ASIC places interim stop orders on Trilogy schemes
The corporate regulator has raised the issue of misleading product disclosure statements, placing interim stop orders on two schemes.
In a statement released today, ASIC announced it had placed stop orders on the product disclosure statements and associated advertising for Trilogy Monthly Income Fund and Trilogy Melbourne Office Syndicate, Cheltenham – of which Trilogy Funds Management Limited is the responsible entity.
According to the statement “ASICs concerns relate to, among other things: the use of headline rates of return; comparisons of the schemes to other financial products without disclosing the differences between these products; failure to address benchmark disclosures or meet disclosure principle information standards as outlined in relevant ASIC regulatory guides; use of ratings statements without providing adequate details about the meaning of the rating or where investors could obtain further details of the rating; and clear concise and effective disclosure of the structure and nature of the product being offered”.
ASIC commissioner Greg Tanzer said:
“‘It is important that disclosure documents and advertisements are clear, accurate and balanced, and when comparing products in an ad, the products should be similar enough to make the comparison relevant and not misleading.
“This is especially the case when consumers are looking for lower risk products and/or higher yields in an uncertain global financial environment.”
AIOFP ‘appalled’ by ANZ shut down of adviser revenue
EXCLUSIVE Industry body the Association of Independently Owned Financial Profess...
Government reveals new financial services minister
The federal government has named a new Assistant Minister for Superannuation, Fi...
Maurice Blackburn chosen to undertake class action against AMP
Law firm Maurice Blackburn has been selected by the NSW Supreme Court to underta...