01.Joint submission raises consumer concerns
CHOICE has joined with several consumer organisations in a submission to the first tranche of draft legislation for the Federal Government’s Future of Financial Advice (FoFA) reforms.
The people’s watchdog strongly supports the objectives of the draft bill, to improve the quality of financial advice, build trust and confidence in the financial planning industry, and facilitate access to financial advice through the provision of simple or limited advice.
However, the submission raises a number of key concerns around how the objectives of FoFA will be implemented. This includes the risk that significant numbers of consumers will be denied the benefits of the reforms, and that a lack of disclosure in relation to some forms of remuneration will mean consumers are not fully informed or empowered.
Submissions on the draft legislation closed on 16 September 2011.
Read the joint submission from CHOICE and other organisations.