointed out that the “rules state early access is for hardship, not a house deposit. He has advised people to act in breach of the rules”.
The issue of politicians giving “advice” around early release superannuation has been referred to ASIC before, but it previously decided to investigate but not to act with respect to comments made by NSW Liberal Senator, Andrew Bragg.
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