The Suncorp-owned dealer group released a statement acknowledging the AFSL conditions, which were ordered after an ASIC investigation found “deficiencies” in the dealer group’s advice to retail clients.
In the statement, a Guardian Financial Planning spokesperson said ASIC had found “a number of improvements that could be made” and the company was co-operating with ASIC to implement the changes.
“GFP takes ASIC’s findings very seriously and are working with ASIC to ensure the necessary improvements are implemented by the business,” the spokesperson said.
“The life insurance and advice industries are undergoing widespread reform and GFP accepts that it is appropriate that there is greater scrutiny of these industries.”
“GFP is confident it can seize this opportunity to improve our business, including improvements in adviser recruitment, training and adviser audit processes.”
The action comes after surveillance of Guardian by ASIC found the dealer group “was not complying with its general obligations as an AFSL holder, including failing to properly supervise its authorised representatives.”
This isn’t a scandal you dunce. This is surveillance that ASIC is conducting across the industry. Show me a dealer that comes out from a similar level of scrutiny with only conditions on their licence. To a letter all of them to date have had EU’s slapped on them.
Guardian clearly have some issues to work on but to say it is a scandal is just inflammatory.
Always interesting that it is a “spokesperson” – great to be anonymous.
Suncorp shareholders should be asking some hard questions about this debacle. Like who made the decison to take these advisers on board in the first place and what bonus structure was that person on – ie the more “growth” in adviser numbers the higher the bonus? The long term Guardian planners would also be rightly upset as any mud (and proposed compliance) inevitably sticks to everyone, not just the new recruits.
I am tired of seeing nameless industry executives ( geniuses in their own eyes) perpetrating stupid strategies that damage shareholder value and public perception purely because they perceive little downside risk to their own careers and reputations.
Meanwhile the advice industry is lumped with another scandal for the pollies to play with.
Happy New Year!