The Australian Securities and Investments Commission (ASIC) has released updated licensing guides to ensure all Australian financial services (AFS) licensees have adequate arrangements for managing conflicts of interests.

Under the Corporate Law Economic Reform Program (CLERP 9) legislation, conflicts of interest will face new disclosure requirements from January 1. From that date all AFS licensees must have adequate arrangements for managing conflicts of interest that may arise wholly, or partially, in relation to the provision of financial services by the licensee or its representatives.

Ian Johnston, ASIC’s Executive Director FSR, says applicants which are small business operators – that is, where 10 or fewer people are directly involved in providing financial services – should also refer to ASIC’s updated Small Business Guide, which provides guidance on how small businesses can satisfy their obligation.