ASIC updates advertising guidance for financial advisers

The Australian Securities and Investments Commission (ASIC) has released an updated Regulatory Guide 234 regarding the advertising of financial products and services. This marks the first revision of the guide since February 2012.

The updated guidance incorporates previous information regarding past performance in promotional materials and reflects ASIC’s recent enforcement and regulatory actions. Industry experts note that the guidance applies to a wide range of media, including websites, social media posts, podcasts, and short-form videos such as Instagram reels and TikToks.

While the guide is not new law, it outlines how the regulator interprets existing rules concerning misleading or deceptive conduct. The guidance applies to financial advisers, distributors, and intermediaries, including lead generators, emphasizing that the regulator assesses advertisements based on the initial impression they leave on prospective clients, regardless of any fine print.