The Federal Treasury has received yet more warnings that before it embarks on a compensation scheme of last resort it should fix professional indemnity insurance in circumstances where, often, it is not worth the paper it is written on.
A West Australian adviser has told the Federal Treasury that industry funds have been allowed to hide behind intra-fund advice and to create an environment that favours one group of financial advisers over others.
A Queensland academic has raised serious doubts about the legal underpinnings of the Financial Adviser Standards and Ethics Authority code of ethics and, by implication, the veracity of the adviser exam.
The Shadow Assistant Treasurer and Shadow Minister for Financial Services, Stephen Jones, has slammed the Financial Adviser Standards and Ethics Authority along with the Government for the mishandling of the roll out of professional standards reform.
The Financial Adviser Standards and Ethics Authority code of ethics may be in force but no authority is in place to oversee its enforcement and the Australian Securities and Investments Commission doesn’t want the job.