Superannuation peak body ASFA welcomes the firm stance ASIC has taken today on lead generation, a marketing practice that can put Australians’ life savings at risk.
ASIC’s final warning makes clear that advice licensees who continue to use harmful lead generation models could lose their licences. In ASFA’s view, the warning effectively bans lead generators from the advice process.
“We expect ASIC will enforce this warning,” ASFA CEO Mary Delahunty said.
“Australians need to be able to trust the financial advice they receive when making some of their biggest financial decisions. That trust depends on advice licensees taking their obligations seriously.
“Licensees need to know what is happening at every stage of the advice process. They also need to make sure that no part of the advice is carried out by unqualified, unlicensed people with conflicts of interest, including lead generators.
“ASIC’s position is clear. However, enforcement action often comes after people have already lost money.
“As the government develops the consumer protection reforms Dr Mulino announced in August, ASFA is calling for legislation that bans lead generators from the advice process outright, so Australians are protected before any money is lost,” Ms Delahunty said.
Members of the media may contact:
Scott Roberts
Media and Content Lead
sroberts@superannuation.asn.au
0451 949 300
About ASFA
ASFA is the peak policy, research and advocacy body for Australia’s superannuation industry, and the only industry body that represents all parts of the APRA-regulated system.
Our more than 100 members include retail, industry, corporate and public sector funds and their service providers. For over sixty years, ASFA has been the voice of super, advocating for a dignified