FINANCIAL SERVICES OVERHAUL TO HELP SMALL BUSINESS

Written on the 17 July 2014 by Paris Faint

FINANCIAL SERVICES OVERHAUL TO HELP SMALL BUSINESS

THE Senate has voted in support of the government’s amendments to financial advice laws, for the benefit of consumers and small business financial advisors.

The changes made to the Streamlining of Future of Financial Advice (FOFA) Bill will take full effect in coming months, providing significant changes to the current state of financial service.

According to a statement by the Minister for Finance Mathias Cormann investors will no longer need to keep re-signing contracts with their advisors on a regular basis - with annual fee disclosure requirements expected to be simplified as well.

The changes also promise to improve the operation of Best Interest Duty and the provision and availability of scaled advice.

Protected by these modifications is the requirement for financial advisors to act in the best interest of their clients, in addition to the ban on conflicted remuneration.

Clive Palmer, the Australian Motoring Enthusiasts Party and senators David Levonhjelm and Bob Day have shown their support for the alterations made.

The government expects progress to continue on further amendments and discussions surrounding the FOFA bill. 

Author: Paris Faint

Latest News

AUSTRALIA READY TO DISRUPT GLOBAL CARBON FIBRE MANUFACTURING

AUSTRALIA for the first time has the capacity to produce carbon fibre from scratch and at scale, following the launch...

HONG KONG FUND INVESTS $212.8 MILLION IN G8 EDUCATION

G8 EDUCATION (ASX: GEM) has secured $212.8 million from Hong Kong-based CFCG Investment Partners to pay down debt and...

MERGER DELIVERS THE FINANCIAL GOODS FOR TERRY WHITE

TERRY White Group has posted a solid half-year net profit of $1.3 million amid a period of major transformation fo...

BLUE SKY APPOINTS TWO NEW INDEPENDENT DIRECTORS

BLUE Sky Alternative Investments (ASX: BLA) has appointed two new independent, non-executive directors to its board: ...

Related News

WHY EMPLOYEE-OWNED COMPANIES ARE BEATING ASX200 SHARE PRICES

EMPLOYEE-owned companies command a higher share price than their publicly listed peers, reaping a 17 per cent prem...

RISE OF THE MACHINES HAS WORKERS SWEATING

UP TO 3.8 million Australian workers are fearful their job may soon be terminated by a robot, a new survey has shown....

LESS TALK, MORE SMALL BUSINESS ACTION IN 2017

THE future growth and prosperity of Australian SMEs could be undermined if governments lose sight of the sector...

TEST DRIVE A POST GRAD AT BOND

THERE'S only one way to really move your career into the fast lane, says Bond University, and 'test driving...

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter