This consultation process has now been completed.
Date
-
Consultation Type
Exposure Draft
Key Documents
In response to recommendations 2.1 and 2.2 of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry, the Government has released for exposure:
- draft legislation to insert new specific obligations in the Corporations Act 2001 (Corporations Act) in relation to fee recipients (a financial services licensee or authorised representative) providing personal financial product advice to retail clients under ongoing fee arrangements; and
- draft regulations relating to the new record-keeping requirements (recommendation 2.1); and
- draft legislation amending the Corporations Act to require entities (a financial services licensee or authorised representative) who are authorised to provide personal advice to a retail client to disclose in writing to the client where they are not independent and why that is so (recommendation 2.2).
The draft legislation for recommendation 2.1 will enhance the existing ongoing fee arrangement provisions in the Corporations Act.
The draft legislation for recommendation 2.2 will require entities (a financial services licensee or authorised representative) who are authorised to provide personal advice to a retail client to disclose in writing to the client where they are not independent and why that is so.