Broking groups to face parliamentary scrutiny

Among the groups that have been called to appear before at the hearing – which forms part of its ongoing review of Australia’s financial institutions – are the Mortgage & Finance Association of Australia (MFAA), the Finance Brokers Association of Australia (FBAA) and the Australian Finance Group (AFG).

Other groups invited by the committee include:  

• Association of Financial Advisers
• Financial Planning Association of Australia
• Finance Adviser Standards and Ethics Authority
• AMP
• IOOF
• Industry Fund Services
• Stockbrokers and Financial Advisers Association

Following the announcement, chair of the committee, Liberal MP Tim Wilson, said: “These hearings are an important mechanism for the Parliament to publicly scrutinise and hold Australia’s financial advice sector to account.

“Many Australians turn to financial advisers and mortgage brokers to help them navigate important financial decisions, such as finding the right mortgage or determining how to best invest in and secure their retirement.

“It is essential that Australians can trust that financial advisers and mortgage brokers are always acting in their client’s best interests, rather than the interests of the adviser or any third parties.”

He concluded: “Given the widespread misconduct in the financial advice sector identified by the Hayne royal commission, it is important that financial advisers, mortgage brokers and those in the industry are held accountable to ensure that they are making the crucial improvements needed to restore trust in the sector.”

The hearing will be conducted via video conference and will be held from 9am-5pm.

[Related: ASIC open to providing further BID guidance if necessary]