In a statement, ASIC said surveillance had found 15 per cent of advice files at IOOF-aligned dealer group Bridges Financial Services, and 17 per cent of files at RI Advice, “contained indications of some potential client detriment”.
IOOF had committed to taking remedial action after the regulator’s investigation had uncovered the deficiencies in December last year, ASIC said.
“In response to ASIC’s findings, IOOF has agreed to develop and implement remedial action plans for Bridges and RI Advice to address ASIC’s findings and concerns, including, where appropriate, client review and remediation programs in accordance with ASIC Regulatory Guide 256 Client review and remediation conducted by advice licensees,” the regulator said.
“IOOF has also agreed to provide ASIC’s findings to the boards of directors of Bridges, RI Advice and IOOF Holdings Ltd.”
The regulator said it would review IOOF’s progress against its remedial action plans to “consider whether further regulatory action is required”.
