26-029MR ASIC commences new overview of recommendation licensees that use lead technology providers

ASIC has commenced a brand new overview of recommendation licensees utilizing lead technology providers as a part of its ongoing program of labor to deal with practices that inappropriately or unnecessarily encourage customers to change their superannuation.

Lead technology is a advertising exercise designed to create shopper curiosity in a services or products, with the aim of persuading customers to buy the services or products. These providers use a variety of promoting methods to introduce customers to monetary providers companies – together with some companies that encourage customers to change their tremendous.

ASIC is anxious that sure practices related to some lead technology providers in monetary recommendation and superannuation could expose customers to a danger of serious losses.

To assist mitigate dangers to customers, ASIC has commenced a overview to establish monetary recommendation companies that use lead technology providers, to grasp the character of those preparations and the place applicable, take disruptive or enforcement motion.

As a part of the overview, ASIC is publishing a list of known entities concerned in lead technology, these appearing as referral companions, and recommendation licensees or company authorised representatives which have acquired leads, since 1 July 2024.

To enhance transparency for customers, ASIC will proceed to replace this checklist of companies, web sites, authorised representatives, monetary advisers and monetary providers licensees concerned in lead technology, appearing as referral companions or partaking the providers of lead turbines all through the course of this overview.

The naming of the entities on this checklist shouldn’t be construed as a sign by ASIC {that a} contravention of the regulation has occurred, nor ought to it’s thought of a mirrored image upon any individual or entity.

However, customers ought to train extra warning when partaking with any enterprise that makes use of lead technology and displays the options listed beneath, together with by hanging up on unsolicited calls when feeling pressured into making a call.

Financial advisers and recommendation licensees ought to rigorously think about whether or not they can adjust to their authorized obligations if partaking with lead technology companies or endeavor lead technology actions that embrace these options.

Superannuation trustees ought to overview this checklist of options and evaluate it with their very own inside information for indications of high-risk superannuation switching conduct.

ASIC warns that lead turbines that mislead customers, utilise excessive strain ways or present monetary providers and not using a licence will danger contravening the regulation. Licensed individuals or entities that have interaction the providers of lead turbines appearing on this manner, share this danger. ASIC is placing contributors on discover and can think about taking enforcement motion the place we detect proof of contraventions of the regulation.

Message for customers

Before making essential selections, ASIC encourages customers to be cautious if somebody calls about your tremendous. Consumers could obtain a name after clicking on an commercial on social media, filling out a type on an excellent comparability web site, or with out solicitation. Lead turbines could provide a free ‘super health check’ or to seek out your misplaced tremendous. These could be gross sales ways designed to strain customers into switching superannuation – even when an excellent fund is performing properly. If you feel pressured or not sure, you need to simply dangle up.

Consumers needs to be cautious of the next options:

• Being pressured to behave instantly
• Claims that your present fund is underperforming
• The touting of free superannuation ‘health checks’ and prizes (typically through social media ads or web sites)
• Offers to seek out and consolidate ‘lost super’ totally free
• The involvement of unlicensed folks within the recommendation course of
• Predominant engagement over the cellphone with restricted consumer contact with a monetary adviser
• Poor or no product disclosure
• Promises of excessive or unrealistic returns

Consumers can go to Moneysmart’s dedicated webpage for extra data on methods to shield their tremendous from high-risk gross sales ways. Consumers wishing to compare the performance of MySuper products or to find their lost superannuation accounts can accomplish that on the ATO’s web site.

Known entities concerned in lead technology, referral companions and recommendation licensees and/or company authorised representatives which have acquired leads

The naming of the entities in Table 1 and a pair of shouldn’t be construed as a sign by ASIC {that a} contravention of the regulation has occurred, nor ought to it’s thought of a mirrored image upon any individual or entity.

Tables 1 and a pair of aren’t exhaustive and are based mostly on the knowledge obtainable to ASIC as a part of our overview, on the time of publication (18 February 2026). The identify or contact particulars could have modified since an entry was added.

While this data pertains to the interval from 1 July 2024, some entities included in Table 1 and a pair of could have ceased involvement in lead technology actions by or after the time of publication.

Visit Moneysmart for updated list of known entities

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