The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry made a number of recommendations concerning the provision of financial products.
On 4 February 2019, the Government released its response to the Royal Commission. The Government is taking action on all 76 recommendations, which includes its commitment to prohibit the hawking of insurance and superannuation products, and to clarify the definition of hawking for a financial product to include selling of a financial product during a meeting, call or other contact initiated to discuss an unrelated financial product.
The Government is today releasing exposure draft legislation for public comment which implements recommendations 3.4 and 4.1 of the Royal Commission:
- Recommendation 3.4 prohibits the hawking of superannuation products.
- Recommendation 4.1 prohibits the hawking of insurance products.
Consistent with the Final Report of the Royal Commission that ‘no financial product should be hawked to retail clients’, the new hawking rules apply to other financial products including managed investment schemes and securities.
You can submit responses to this consultation up until 28 February 2020. Interested parties are invited to comment on this consultation. You may make one submission across open consultations. In doing so, please make clear which measures your submission relates to.
While submissions may be lodged electronically or by post, electronic lodgement is preferred. For accessibility reasons, please submit responses sent via email in a Word or RTF format. An additional PDF version may also be submitted.
All information (including name and address details) contained in submissions will be made available to the public on the Treasury website unless you indicate that you would like all or part of your submission to remain in confidence. All submissions (whether or not made public) will also be provided to ASIC and/or APRA unless you otherwise indicate. Automatically generated confidentiality statements in emails do not suffice for this purpose. Respondents who would like part of their submission to remain in confidence should provide this information marked as such in a separate attachment.
Legal requirements, such as those imposed by the Freedom of Information Act 1982, may affect the confidentiality of your submission.
View our submission guidelines for further information.
How To Respond
Address written submissions to:
Financial System Division
Parkes ACT 2600
Phone: Luke Spear +61 2 6263 2111