ASIC Commissioner Alan Kirkland has outlined the regulator’s current priorities. 

In a speech to financial advice licensees at the Professional Planner Licensee Summit, posted online, Kirkland highlighted the growing need for trusted financial advice as millions of Australians approach retirement age.

The commissioner detailed ASIC's enforcement priorities, which include addressing misconduct that erodes superannuation balances and ensuring compliance with the reportable situations regime.

“We are incredibly active,” he said, noting that ASIC is frequently in courtrooms across the country pursuing cases against individuals and firms, both large and small. 

He said ASIC has removed or restricted 49 people or companies from providing financial services so far this financial year.

Kirkland also discussed the implementation of new reforms, including those related to reportable situations and internal dispute resolution (IDR). 

He expressed concern over the low proportion of licensees submitting reports under the reportable situations regime, a key recommendation from the Financial Services Royal Commission. 

“Where we find evidence of non-compliance, we will take the appropriate action,” he warned.

Regarding the IDR framework, Kirkland said that smaller financial firms were required to submit IDR reports to ASIC for the first time this year. 

This data provides ASIC with insights into how financial firms handle consumer and small business complaints, which will inform future regulatory actions.

Kirkland reaffirmed ASIC's strategic priority of supporting good retirement outcomes for Australians. 

He cited the significance of the Delivering Better Financial Outcomes (DBFO) reforms, aimed at improving access to quality financial advice. These reforms are expected to lead to an expansion in the number of firms offering financial advice, including superannuation funds playing a larger role. 

“ASIC supports the Government’s objective of improving access to high-quality and affordable advice to Australians,” Kirkland said.

Reflecting on the industry's past decade of reforms, Kirkland observed signs of stabilisation despite the significant contraction in adviser numbers since the introduction of professional standards reforms. 

He noted that the number of advisers registered with ASIC had only declined slightly since mid-2023, suggesting a possible stabilisation trend.

Kirkland also mentioned the potential structural reforms under the DBFO process, including the introduction of a new class of adviser and the possible return of major banks to wealth management. 

He says ASIC will consider providing regulatory guidance once these reforms are passed by Parliament to ensure clarity in the application of new laws.