Former Storm adviser hit with ASIC action

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This adviser has continued to practice following a stint with Storm but, following his term with the failed financial advice company, ASIC's concerns about the quality of his advice have got him into hot water.

ASIC was concerned that, after leaving Storm and continuing to work as a financial planner, Terence Edward Webb – who is now an authorised representative of Synchronised Business Services Pty Ltd – may not have had a reasonable basis for the advice that he provided, or may have provided incomplete or inaccurate advice to his clients.

Webb has now submitted an enforceable undertaking (EU) to ASIC, which the regulator has accepted. Under the EU, Webb has agreed to:
  • complete specified courses of professional development within twelve months; and
  • submit to a regime of supervision, audit and review of the financial services he provides to clients by an ASIC approved independent senior financial planner for two years.

The EU submission follows an ASIC investigation which led to concerns that Webb, while employed at Storm, only advised clients to invest in accordance with the single investment strategy predominantly recommended by Storm.

The regulator was concerned that he failed to warn those clients that this advice may not have been tailored to meet their financial goals and objectives.

ASIC commissioner Peter Kell said the outcome of its latest investigation into a former Storm representative reflected its commitment to ensuring financial advisers met required standards and maintaining consumer confidence in the financial services system.

More stories:

Adviser sent back to school by ASIC

  • Tom on 22/11/2012 10:02:05 AM

    What a lynch mob!
    Have you got your rope?
    What about the hanging tree?
    I don't know this guy but without full knowledge I have to trust ASIC's judgement.
    Who really is a 'professional. I'm a CPA + CFP but I know many CPA's, CA's (and solicitors) who I wouldn't call "professionals".

  • Craig CFP on 22/11/2012 12:07:08 AM

    This is exactly the reason why the industry has no credibility with the public. Why on earth give this guy a second chance ???? Until we start taking proper action to rid outselves of people like this, first time every time, we cannot stand up and call ourselves professional. For goodness sake, make a stand, and get rid of this guy, and everyone like him.

  • Gerry Porter Qld Manger Synchron on 21/11/2012 7:48:26 PM

    I know this guy Professionally and he is not a bad bloke. If he had been as bad as some migt say I am sure ASIC would have banned him. Enforceable undertaking and Professional Development Courses will help this adviser to be a better adviser in the future. After all humans do not get it right all of the time, but we all try...

  • Paul R on 21/11/2012 4:23:28 PM

    Yes, there are still a lot of 'financial planning' firms that still operate under this one size fits all strategy and virtually nothing is being done about them, by the FPA, by ASIC, or anybody else it seems. What's more, it is a financially flawed model - it will fail at some point, just nobody knows when. But according to the regulators, it is OK? Go figure....

  • Brian on 21/11/2012 3:56:14 PM

    Lets get back to the fundamentals---- why did this slease get his FIRST chance

  • Jack CFP on 21/11/2012 3:24:38 PM

    They are giving this guy a second chance? What a joke!

  • Robert Zajac on 21/11/2012 2:50:58 PM

    No amount of new or tweeked regulation will remove the cowboys, it will simply make the hurdles for everyone higher.

  • Alex Warren on 21/11/2012 2:40:59 PM

    this is the sort of guy we dont want in our industry. Their are plenty of firms that still do this and provide the same strategy to each and every client. Í think they should have just removed authorisation and marched him out the door.

  • bugs on 21/11/2012 3:52:34 PM

    He was my adviser and I thought friend of the family. He and all the others should never be allowed to be financial advisors, or company directors or sit on the boards of football clubs(2 of them do now). All should have been jailed but ASIC are toothless

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