Australian financial services licence holder Carwardine Financial Services Pty Ltd (CFS) will undergo an independent external review of its compliance with the financial services laws, following an ASIC surveillance that concluded in September 2016.

ASIC’s surveillance of CFS identified concerns surrounding compliance with the obligation to act in the best interests of clients and the appropriateness of advice provided to clients.

ASIC also had concerns about:

• CFS’s resources to ensure that it complied with its obligations as a licensee and to carry out supervisory arrangements; and
• CFS’s ability to ensure that its representatives comply with the financial services laws.

CFS has agreed to engage an independent expert who will review, assess and make recommendations regarding CFS’s compliance with the financial services laws. The expert will also assess whether recommendations made have been implemented effectively.

The independent expert will report to ASIC and CFS.

CFS has cooperated fully with ASIC’s inquiries and ASIC acknowledges the constructive action taken by CFS to address its concerns.