10 February 2017
Sydney, 9 February 2017: The Australian Bankers’ Association has welcomed the passing of legislation in Parliament today to raise the competency and ethical standards of financial advisers.
ABA Chief Executive Steven Münchenberg said: “The banking industry supports the Federal Government’s commitment to improve the quality of financial advice offered to Australians.
“Introducing higher education requirements for financial advisers and a new code of ethics will be important to raise the professionalism of financial advice.
“We look forward to getting on with implementing the reforms, and working with the Government on establishing the new education and ethical standards,” he said.
Mr Münchenberg said banks had already taken steps to ensure their financial advisers adhere to high professional standards.
“A new industry-wide hiring protocol is being implemented so banks can find out a lot more about a financial adviser’s previous conduct history before employing them. This will better identify financial advisers who have not met the industry’s minimum legal and ethical standards,” he said.
More information is available at bankers.asn.au/financial-advice.
Contact: Stephanie Arena 0477 470 677 or Nic Frankham 0435 963 913
“This is about engaging with the entire banking ecosystem in order to ensure the accessibility of the sector’s services are best serving our diverse community now, and into the future.”
“What is underpinning this bank failure is a number of things, but not least of all, it’s a very niche bank with high exposure to one part of the economy. And that’s the part of the economy that’s been quite volatile and troubled”
The Treasurer has indicated that the federal government is closely monitoring the situation.