Financial Advisers

In the new-speak of the post-Thatcher years of British politics, the term "mis-selling," was coined to disguise the reality: customers for investment products were being sold things that were not in their best interests and they did not receive, as the law and regulation required, "best advice." Despite more than a decade of crack-downs on such practices, they just won't go away.

ASIC has imposed additional licence conditions on Australian Financial Services Limited (AFS) following a six month period of surveillance.

Former financial adviser, Mr John Vafiadis, previously of Hobart, Tasmania has appeared in the Hobart Magistrates’ Court charged with two counts of carrying on a financial services business without an Australian Financial Services licence (AFSL).

New Zealand's Securities Commission (SecCom) has today published a guidance note explaining its approach to granting exemptions under the Financial Advisers Act 2008 and providing information for potential applicants.

A company director has been found guilty of aiding an abetting his company to provide financial services without the required licence. Bad enough - but the products he sold included promissory notes in the notorious Westpoint scandal.

"Authorised Financial Advisers will be a reality from 1 December 2010. From that date advisers giving personalised investment advice to retail clients will be able to operate within the new regime," says Andrew Mayhew, Commissioner for Financial Advisers. He has published, in the Gazette, the date on which the Code of Professional Conduct for Authorised Financial Advisers (AFAs) comes into effect.

The Commissioner for Financial Advisers, David Mayhew, has urged advisers to get ready for the new regulatory regime. He also updated the Securities Commission's financial adviser implementation timetable. The announcement follows changes made by Parliament to the Financial Advisers Act last month. The Act will be implemented over the next year, coming fully into force on 1 July 2011.

The Monetary Authority of Singapore has reprimanded a representative of a financial adviser for holding himself out as a financial adviser.

David Mayhew, New Zealand's Commissioner for Financial Advisers says that "The Code of Professional Conduct will impose professional demands which will be new to many advisers and will impact directly on their business practices."

The release today for public consultation of the draft Code of Professional Conduct is a significant step towards having the financial adviser regime in place, according to David Mayhew, New Zealand's Commissioner for Financial Advisers.