ASIC New Reference Checking And Information Sharing Protocol

The Australian Securities and Investments Commission (ASIC) released its ASIC Corporations and Credit (Reference Checking and Information Sharing Protocol) Instrument 2021/429 (the ‘protocol’) in July 2021, and it is taking effect on 1 October 2021. This protocol provides guidance to the financial services industry about reference checking and information sharing requirements for prospective financial advisers and mortgage brokers.

The new protocol and Act are put in place after the Royal Commission found that financial services licensees and credit licensees were not sufficiently communicating with each other about the background of prospective employees; allowing individuals with misconduct in their past to continue to gain employment in the industry and move around to different employers.

Download this whitepaper to understand how the new obligations for financial services licensees and credit licensees may impact your hiring programs and the steps required to comply with the protocol in relation to reference checking and information sharing for prospective financial advisers and mortgage brokers.