ASIC consults on margin lending
The Australian Securities and Investments Commission (ASIC) has reminded Australian Financial Services Licence (AFSL) holders that they will need to apply for a variation to their existing licence if they intend to provide services in relation to margin lending.
The reminder is contained in the regulator’s documentation calling for industry feedback on proposed upgraded arrangements and training for those providing margin lending facilities.
Inviting public comment on the training and financial requirements being proposed for margin lending, ASIC Commissioner and former Department of Finance head, Dr Peter Boxall, pointed to the thrust of the key discussion papers on margin lending, which have proposed specific training requirements for those advising on margin lending as well as specific financial resource requirements.
Boxall said that as well as the two discussion papers released by ASIC this week, it would shortly be releasing a third paper dealing with dispute resolution requirements for consumer credit, margin lending and trustee companies.
AUTHOR
Mike Taylor
Recommended for you
ASIC has cancelled the AFSL of an advice firm associated with Shield and First Guardian collapses, and permanently banned its responsible manager.
In the run-up to heavy losses expected at the end of the financial year, June has already reported consecutive weeks of adviser losses.
ASIC has banned a former NSW adviser from providing advice for 10 years for investing at least $14.8 million into a cryptocurrency-based scam.
ASIC has sent warning notices to social media finfluencers who it suspects are providing unlicensed financial advice to Australians as part of a global crackdown by international regulators.
