The Australian Securities & Investments Commission wants to ensure “bad apples” in finance are culled.
The regulator, that enforces company and financial services law, is seeking to be more assertive.
ASIC will have a “proactive, regulatory approach,” says commissioner Peter Kell. Regulators will be “more forward looking” in addressing risk.
Kell, citing an ANZ survey, says 42 per cent of Australians do not trust financial professionals. Nor would they accept financial professionals’ recommendations, he says.
ASIC believes the “disclosure of fees and charges are critical” in investment products, says Kell. Product disclosure should “aim to do just that,” he says.
Kell spoke to reporters and an audience at a Sydney lunch organised by the Association of Superannuation Funds of Australia Ltd.