ASIC has banned a Rockhampton-based adviser from providing financial services for five years.
The corporate regulator found Michael Richard Irwin did not have a resonable basis for the advice he provided between June 2012 and June 2013.
Mr Irwin, who was licensed by Synchronised Business Services at the time of his misconduct, also failed to provide Statements of Advice (SOAs) that disclosed the basis on which his advice was given.
In particular, Mr Irwin failed to take into account clients' existing insurance arrangements when recommending clients take out insurance products, and adequately disclose to clients why the asset portfolio implemented for the clients departed from the asset allocation set out in the SOAs, according to ASIC.
"Mr Irwin's conduct demonstrates a clear failure of his obligation as a financial adviser to act in the interests of his clients and ensure they are in an informed position when accepting his advice," said ASIC deputy chairman Peter Kell.
"ASIC is focused on removing financial advisers whose behaviour undermines confidence and trust in the advice industry," Mr Kell said.
Mr Irwin has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decision.
Magellan wrapped up a tumultuous year with a 9 per cent drop in average funds under management.
With more still to come.
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