Australia: Superannuation, Funds Management & Financial Services News – 11 July 2017

Last Updated: 19 July 2017
Article by Chris Lovell, Paul Faure and Bill Glover

Most Read Contributor in Australia, December 2018

In the media

NAB makes corrective disclosure to customers about relationships within its wealth management business
ASIC – 07 July 2017 - An ASIC investigation of a number of advice licensees within the National Australia Bank Group (NAB Group), for failing to disclose relationships between advisers, advice licensees, and other members of the NAB Group that issue investment products, has resulted in corrective disclosure being made to customers. More...

AustralianSuper 'not concerned' about bank tax
MEDIA – 06 July 2017 - The country's biggest superannuation fund has not changed its view on investing in banks as a result of the federal government's major bank tax, despite bank claims the policy will hit all Australians' retirement savings. More...

ASIC warns investors not to engage with 'Skyllex'
ASIC – 06 July 2017 - ASIC is warning the public not to use a website which promotes financial investments offered by 'Skyllex', a company incorporated in Australia. Although Skyllex has been issued with a Certificate of Registration by ASIC, it does not have an Australian financial services (AFS) licence and it is not authorised by an AFS licensee to provide financial services. More...

ASIC wins case against former AMP adviser
ASIC – 06 July 2017 - The Administrative Appeals Tribunal has upheld ASIC's permanent ban of former AMP financial adviser Rommel Panganiban. Mr Panganiban was found to have advised 49 clients who held risk insurance through their AMP super fund to cease their existing AMP policy and replace them with an alternative AMP insurance policy, pocketing the commission. More... (ASIC) More...

FPA education proposal receives member approval
MEDIA – 06 July 2017 - The FPA's proposal for a 100-point system to the new Financial Adviser Standards and Ethics Authority has received broad support from its members. The FPA proposed a points system whereby 100 points means the adviser meets the new qualification requirement. More...

FSC renews calls for super competition
MEDIAC – 05 July 2017 - The Financial Services Council (FSC) has called for the implementation of competition reforms in Australia's superannuation sector, saying that increased competition would save consumers $292 million in super fees More...

ASIC finds lack of superannuation transparency
MEDIAC – 05 July 2017 - ASIC has found that 21 super fund trustees have failed to meet transparency information (TI) requirements on their websites, following an earlier review as part of the Stronger Super reforms. Under s29QB of the Superannuation Industry (Supervision) Act 1993 (SIS Act), each superannuation fund must disclose TI on a website and keep it up-to-date at all times. More...

'Wealthy minority': offset mortgages balance debt boom
MEDIA – 05 July 2017 - Rich Australians with mortgage offset accounts are balancing out the nation's record household debt levels, but poorer borrowers on interest-only mortgages are facing increasing risks, according to Morningstar. More...

Sedgwick missed bank culture issues, Senate hears
MEDIA – 04 July 2017 - A Senate committee will consider further investigation into a "powerful driver of frontline behaviour" by bank staff that harmed employees and consumers and was missed by the Sedgwick review (04 July 2017). More...

ASIC acts to improve transparency of super websites
ASIC – 04 July 2017 - ASIC has intervened in relation to 21 superannuation trustees, representing 15 per cent of the trustee population, to improve 'Transparency Information' (TI) on their super fund websites. Under s29QB of the Superannuation Industry (Supervision) Act 1993 (SIS Act), each superannuation fund must disclose TI on a website and keep it up to date at all times. More...

ASIC takes interest in super funds
MEDIA – 04 July 2017 - The ASIC has released a report on its review of consumers' engagement with their superannuation funds, which focused on the experience of less-engaged super fund members. According to the Deputy Chairman of ASIC, Peter Kell, the review sets out key principles that could help improve member experience of superannuation as well as pointing to some areas for improvement. ASIC's report on its review can be accessed at this PS News link. More...

FSC life insurance code takes effect
MEDIA – 30 June 2017 - The FSC has set up an independent body to ensure members comply with its Life Insurance Code of Practice, which took effect on 1 July (03 July 2017). More...

ASIC finds poor conduct with superannuation trustees
MEDIA – 03 July 2017 - ASIC has released a report in which it has identified a number of unfair practices of superannuation funds that would have resulted in detrimental customer outcomes. In its Member experience of superannuation report released last Friday, ASIC found instances relating to poor disclosure where members' insurance cover had ceased or changed without adequate forewarning by the superannuation trustee. More...

Super review moves to final stage
The federal government has announced the start of the final stage of the Productivity Commission's review into Australia's superannuation system to assess its efficiency and dissect whether issues such as the current default settings are appropriate (04 July 2017). More...

Review into the efficiency and competitiveness of the superannuation system commences
MEDIA– 30 June 2017 - The Turnbull Government has taken further action to ensure Australia's superannuation system is as efficient and competitive as possible with the release of the Terms of Reference for the Productivity Commission's system wide review. More...

ASIC releases superannuation member experience report
ASIC – 30 June 2017 - ASIC has today released a report about our review of key aspects of consumer engagement with their super funds, focusing on the experience of less-engaged superannuation fund members. More... (Report) More...

APRA's powers are limited, warns Byres
MEDIA – 29 June 2017 - The prudential regulator has reminded a parliamentary inquiry that it does not have oversight of the entire Australian financial system. More...

AIST calls for online form improvements
MEDIA – 29 June 2017 - The Australian Institute of Superannuation Trustees (AIST) has welcomed the digitisation of superannuation choice forms by the Australian Taxation Office (ATO), while stipulating employees should have clear visibility of their employer's default fund within the new online system. More...

Default fund must be named on new superannuation Choice online form
AIST – 28 June 2017 - AIST has welcomed the digitization of superannuation choice forms but expressed concerns that important consumer protections could be overlooked as part of the process (28 June 2017). More...

Justification needed for interest rate movements
MEDIA – 27 June 2017 - Banks need to justify their decisions to increase interest rates, says the Finance Brokers Association of Australia (FBAA). Executive director Peter White says interest rate movement has seen some investor and interest only loans increase by as much as 66 basis points, some since the federal budget was handed down in May, but there has been little explanation as to why. More...

New super regime prompts ASIC SOA extension
MEDIA – 27 June 2017 - Following the release of a new legislative instrument by ASIC yesterday, financial advisers would have more time to provide retail clients with a statement of advice (SOA) as they navigated the transition to the new superannuation regime. More...

ASIC extends super SOA deadline
MEDIA– 26 June 2017 - The corporate regulator has announced it will extend the time advisers have to provide clients with a statement of advice (SOA) relating to superannuation. The relief will apply to superannuation-related personal advice where the advice is requested and provided before 1 July 2017. More...

In practice and courts

ASIC Corporations (Urgent Superannuation Advice) Instrument 17-530 (the Instrument)
This instrument temporarily extends the time financial advisers have to provide retail clients with a Statement of Advice (SoA) under s946C of the Corporations Act, to provide a SoA when or as soon as practicable after personal advice is provided to a retail client.
The relief gives financial advisers up to 30 days to provide a SoA for personal advice provided to retail clients about a superannuation product in connection with the changes in laws regulating superannuation as a result of the Treasury Laws Amendment (Fair and Sustainable Superannuation) Act 2016 where the advice is requested and provided before 1 July 2017 (26 June 2017). More...

ASIC Class Order [CO 12/749] Relief from the Shorter PDS regime
The class order relief was due to expire on 30 June 2017. The class order provides interim relief, until 30 June 2018, to exclude multifunds, superannuation platforms and hedge funds from the disclosure requirements of the shorter Product Disclosure Statement (PDS) regime under Part 7.9 of the Corporations Regulations 2001 (29 June 2017). More...

ASIC clarifies its position on the use of 'independently owned' under s923A
ASIC has clarified its position on the use of restricted terms relating to the independence of financial advisers after seeking external legal advice on whether phrases such as 'independently owned' are restricted terms under s923A of the Corporations Act (the Act). Section 923A provides that financial service providers can only use certain restricted words and expressions if they do not receive commissions, volume-based payments, or other gifts or benefits, and operate without any conflicts of interest (27 June 2017). More...

FPA: Superannuation
The ATO has released a range of the materials to assist financial planners and clients with the superannuation changes commencing 1 July 2017. Two videos with ATO Superannuation Deputy Commissioner James O'Halloran discussing the key things individuals and SMSFs need to be aware of. More...

ACCI: Key Super Changes from 1 July 2017
Key Super Changes from 1 July 2017: A message from ACC Australia Corporate Partner HSBC (06 July 2017). More...

AASB: End of an era
The 30 June 2017 marks the end of the AAS series of accounting standards, with AAS 25 Financial Reporting by Superannuation Plans being superseded by AASB 1056 Superannuation Entities from the current financial year. The accounting profession's Standards were first labelled as AAS Standards in 1979, and officially identified as 'Australian Accounting Standard AAS X' from 1989, with the issue of AAS 1 Profit and Loss or other Operating Statements.

AustralianSuper 'not concerned' about tax on banks
Date: 06/07/2017 - Collection: Media - ID: media/pressclp/5377379 - Source: Canberra Times - Author: YEATES, Clancy (06 July 2017).

ASFA submissions
29 June 2017: Submission to The Treasury - Response to Consultation on the establishment, merits and potential design of a compensation scheme of last resort and the merits and issues associated with providing access to redress for past disputes. More...
26 June 2017: Submission to The Treasury - Discussion Paper on Proposed Financial Institutions Supervisory Levies for 2017–18. More...

FPA: Superannuation
The ATO has released a range of the materials to assist financial planners and clients with the superannuation changes commencing 1 July 2017. More...

Reminder: Transition period for updated fee and cost disclosures
ASIC has extended the transition period for trustees of superannuation funds and responsible entities of managed funds and other managed investment schemes (issuers) to comply with updated fee and cost disclosure requirements in relation to product disclosure statements (PDSs), until 30 September 2017.

Cases

Moore and Commissioner of Taxation (Taxation) [2017] AATA 998
TAXATION – superannuation – excess contributions tax – excess concessional contributions – modifications for defined benefit interests - excess non-concessional contributions – Commissioner's discretion to disregard contributions or to allocate to another financial year – whether Commissioner may make determination – whether there are special circumstances.
Superannuation (Excess Concessional Contributions Tax) Act 2007 (Cth), ss 4, 5; Superannuation (Excess Non-concessional Contributions Tax) Act 2007 (Cth), ss 4, 5.

Legislation

NSW

Regulations and other miscellaneous instruments
State Authorities Non-contributory Superannuation Amendment (Australian Registry Services Pty Ltd) Order 2017
(2017-337) — published LW 5 July 2017.
State Authorities Non-contributory Superannuation Amendment (Keolis Downer Hunter Pty Ltd) Order 2017
(2017-340) — published LW 5 July 2017.
State Authorities Superannuation Amendment (Australian Registry Services Pty Ltd) Order 2017
(2017-338) — published LW 5 July 2017.
State Authorities Superannuation Amendment (Keolis Downer Hunter Pty Ltd) Order 2017
(2017-341) — published LW 5 July 2017.
Superannuation Amendment (Australian Registry Services Pty Ltd) Order 2017
(2017-339) — published LW 5 July 2017.

Queensland

Subordinate legislation as made
No 104: Superannuation (State Public Sector) (Scheme Membership) Amendment of Deed Regulation 2017
- Superannuation (State Public Sector) Act 1990 – 30 June 2017.

No 105: Superannuation Legislation (Scheme Membership) Amendment Regulation 2017 - Local Government Act 2009, Superannuation (State Public Sector) Act 1990 – 30 June 2017.

Victoria

Acts

Superannuation Amendment (PSSAP Membership) Act 2017
(No. 68/2017) Assent: 23/06/2017.

This publication does not deal with every important topic or change in law and is not intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances. If you have found this publication of interest and would like to know more or wish to obtain legal advice relevant to your circumstances please contact one of the named individuals listed.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

Authors
Similar Articles
Relevancy Powered by MondaqAI
 
Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Related Topics
 
Similar Articles
Relevancy Powered by MondaqAI
Related Articles
 
Related Video
Up-coming Events Search
Tools
Print
Font Size:
Translation
Channels
Mondaq on Twitter
 
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
 
Email Address
Company Name
Password
Confirm Password
Position
Mondaq Topics -- Select your Interests
 Accounting
 Anti-trust
 Commercial
 Compliance
 Consumer
 Criminal
 Employment
 Energy
 Environment
 Family
 Finance
 Government
 Healthcare
 Immigration
 Insolvency
 Insurance
 International
 IP
 Law Performance
 Law Practice
 Litigation
 Media & IT
 Privacy
 Real Estate
 Strategy
 Tax
 Technology
 Transport
 Wealth Mgt
Regions
Africa
Asia
Asia Pacific
Australasia
Canada
Caribbean
Europe
European Union
Latin America
Middle East
U.K.
United States
Worldwide Updates
Registration (you must scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions

Mondaq.com (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of www.mondaq.com

To Use Mondaq.com you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.

Disclaimer

The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.

General

Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions