Ending grandfathered conflicted remuneration

On 21 February 2019, ASIC received a direction under section 14 of the Australian Securities and Investments Commission Act 2001 to investigate industry’s transition away from grandfathered conflicted remuneration arrangements. The report ‘Ending Grandfathered Conflicted Remuneration’ sets out ASIC’s findings as to the steps taken by industry participants from 1 July 2019 to 31 December 2020 to:

• End the payment of grandfathered conflicted remuneration ahead of the legal requirement to end these arrangements; and
• Pass previously grandfathered benefits on to product holders.