Snap Poll: Royal Commission into the banking sector

Do you support a Royal Commission into the Banking sector?

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Comments35

"I for one am fed up of the mudslinging from both sides (Unions and Bankers). Will someone please stand up and give us ideas to improve the system to encourage more Australians get better quality advice and take control of their financial lives? "

Sam Perera 22:47 on 17 Apr 16

"Agree with all contributors that a Royal Commission is a waste of money. Fund the regulators to implement previous report findings and FIX whats wrong be that education or remedial/punitive actions against banks, licensees or individuals who do the wrong thing. "

alex 15:47 on 16 Apr 16

"I'm employed in one of the big 4 (the biggest of the big 4) and it is an overwhelming yes - the public needs to hear the practices that go on in these banks. All the rules and processes you read about in annual reports around CSR don't mean a thing. Profit is #1 at the expense of what is the right thing to do. I know some of you would say why don't you leave then. Not that easy when you have a mortgage and 3 children."

Lisa 19:21 on 15 Apr 16

"We need a Royal Commission as the rot is too far in to try and stop it from within the Industry. I hold my own AFSL and for good reason, mainly so others cannot dictate what I can and cannot do. I cant believe how some Advisers pretend to be actual financial advisers when they cant prepare a simple budget for a client or even consult on debt. They all run off the 'give me your super, give me your investments, give me your risk and I'll take my money from it and if it doesn't work not my fault' attitude which is why there is so much loss of confidence in the market. Things need to change if we want to remain professional and in a big way. No other profession is so tied and embedded to produce poor results as ours, but I know the vast majority will disagree so as to protect their own personal stake."

Pete 16:50 on 15 Apr 16

"Nothing much to add except to second Damien Burns comments. I've said the same thing on this forum previously. Banks should be asked (by the regulators) to decide whether they are product manufacturers or product sellers. They can't be both, not in the financial advice space. The conflicts of interest are gobsmackingly obvious. No Royal Commission necessary. Just common sense. "

Nmac 16:45 on 15 Apr 16

"I agree with Steve, Derek, Anna and James. I think Turnbull does too. This is typical of Labour - Set up a whole new bureaucracy to LOOK at a problem, instead of resourcing and directing the existing regulators and enabling them to do their jobs. We don't need a new bureaucracy, we just need the old one to work. For example, I still struggle with why, instead of setting up the NDIS, Labour (or any Government) just got on with properly funding and resourcing the existing Government and NGO's to get the job done. I think Centrelink and all their clients are the loser out of the NDIS thought bubble, and only a few disabled people seem to have gained. Oh well, at least there are lot of highly paid new jobs for non-disabled bureaucrats."

Michael 15:53 on 15 Apr 16

"remove vertical integration and have the product providers compete against each other on their individual merits. The massaging that goes on to direct the flow of money to where they want it to go needs to stop. After all the inquiries and legislation changes in recent times a Royal Commission is not going to unearth anything significantly new. Many of the issues of recent times are the result of legacy matters that the new regime is now in place to address. Allow it time to take effect."

GT 15:47 on 15 Apr 16

"If it looks like, and smells like something the bull dropped in the paddock, chances are it is something the bull dropped the paddock! Yet another political smokescreen by the labor party."

Notafanof Shorten 15:41 on 15 Apr 16

"If it looks like, and smells like something the bull dropped in the paddock, chances are it is something the bull dropped the paddock! Yet another political smokescreen by the labor party."

Notafanof Shorten 15:34 on 15 Apr 16

"As long as the relationship between unions and Industry Super are also part of the Royal Commission investigation I'll support it. Otherwise, any such investigation would be incomplete, inconclusive, and therefore a waste of taxpayers money."

Maire 15:07 on 15 Apr 16

Pete 14:56 on 15 Apr 16

"Yes there is a lack of trust towards the big players in the financial marlkets. They reap what they sow. The unfortunate outcome will be the ugly taint that migrates through the whole sector as a result of the big players making out that they can do what ever they like. ASIC have the teeth they just need the will power to act."

Phillip 14:56 on 15 Apr 16

"We don't need a Royal Commission to see that the problems stem from a blinkered view that it's all about "shareholder value" (assumed to be short term headline profits), leading to lack of concern for customers, leading to unethical behaviour, leading to unhappy, disloyal customers. Government guarantees, real and implied, and talk of our Four PIllars help to reinforce senior management's complacency. Eventually the result will of course be lower profits and destruction of shareholder value. One example; ANZ has been charging customers incorrect fees including back interest charges for supposed late credit card payments. For a long time they said it was a "computer problem" but showed no interest in fixing it. Customers had to read the small print and complain persistently. "

geoffrey 14:48 on 15 Apr 16

"Labor - 'nuff said"

Shorten's a Joke 14:33 on 15 Apr 16

"We all know what the problems are. Not sure if a Royal Commission is going to change this. Maybe what needs to happen is a total divorce between product manufacturers and their distribution arm. How can the Fiduciary Duty and Best Interest Duty legally be achieved by the distributions channels of the product manufacturers??? These distribution channels continue to have targets to 'SELL' their employers products or the products of their licensee, regardless of Best Interest and Fiduciary. This is without doubt the BIGGEST HYPOCRICY in the industry. It is also a major reason why the industry is struggling to move forward and become a true profession!"

Damien Burns 14:27 on 15 Apr 16

"Yes - like Torah I work in one of these banks and agree 110%. A Royal Commission is the last chance to not only restore consumer trust, but also the internal trust of advisers vs their upper management. We are now left wondering what are the true ethics and culture of the people we are working for. "A properly resourced" regulator is never going to happen James. Politicians want to be able to maintain control of any sanctionings (depending on who it is in the frame vs who it is giving them the party donations) - and let's face it, ASIC have been found wanting which is partly why we're now at the stage we're at.... ."

Delie 14:27 on 15 Apr 16

"A populist ploy from proven failures"

Brian Middleton 14:09 on 15 Apr 16

"Royal Commission will not uncover anything that we don't already know. Now we need regulators to be able to take action to remediate the problems. The money therefore would be better spent making sure the regulators are adequately funded to do their jobs."

Steve 14:04 on 15 Apr 16

"The only people that will suffer as a result of an RC is advisers and clients who won't look to seek advice. The banks can ride out an RC, but those advisers who earn just enough to cover their family expenses and mortgages will again be hit by negative headlines not of our doing. And I have my own license."

John 13:55 on 15 Apr 16

"This idea of a Royal Commission doesn't come from a sincere place and anyone who believes that it does is naive. A Royal Commission would, yet again, drag the financial planning industry through the mud, eroding client confidence and business relationships along the way. Instead, simply make penalties for misconduct significantly more painful than they are today, and observe a sudden and miraculous 'cultural shift' within vertically integrated organisations (and others) take place. In the meantime, leave the hard-won reputations of ethical advisers alone. However, if we must endure another investigation, it would only be fair to also include an exhaustive investigation into the potentially conflicted links between Bill Shorten, Unions and David Whitely/Industry Super Funds. "

Rick 13:51 on 15 Apr 16

"think of all the royal commissions we have had. when did they make a difference to anything, except the lawyers bottom line. total waste of time and a distraction from the real issues. "

Anne Cavenagh 13:50 on 15 Apr 16

"The conversation continues about the small % of business practices that have done the wrong thing. What about the vast majority of groups and all of their staff striving to help Australian create a better life for themselves. Yet again more Australians will not get advice from headlines."

Troy 13:50 on 15 Apr 16

"FFS - you can't have a Royal Commission into culture! They have a regulator in ASIC, APRA, ACCC all of whom should be looking after the inadequacies like product manufacturing, processes, capital requirements, PDS, FSGs, dodgy practices, etc. It comes down to culture, culture, culture - invest the dollars into education. I agree with Melinda Houghton on this."

Derek Walsh 13:38 on 15 Apr 16

"A royal commission into the unions and industry funds would be a fantastic starting point. Moving forward make it a level playing field for all those involved in financial services including industry funds either in their PDS or annual report disclosing the amount of money they receive from their group insurance (whether commission or not). Surely Bill Shorten and the Greens would support that!?"

Rory Mackenzie 13:32 on 15 Apr 16

"Don't need the cost and time of a Royal Commission. We all know what the problem is - just fix it!!"

Tony 13:31 on 15 Apr 16

"The multi squillions should be given to ASIC instead of the lawyers picnic of a RC. Action is louder than words. We are already doing plenty to the Banks anyway! Every year there's another assault. Don't know how they have time to service customers!"

Anna Mignon 13:28 on 15 Apr 16

"The ALP have had a shocker. A bit like the Greens 2 years ago trying to put in a mining style tax levy on the mining sector. It would of been a disaster for miners at that stage of the mining cycle imagine if that got put through? Same position for the banking cycle right now. When are these polies going to get some study done on basic economics and business cycles. Wake up Australia."

Kirk 13:26 on 15 Apr 16

"Bring it on, IF THE BANKS HAVE NOTHING TO HIDE THEN THEY SHOULD BE FOR IT, AS THEY ARE AGAINST IT THEY ARE HIDING SOMETHINGS we all know we are being ripped of, not passing on rate cuts, and if they do it takes weeks after the RBA, and if they go up it takes 12 hours. We all know there is collusion as they seems to take turns in, we know what they have done to our farmers, untouchable, no one has the guts to investigate! why are they being paid of the RBA cuts rates the banks don't pass it on and the government has no power "

Rodney 13:26 on 15 Apr 16

"Why not expand the current ROYAL COMMISSION into UNION CORRUPTION and into CORRUPTION in GENERAL."

Fergus Hardingham 13:20 on 15 Apr 16

"YES BRING IT ON. Until the vertically integrated distribution model is blown apart then financial services in Australian will remain 2nd rate. How many scandals does it take before change happens? The issue is generally not the front line adviser but the culture which is rife in the major insto's and which is rotten to the core. Bring on a Royal Commission and finally let financial planning flourish as a respected profession. "

Mark 13:17 on 15 Apr 16

"We know what has gone on, we know who is responsible. Put the money into client education to avoid this rubbish in the first place, and on prosecution of the wrongdoers we already know about."

Melinda Houghton 13:16 on 15 Apr 16

"What a waste of money the government cannot afford to spend. ASIC report 76 cases since 2009. While zero tolerance is what we expect, I hardley think this constitutes a royal commission considering the recent FIS reports completed. If we all agree to be part of a profession we will improve the ethics and standards of all within which will provide better outcomes for consumers."

Lea 13:08 on 15 Apr 16

"It is not the Risk Adviser or the Financial Planners fault 100% of the time. Comm Insure Life recent claim activity or should I say inactivity proves that point. "

glenn beard 13:08 on 15 Apr 16

"YES, YES, YES - the same things keep happening in banks and the same toxic managers keep rising to the top. Banks reward alpha people because they're more likely to be aggressive in getting what they want. The more introspective, socially minded in the banks aren't seem to be conducive to shareholder 1st, customer 2nd. And I work in one of these banks."

Torah 11:52 on 15 Apr 16

"What a load of claptrap - rather than spend wasteful millions on a Royal Commission, throw more money at the bureaucrats (first, and only time you'll hear me say that). We need a well funded, properly resourced regulator."

James Doyle 11:47 on 15 Apr 16

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