ASIC sends mixed signals to online pundits

In its Guidelines for Internet Discussion Sites paper, released yesterday, ASIC suggests alterations to commission policy, such that advisers are no longer required to hold ASIC licences to post investment advice in internet chat rooms, providing their advice is clearly accompanied with a disclaimer.

However, according to investment bank ABN Amro's head of compliance Michael Hains, the proposed alterations are inconsistent with current ASIC proposals to amend corporations law in favour of stricter standards for licensed investment advisers.

Allowing unlicensed investment advice to be posted on the internet while simultaneously tightening compliance standards for licensed advisors "doesn't seem to gel too well together", Hains said.

"ASIC allows people to say things on an internet discussion site but then, when advice is given by an adviser, there is nevertheless a very high level expected (from ASIC)."

"Anyone who's been in one of these discussion groups knows that things said are neither accurate nor true," he said.

Hains believes that the proposed regulatory amendments contradict the existing investment advisory licensing regime, which forces advisers to be "liable for what they say".

Meanwhile, the director of the University of Melbourne's centre for corporations law and securities evaluation, Ian Ramsay, welcomed ASIC's attempt to "encourage information in the marketplace" -- provided that any amended regulations have the requirement that unlicensed advisers clearly state that they are unlicensed.

Ramsay predicted that small-to-medium listed companies that struggle for publicity in the marketplace would thrive under looser online investment advice regulations.

"We are in an era where it's difficult to control information," he added.

Join the PC World newsletter!

Error: Please check your email address.

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Byron Kaye

PC World
Show Comments

Essentials

Lexar® JumpDrive® S57 USB 3.0 flash drive

Learn more >

Microsoft L5V-00027 Sculpt Ergonomic Keyboard Desktop

Learn more >

Mobile

Lexar® JumpDrive® S45 USB 3.0 flash drive 

Learn more >

Exec

HD Pan/Tilt Wi-Fi Camera with Night Vision NC450

Learn more >

Audio-Technica ATH-ANC70 Noise Cancelling Headphones

Learn more >

Lexar® Professional 1800x microSDHC™/microSDXC™ UHS-II cards 

Learn more >

Lexar® JumpDrive® C20c USB Type-C flash drive 

Learn more >

Budget

Back To Business Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

PCW Evaluation Team

Michael Hargreaves

Windows 10 for Business / Dell XPS

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?