The Australian Securities and Investments Commission (ASIC) has decided that all financial advisers, including planners, brokers and life insurance sellers, will not only have to disclose the value of commissions but also job perks such as trips away and other freebies.

Policy statement 175 comes after the recent financial planners’ survey which showed that many planners were pushing more business into high commission accounts. 

Ian Johnston, ASIC’s Executive Director of Financial Services Regulation, says the new rules “are designed to ensure that investors are given suitable personal advice, and that they are adequately informed about the adviser and the advice they receive”.

PS175 sets out decisions on the difference between personal and general advice, when and how a financial services guide must be provided, and the new requirement to disclose fees, commissions and all other benefits.