ASIC orders financial planning firm to remove responsible manager
Financial planning firm Poynter Hargraves Financial Consultants has been required to remove its sole responsible manager as the Australian Securities and Investments Commission (ASIC) has imposed additional conditions on its license.
The regulator announced today that the move followed a targeted surveillance that found that Poynter Hargraves have poor risk controls around conflict management and was not adequately monitoring and supervising its representatives.
ASIC’s surveillance also found that some clients of the firm were provided with financial advice that failed to meet the best interests duty and related obligation.
The additional license conditions require the NSW-based Poynter Hargraves to engage an independent expert to review and make recommendations on how its audit processes and conflict management can be improved with the expert also pre-vetting a simple of advice and reporting on the improvements.
ASIC noted that licensees were responsible for ensuring their representatives complied with financial services laws and had robust controls in place to manage conflicts of interest and adequate audit processes to monitor and supervise their representatives.
Recommended for you
The new financial year has got off to a strong start in adviser gains, helped by new entrants, after heavy losses sustained in June.
Michael McCorry, chief investment officer at BlackRock Australia, has detailed how investors are reconsidering their 60/40 portfolios as macro uncertainty highlight the benefits of liquid alternatives.
Having reset its market focus to high-net-worth advisers, Praemium’s administration solution has been selected by Bell Potter in a deal that increases the platform's funds under administration by $6 billion.
High transition rates from financial advisers have helped Netwealth’s funds under administration rise by $3.7 billion in the fourth quarter of FY25.
