The Australian Securities and Investments Fee (ASIC), Australia’s monetary regulatory authority, introduced as we speak that it has cancelled the Australian Monetary Companies (AFS) license of Pure Technique Pty Ltd (Pure Technique).
In an official announcement, the monetary regulator talked about that the current cancellation of Pure Technique’s AFS license was because of the firm’s failure to adjust to its basic obligations. ASIC highlighted that Pure Technique has the precise to hunt a evaluate of the current determination.
Earlier this month, ASIC launched a report concerning the licensing actions between July 2020 and June 2021. Throughout the talked about interval, ASIC issued 339 new Australian Monetary Companies (AFS) licenses and 119 new credit score licenses. The demand for AFS licenses has elevated considerably because the begin of 2020.
Within the current press launch, ASIC talked about that Pure Technique did not adjust to a number of license situations. The corporate has held an AFS license since 2011 (license quantity 403524).
“ASIC discovered that Pure Technique did not have ample sources to hold out a monetary companies enterprise, failed to take care of competence to offer the monetary companies below its license, and failed to make sure its representatives complied with monetary companies legal guidelines. Pure Technique additionally did not adjust to its license situation to have a ‘key individual’,” ASIC talked about.
“Underneath the phrases of the cancellation, Pure Technique’s license will stay in impact for 12 months for the needs of sustaining its membership of the Australian Monetary Complaints Authority and its obligation to carry skilled indemnity insurance coverage cowl,” the authority added.
ASIC’s Strict Stance
The Australian Securities and Investments Fee launched strict measures in 2021 to guard retail buyers in Australia. In April 2021, the authority introduced a ban on binary choices for Australian retail purchasers. Throughout ASIC’s critiques in 2017 and 2019, the regulatory authority found that round 80% of retail purchasers misplaced cash buying and selling binary choices.
In March 2021, ASIC’s restrictions on retail CFDs buying and selling got here into impact.