ASIC calls on AFS licensees to check records on Financial Advisers Register
The Australian Securities and Investments Commission (ASIC) is calling on Australian financial services (AFS) licensees to assess the accuracy of records about their financial advisers on the Financial Advisers Register after a spot check identified errors and inconsistencies in some of the information provided.
Issues identified relate to qualifications and training courses being marked as ‘approved’ on the Financial Advisers Register, when in many cases, this marking was incorrect.
ASIC is also aware of instances where AFS licensees have not ensured that the contact details of their financial advisers are up to date.
AFS licensees are urged to immediately check all the information recorded about their financial advisers on the Financial Advisers Register, with a particular focus on the adviser’s approved qualification(s), ability to provide tax (financial) advice services, business address and telephone number.
Any incorrect or out of date information must be rectified by lodging a ‘maintain’ transaction via ASIC Connect. Only one fee applies if multiple pieces of information are updated in a single transaction.
It is a serious offence to knowingly provide false or misleading information to ASIC or to fail to take reasonable steps to ensure that the information provided to ASIC is true and correct. It is also an offence to fail to update the Financial Advisers Register within 30 business days of a financial adviser’s details changing.
From 1 August 2024, ASIC will commence a compliance program to ensure that the information recorded on the Financial Advisers Register about approved qualifications is correct and will consider enforcement action where necessary.
This will remain a key focus for ASIC in the lead up to 1 January 2026, when all financial advisers must comply with the qualification standard, either by completing an approved qualification, by completing qualifications the Minister has determined to be equivalent to an approved qualification for existing advisers, or by accessing the experienced provider pathway.
