Dump best interests duty for banks, super: Levy

  • 📰 FinancialReview
  • ⏱ Reading Time:
  • 27 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 14%
  • Publisher: 90%

Loans Loans Headlines News

Loans Loans Latest News,Loans Loans Headlines

An independent review has recommended banks, fund managers and insurers should be exempt from the duty to act in the best interests of investors when giving financial advice.

Allens lawyer Michelle Levy has withstood pressure to water down her controversial plan to encourage banks, fund managers and insurers to give financial advice by exempting them from the duty to act in clients’ best interests, following her year-long review of the sector’s complex regulations.

The final report clarified that the proposed “good advice” duty would contain implicit consumer protections that are, in Ms Levy’s opinion, more effective than the best interests duty introduced by Labor in 2012. If implemented by the government, advisers would no longer be required to provide lengthy statement of advice documents to clients. Instead, they would be required to keep records and provide notes to clients upon request. They would also no longer have to provide fee disclosure statements to clients.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Independent review? They must be joking

By all means cut red tape and paperwork, especially if it is not paperwork that helps the consumers/investor. But why would you want to have financial advice from people who didn’t have your best interest at heart?

this is remarkable and laughable. There is no rationale for this outcome. Is this the financial industry equivalent of Yes Minister? auspol

How is that possible without bribes? How?

Excellent.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 2. in LOANS

Loans Loans Latest News, Loans Loans Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Banks offer $4000 cash backs in refinancing waveMortgage brokers are growing sceptical about banks marketing cash back offers when standard variable rates on the same loans are not the sharpest in the market.
Source: FinancialReview - 🏆 2. / 90 Read more »

Big four banks start to pass on latest interest rate hikeANZ and NAB are the first of the big four banks to pass on the Reserve Bank of Australia's ninth consecutive interest rate hike. 9News
Source: 9NewsAUS - 🏆 10. / 72 Read more »

Big four banks start to pass on latest interest rate hikeANZ and NAB are the first of the big four banks to pass on the Reserve Bank of Australia's ninth consecutive interest rate hike. 9News
Source: 9NewsSyd - 🏆 23. / 51 Read more »