ASIC finalises Macquarie Equities review

By Tim Stewart
 — 1 minute read

KPMG has completed a 12-month review of Macquarie Equities' client documentation procedures that was undertaken at the request of ASIC.

The finalisation of KPMG's 12-month 'program of work' with Macquarie Equities Limited (MEL) comes after ASIC ended an enforceable undertaking (EU) with the wealth management firm on 29 January 2015.

The EU, entered into in January 2013, followed a "major surveillance" by ASIC that found "systemic and recurring compliance deficiencies in the business", according to ASIC deputy chairman Peter Kell at the time.


Since the beginning of the EU, ASIC has banned three former MEL advisers: Brett O'Malley, Shawn Hickman and Ben Rickman.

In the wake of the EU, ASIC commissioned KPMG to undertake a 12-month review of MEL's advice documentation to test the compliance changes that were implemented under the EU.

ASIC confirmed yesterday the review had been completed, and that KPMG believes the policies, procedures and processes assessed have been "effectively designed" and are "operating effectively".

Based on KPMG's review of the advice files, ASIC noted "an overall improvement in the quality of documentation since the EU's conclusion".

"KPMG did not identify any inappropriate advice, though noted areas for improvement of documentation," said ASIC.

"ASIC notes that MEL's client remediation program, implemented during the EU, is continuing," the regulator stated.

Investigations into a number of former MEL advisers are continuing.

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ASIC finalises Macquarie Equities review
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