Disciplinary actions taken against advisers low despite noise

Despite negative publicity the financial planning industry has dealt with since the fallout from the Royal Commission, the corporate regulator has only taken disciplinary action against 26 ‘current’ advisers and 177 ‘ceased’ advisers since 1993, according to Wealth Data. 

Wealth Data said given the noise in mainstream media over advisers the number that the Australian Securities and Investments Commission (ASIC) had taken action against was “quite low”. 

Interestingly, the majority of disciplinary actions began in 2015, with the peak occurring between 2017 and 2019. 

Number of disciplinary actions against advisers by ASIC 

Source: Wealth Data 

Wealth Data’s weekly analysis of the ASIC’s Financial Adviser Register (FAR) and adviser movements showed a further drop in actual adviser numbers to 19,075 while the number of adviser roles jumped by 14 to 19,360. 

Williams stressed that the main reason for this week’s variance between adviser roles and actual advisers came down to Macquarie Bank which appointed five existing Macquarie Equities advisers and now all five advisers would have two roles at Macquarie Group. 

At the same time, 39 licensee owners posted net gains for 51 roles while 26 licensee owners reported net losses for 37 roles.  

This week also saw the appointment of eight provisional advisers and all were appointed at different licensees.  

Following that, Easton Group had a net growth of five adviser roles driven by GPS gaining net three advisers and another two left Charter to join Easton.  

Also, a new licensee commenced with three advisers who all came from Insight Investment Services, and Capstone also saw a net growth of three advisers. 

Additionally, there was a long tail of growth this week with 35 licensee owners gaining net one adviser each. 

Looking at the adviser movements year-to-date across groups with over 50 adviser roles, IOOF manged to extend its lead over AMP Group with 1,439 roles versus 1,326, respectively. 

Also, AMP Financial Planning remained the largest licensee with 674 just ahead of SMSF Advisers Network who had over recent weeks a steady number at 669. 

Recommended for you




The fact that a new licensee with 3 advisers gets a mention at all tells you where we're at.

Lowest number of ASIC actions against us (individual advisers) but most bullied and robbed sector of the whole farmyard.

Some great figures there. I would love to see how this compares, as a percentage, to other professions. eg. Solicitors, doctors, accountants, teachers, pharmacists etc.

Hello Oksana, yes I fully agree with George's comment- can you find out the number of complaints against lawyers, CA/CPAs doctors etc. This will be very helpful. Thanks

Find them out yourself if you want to know.

How many Bank, Life Co, Super Funds or ASIC bosses, managers or trustees have had any action against them from the RC?
These were the real crooks that were all found with their snouts planted deep in the money trough or ASIC choosing to allow these big institutional rorts to happen.
How many of them have faced action ?
Yep that’s right = ZERO
Its never the bosses, managers, trustees or ASICs fault is it.
Let’s roll out that ever faithful ALWAYS BLAME THE ADVISERS FOR EVERYTHING.
What a sad joke are the big institutions and ASIC to Real Advisers.

ASIC doesn't have the power to take action against bosses, managers, trustees. the only people whom ASIC can take action against are the financial adviser.

asic cannot take action against online tik tok spruikers and property spruikers and other fraudsters and the like, in fact the minister of financial services endorses tik tok spruikers.

only people ASIC can take action against are registered financial planners and it does. whether it is a minor admin breach or otherwise.

the numbers don't lie, the total number of advisers being disciplined is puny, and compares favourably to other professions. imagine if one of us did even a 1/100th of what is alleged to have been done by a venerated neurosurgeon who is currently in the papers did, we and our families would be burned alive with the politicians and the media pouring fuel on the fire to ensure that all parts of us died.

fact is Australia is a nation of blamers. we are lazy, and we are lucky we could be because we can dig holes for a while yet, but luck is running out.

ASIC and everyone in the media need someone to blame, and that's us, financial planners, because for the most part we are defenseless as we are mostly small businesses who haven't got the $800k to defend ourselves legally so we quietly acquiesce and move on.

So ASIC can’t take action against the:
AFSL Responsible Manager ?
AFSL Owners ?
Super Fund Call centres ?
Sorry but ASIC could take action against plenty in the Advice world structure.
ASIC simple choose to constantly blame the lowly hanging Advisers.

ASIC can take action against the people you list, and sue them but then they have to deal with top-notch defense lawyers and in the end, ASIC loses because much of their interpretation of what is the law is in fact not the law, and only their interpretation of the law. see wagyu and shiraz case

that's right, they have to appease the public and the media, and why not blame people who cannot defend themselves and that is why they keep blaming the adviser.

in fact, who doesn't. everyone blames us for everything and we are all sick of it and we should be doing something, and many are by increasing our price to double or triple or refusing to serve ordinary people.

whenever I price a new job on a new client, I always add an extra margin, 15% for pain management to have to deal with retail clients and the burden that goes on with that.

so, if you all add a 15% pain management levy you will feel better

case in point, ASIC vs Former Tennis Australia, the president seeks $3.8m in costs from ASIC see afr


this is what the judge said after he dismissed the case against Healey,

"Much of ASIC’s construction of its evidence displayed confirmatory bias ... The various cover-up and conspiracy theories that it floated turned out to lack substance.”

isn't this what plagues all of asic. it needs a top to bottom cleanout

We need a Fighting Fund of Last Resort... funded by ASIC. :P

Just shows that the regulators and politicians have been jumping at shadows all along.

send it to adele ferguson.

Adele Ferguson has finished her great and ground-breaking work on this sector and is no longer interested. She has moved on.

Do you consider selective reporting and inflammatory spin to be 'great and ground-breaking work'?

thank God for Google, Facebook, and social media that the value of journalists is being diminished every day. the sooner the likes of adele Ferguson disappear the better

Brilliant journalists like Adele Ferguson will always be received well by the majority of the community and rise well above the social media sewer.

Adele had a golden opportunity to provide balanced and fair investigative reporting into the financial services industry, which would have led to a targeted clean up and significant improvements for all Australians.

Instead she chose to write misleading, deceptive, exaggerated stories designed to vilify all professional advisers, including the vast majority of people doing the right thing. She destroyed the lives of many innocent people, and undermined consumer confidence in professional advice. She pushed consumers away from professional advice and into the clutches of dodgy unlicensed spruikers and scams. Consumers are far worse off as a result. Adele should be ashamed.

I thought Adele Ferguson did a brilliant informing consumers. Certainly shook up an industry to improve dramatically in a very short time.

Brilliant journalists present the facts in a balanced way. They do not lobby for change, selectively pick facts to support their argument and mislead the public by exaggeration. The fact that Ferguson was well received and won an award for her attacks on the financial planning profession is disturbing to say the least. Her behaviour, and the actions of our regulator, have caused serious harm to thousands of good people and is now having damaging impacts on consumers. Advice is more expensive, harder to obtain, insurance premiums have gone through the roof and policy definitions are worse. This is Adele's legacy. She is not the only one at fault, but she was instrumental.

I think Adele Ferguson did great exposing so much poor behaviour in the financial advice industry. I'd vote for her.

sarcasm, run-of-the-mill ABC journalist. next

ABC and its non-commercial, independent investigative journalism is the best in the world. The envy of most news outlets in the world. Australian taxpayers should take a bow.

yes, ABC investigative journalist and Fox news. the bastion of good journalism.

thank God for Google, Facebook, Twitter. journalism is a dying trade and I can't wait to vote for the party that withdraws all funding from the ABC.

You voting for the Liberal Democrats? No chance of forming a government.

Yes. Groundbreaking and awarding-winning. Can't wait to see what Adele next investigative journalistic endeavour uncovers.

The ABC and ASIC have the same level of ethics - NONE!

Yet still higher than the financial planning sector.

So what sector are you from?

Adele could investigate the personal Social Media accounts of ABC staff and how ABC is paying huge related fines. Where else other than the ABC and ACIC can you get these things paid?

Federal Parliament!

We are the whipping boys for everything that is perceived to be wrong with the financial services industry.

Asic can only police less and less people. Accountants are all handing back their licenced and going back to giving unlicensed advice and asic have very little power if any over them. So they have a shrinking pool and costs go up and up for the suckers left doing actual advice according to rules

Add new comment