Coronavirus (COVID-19) updates from the Australian Government

Ending Grandfathered Conflicted Remuneration for Financial Advisers

This consultation process has now been completed. Submissions available
Date
-
Consultation Type
Exposure Draft

Key Documents

The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry recommended that the grandfathering arrangements for conflicted remuneration in relation to financial advice provided to retail clients should be removed as soon as is reasonably practicable (see recommendation 2.4).

In its response to the Royal Commission, the Government announced that it would end grandfathering of conflicted remuneration to financial advisers effective from 1 January 2021.

The Exposure Draft removes the grandfathering arrangements for conflicted remuneration and other banned remuneration from 1 January 2021. It also enables the regulations to provide for a scheme under which amounts that would otherwise have been paid as conflicted remuneration are rebated to affected consumers.

Submissions

17 submissions were received for this consultation.

AustralianSuper - pdf 344.14 KB
Blake, Christopher - docx 15.03 KB
CBUS - pdf 126.75 KB
CHOICE - pdf 221.73 KB
Hone, Colin - pdf 14.59 KB
Industry Super Australia - pdf 103.47 KB
Law Council of Australia - pdf 202.07 KB
QInvest - pdf 82.58 KB
SMSFA - pdf 211.86 KB
Vanguard - pdf 256.2 KB