ASIC issues warning to online brokers

According to the commission, which this week released the results of a survey it conducted of 29 Australian-based online trading websites, two-thirds of sites did not provide adequate information on dispute resolution procedures.

Roughly 20 per cent of all trades in Australia are conducted via the internet, ASIC said.

The director of ASIC's national markets unit, Clair Grose, said that retail traders were too often compelled to lodge complaints with ASIC itself when they found complaints were being handled too slowly, if at all, by their web brokers.

"Execution only" services are not sufficient for a stockbroker to offer via its website, she said.

She said that even online brokers with functioning complaints-handling procedures in place needed to fully disclose those processes on their websites.

ASIC encourages web brokers to include information on their sites pertaining to the dangers of "speculative day trading". Grose cited instances of brokers offering one-day trading loans of up to $25,000, without issuing any warnings.

Grose urged online brokers to clearly identify the parties that represented the ASX and the contact telephone numbers of those parties.

Of the 29 online brokers surveyed, 17 are listed on the Australian Stock Exchange. The other 12 are trading portals independently owned by financial services companies.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Byron Kaye

PC World
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Matthew Stivala

HP OfficeJet 250 Mobile Printer

The HP OfficeJet 250 Mobile Printer is a great device that fits perfectly into my fast paced and mobile lifestyle. My first impression of the printer itself was how incredibly compact and sleek the device was.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?