Dixon Advisory hit with penalties for misleading statements
Self-managed superannuation funds (SMSF) advice group Dixon Advisory has paid more than $20,000 in penalties related to potentially misleading claims relating to the costs and performance of SMSFs compared to other superannuation funds.
The penalties were paid as two fines of $10,200 and were made in response to infringement notices issued by the Australian Securities and Investments Commission (ASIC).
ASIC issued the notices after it found the Dixon Advisory website hosting information regarding the benefits of SMSFs and a comparison of the costs and performance of SMSFs to industry and retail superannuation funds.
The website and some of Dixon Advisory's social media pages, also hosted a promotional video which made claims in relation to an independent review of the superannuation system.
ASIC stated it was concerned that the webpage and the video made inaccurate representation of the costs and performance of SMSFs compared to industry and retail superannuation funds. As a result of its concerns Dixon Advisory removed the statements and the video from its webpage and social media profiles.
ASIC deputy chair Peter Kell said that any comparison between different types of superannuation funds, including SMSFs, particularly around performance or fees "must be accurate and have a reasonable basis. Any qualification should be apparent to a consumer when they first see the information".
The regulator said the payment of an infringement notice was not an admission of a contravention of the ASIC Act consumer protection provisions and that it can issue an infringement notice where it has reasonable grounds to believe a person has contravened certain consumer protection laws.
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