Surveillance conducted by the corporate regulator found that Sentinel Private Wealth advisers hadn’t completed adequate inquires into clients’ circumstances, completed sufficient analysis of the suitability of strategies, defined the scope of advice, and had used “generic reasons” to support their advice.
Further, Sentinel’s audits did not sufficiently identify the issues, and ASIC said it was concerned the business “may have failed to take reasonable steps to ensure that its representatives complied with financial services laws”.
The enforceable undertaking will see Sentinel engage an independent expert to “assess, make recommendations and report” on the company’s audit framework, as well as review the business’ policies and procedures.
The independent expert will also then conduct ongoing reviews of Sentinel’s client file audits for approximately 18 months.
In 2015, ASIC imposed a number of licence conditions on Sentinel’s AFSL after an independent review found numerous compliance issues within the business, and last month the regulator handed a seven-year ban to one of the business’ authorised representatives.
What are their funds under management? How big is this company?
It would be nice if we had the full story on the guy with the 7 year ban so I won’t comment. However, taking up the point of the NAB and CBA, as an ex-senior exec of these institutions, ASIC NEVER seriously goes after them. I have copies of letters quoting serious breaches across 12 pages in 2007!, empty promises were provided to ASIC with the wrong people put in place to gloss it over (oh I meant to fix it) they didn’t 10 years and after Storm and everything else, still very little from the regulator. One bad adviser in a boutique and you may as well shut the doors. The whole ASIC model is flawed and biased.
true dat. what you gonna do shut down CBA ? where you have to get a job post asic as their adviser. no way bro. wait till you see where medcraft and kell appear.
I have no knowledge of the background of this group. The point is that if any small group had done what CBA or NAB were accused of they’d be out of business. They got no EU, a slap on the wrist and just dug into their coffers to make it all go away. A case of too big to fall
Soft target? based on what exactly? please, while CBA/NAB may fit into the category of questionable vertical integration, the style of advice some sentinel practices were running would make any auditor for a major blush. The big boys are the easiest of targets (perhaps rightfully so?) but that should not stop a regulator cleaning up the often untouched cowboys.
Soft target ASIC, where is the NAB or CBAs EU?
From a Google search they appear to have had some issues in August 2015, you would have to wonder if they are related. I am not saying they are but if you have two bites of the cherry you would hope you don’t have issues the 2nd time.