Register to keep eye on planners
People seeking financial advice who are jittery after recent scandals involving Commonwealth Bank and Macquarie Bank are now able to do some research on financial planners through a new service launched yesterday by the corporate watchdog.
The Australian Securities and Investments Commission unveiled the first stage of its much talked about Financial Advisers Register. It can be viewed on ASIC's MoneySmart website.
It contains the names of almost every financial adviser registered in Australia and documents more than 19,000 appointments. Importantly for consumers at a time when the majority of advisers have links to the Big Four banks or AMP, the register notes which entity controls the financial license.
ASIC deputy chairman Peter Kell said the watchdog would use the register to monitor the industry.
"ASIC encourages consumers to visit the website to check out a financial adviser they are thinking of dealing with and do some homework before they proceed," Mr Kell said.
"This way, consumers can give themselves the best chance of getting advice that meets their needs. ASIC will now focus its efforts on the second stage of the register, which will capture financial adviser qualification, training and professional membership details to be completed and on the register by end May."
ASIC said a small number of advisers were not yet on the register. Late appointments would be accepted and late fee penalties would apply from September.
The Financial Planning Association of Australia welcomed the launch.
"For the first time we will have a list of all financial advisers in the country, including representatives such as employed financial planners," FPA chief Mark Rantall said.
He said ASIC's register needed to be supported by the implementation of Federal reforms endorsed recently by the parliamentary joint committee inquiry into financial advice.
