NAB admits Corporations Act breaches on planner fees
National Australia Bank plus its superannuation business (NULIS) have accepted that it is open to the Royal Commission to find that NULIS breached or was likely to breach the Corporations Act with respect to Planner Service Fees (PSFs).
In a written submission responding to arguments put by counsel assisting the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry, the big banking group acknowledged that the breaches may have occurred where fees were deducted from member accounts with no linked advisers.
It said that the same finding was capable of being made with respect to adviser service fee (ASF) deductions.
However, the big banking group pointed out that NAB and NULIS had fully accepted the seriousness of the matters and that the issues had been previously acknowledged and reported upon and had been the subject of remediation.
“It is important to recognise the context in which the PSFs and ASFs were applied, and the steps taken by NAB and NULIS to remediate errors once they were identified,” the submission said.
“…as to the introduction of PSFs and ASFs, the intention was to make the fees payable by members more transparent and easier to understand. NAB was a market-leader in this respect,” it said. “However, NAB and NULIS recognise that, despite the best of intentions, the application of the new fees had flaws.”
“As to remediation, each event has been investigated, reported to the relevant regulator and has been (or will be) remediated,” it said.
Recommended for you
The super fund has launched Retirement Manager, a digital advice tool helping members plan income, spending, and retirement confidence with integrated support.
APRA has warned retail super trustees that financial adviser involvement in recommending platform products does not diminish their obligations, as regulators turned the spotlight on the Shield Master Fund and First Guardian Master Fund during a meeting with fund CEOs.
AMP’s chief economist has unveiled a wish list for the Australian government’s Economic Reform Roundtable.
Australian retirees could increase their projected annual incomes between 3 and 51 per cent by incorporating personal and household data into their retirement income strategies, according to new research.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
215.17 3 y p.a(%)
2
Loftus Peak Global Disruption Fund Hedged
118.15 3 y p.a(%)
3
Global X 21Shares Bitcoin ETF
75.00 3 y p.a(%)
4
UBS Solactive Global Pure Gold Miners UCITS ETF Dis USD
61.11 3 y p.a(%)
5
Global X Ultra Long Nasdaq 100 Complex ETF
60.93 3 y p.a(%)
