While industry codes of ethics will play a pivotal role in keeping financial institutions in line, the Board of Banking and Finance Oath (BFO) says the Royal Commission has placed the real onus back on the individual to practice ethical decision-making and accountability.
The BFO said it would prioritise its discussions with institutions and industry bodies on strengthening the ethical foundations of the financial services, something they believe the Oath, a set of commitments that individuals can adopt as personal principles, has done.
The industry body said it aims to encourage a strong ethical framework for individuals in the financial services industry, given the values of integrity and honesty came into question during the Royal Commission.
BFO chair, John Laker, said the final report was a clarion call to the financial services industry to prioritise ethical decision-making and individual accountability in its dealings with the Australian community.
“This is the time for individuals committed to the good of the industry to reflect on what they want to stand for and take responsibility for their own behaviour,” he said. “We know the right culture – one built on ethics, honesty and accountability – allows the right behaviour to thrive.”