SMSF Association Submission
The SMSF Association (SMSFA) welcomes the opportunity to make a submission on the Treasury Laws Amendment (Ending Grandfathered Conflicted Remuneration) Regulations 2019.
We support the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry’s recommendation 2.4 that grandfathering arrangements for conflicted remuneration in relation to financial advice provided to retail clients should be removed as soon as reasonably practicable. Conflicted remuneration is an inappropriate conflict of interest that has the ability to create misaligned incentives and lead to poor advice.
The SMSFA agrees with the Government’s announced date of 1 January 2021 as the most practicable nearest date to end grandfathered conflicted remuneration.