Australian regulator suspends AFS licence of Financial Options Pty Ltd

Maria Nikolova

The licence was suspended due to ASIC’s concerns that Financial Options was not meeting its obligations as an AFS licensee.

The Australian Securities and Investments Commission (ASIC) has suspended the Australian financial services (AFS) licence of Queensland-based financial services provider Financial Options Pty Ltd. The suspension will be in force until February 26, 2020, the Australian regulator said in an announcement published today.

The suspension is due to ASIC’s concerns that Financial Options was not meeting its obligations as an AFS licensee.

Financial Options did not file its accounts and audit report for the year to end-June 2018, failed to have a dispute resolution system in place, and did not maintain organisational competence or the resources required to provide the financial services covered by its licence. Upon receiving a notice of hearing from ASIC, Financial Options applied for membership with the Australian Financial Complaints Authority (AFCA) scheme, which took effect from May 31, 2019.

The suspension period will allow Financial Options to lodge its outstanding financial reports and do all things necessary to address ASIC’s outstanding concerns in relation to financial reporting obligations, organisational competence, human resources and compliance requirements.

The regulator warns that it will consider cancelling the licence if Financial Options cannot demonstrate that it is able to comply with the obligations at the end of the suspension period.

ASIC explains that the suspension of Financial Options’ AFS licence is part of its ongoing efforts to improve standards across the financial services industry. In March this year, for instance, ASIC said it had taken away the AFS licences of two financial services providers due to their failure to become members of the AFCA scheme. The businesses whose licenses got taken away are both NSW-based. Sydney Business Accounting’s licence cancellation took effect on February 14, 2019, and A G Calleia & Co’s licence was cancelled on February 15, 2019.

Financial Options may apply to the Administrative Appeals Tribunal for a review of ASIC’s decision.

Read this next

Metaverse Gaming NFT

DCentral Miami brings together all of Web3, NFT, DeFi, Metaverse

The world’s biggest Web3 meeting entitled DCENTRAL Miami is set to take place November 28-29, featuring a lineup of some of the biggest and most influential names in the blockchain space.

Digital Assets

Crypto ban expands across UK banks as Starling joins ‎crackdown

UK digital bank Starling has banned ‎all customer payments related to cryptocurrencies, another blow for the crypto traders ‎who recently saw a sizable number of banks deciding not to ‎finance the wobbly asset class.‎

Interviews

Markets Direct at FIA EXPO 2022: Traders know what they want from brokers

The FIA Expo 2022, one of the most prestigious events within the global derivatives trading industry, took place in Chicago on 14 & 15 November.

Interviews

FIA Expo 2022: TNS addresses public cloud limitations with hybrid infrastructure

November is the month of the FIA Expo, one of the largest futures and options conferences in the world, bringing together regulators, exchanges, software vendors, and brokers in one place: the Sheraton Grand Chicago Riverwalk. 

Retail FX

Italy’s regulator blacks out Finance CapitalFX, MFCapitalFX

Italy’s Commissione Nazionale per le Società e la Borsa (CONSOB) has shut down new websites in an ongoing clampdown against firms it accuses of illegally promoting investment products in the country.

Retail FX

Suspected leader of Honk Kong ramp-and-dump scam appears in court

A leader of a sophisticated ramp-and-dump scheme made his first court appearance in a Hong Kong court today, charged with market manipulation and various criminal offences. The case stems from an earlier joint operation of Hong Kong’s financial watchdog, the Securities and Futures Commission (SFC), and the local police. 

Institutional FX

Cboe’s James Arrante discusses growing demand for fixed income, FX algo

We caught up with James Arrante, senior director of FX & US treasuries product and business management at Cboe Global Markets, to uncover emerging trends in the FX and fixed income markets and learn more about the bourse operator’s recent initiatives.

Retail FX

Eurotrader acquires UK broker Petra Asset Management

Eurotrader Group has formally entered into the UK market with the acquisition of FCA-regulated broker, previously named Petra Asset Management Ltd. The new entity operates under the brand name Eurotrade Capital Ltd.

Inside View, Retail FX

The Game of Chess Continues – OPEC, China and the Oil Market

Over the past decade, the US has been complaining about the amount of power which the BRIC group, and specifically China, has on the global economy. BRIC stands for Brazil, Russia, India and China; these were the world’s fastest growing economies. Only in the past 10 months, the US has turned their attention toward OPEC due to the prices of fuel. Nevertheless, China seems to have a strong influence even over the price of crude oil.

<