Extend adviser reference checking protocol says ANZ

ANZ has urged the Government to extend the Australian Bankers' Association (ABA) financial adviser reference checking protocol to the broader financial advice sector to prevent miscreant bank advisers joining non-bank firms.

Addressing the Senate Economic Committee, ANZ chief executive, Shayne Elliott sought to reassure Senators that the big banking group was moving to meet its obligations with respect to a range of issues, including the ABA reference checking protocol.

““To deliver better quality financial advice, we are doing more audits using data analytics and providing better training. If we don’t get our advice right, a dedicated ‘Advice Review Team’ examines this and compensates customers,” he told the committee.

“The new ABA reference checking protocol is making it difficult for advisers with proven conduct issues to move from firm to firm. There is, however, a risk of these advisers joining firms outside the protocol,” Elliott said. “We urge Parliament to close this loophole.”

The ANZ chief executive said the banking group was supporting reforms recommended by the Committee, adding “we can see real benefit from the Banking Executive Accountability Regime and have started our implementation planning”.

“We are working to make open data a reality by setting out a deliberately simple and safe form of open banking for the Government’s Independent Review. Our suggestions provide a pathway for open data across the economy that could drive innovation. We will start sharing comprehensive credit data next year.”