COMPLIANCE
SMSF Cluedo: who, what, when and how
It is critical for practitioners to know if they are providing financial advice to an SMSF member or trustee as this knowledge can also play a part in defining the scope of advice, writes Bryan Ashenden.
BRYAN ASHENDEN is head of financial literacy and advocacy at BT Financial Group.
50 selfmanagedsuper
Sometimes providing advice on SMSFs can feel like a game of Cluedo. Not because you are trying to get away with murder, of course, but because there always seem to be so many unanswered questions. Two of the biggest questions in providing advice, whether on SMSFs or not, are related to the how and when: how can I provide scaled advice and when can I provide it. This has certainly been a hot topic in recent times, with some confusion existing due to the Financial Adviser Standards and Ethics Authority (FASEA) Code of Ethics,
announcements from the Australian Securities and Investments Commission (ASIC) around COVID19-related relief and Australian financial services licensee policies. Let’s start by dispelling some of these myths. The FASEA issues have arisen as a result of Standard 6 of the code, which requires an adviser to “take into account the broad effects arising from the client acting on your advice and actively consider the client’s broader, long-term interests and likely circumstances”. If you have to think
