ASIC suspends Australia AFS license of FX education site Traders4Traders


Australia financial regulator ASIC has suspended the Australian financial services (AFS) license of Sydney-based Traders4Traders Pty Ltd for failing to comply with a number of key obligations as a financial services licensee.

Brad Gilbert, Traders4Traders
Brad Gilbert, Traders4Traders

Traders4Traders operates the www.traders4traders.com.au website, providing training and education services for FX traders. It is headed by Founder and Managing Partner Brad Gilbert.

In particular, ASIC found that Traders4Traders:

  • failed to lodge financial statements, auditor reports and auditor opinions over consecutive years, and
  • failed to advise ASIC in writing, within 10 business days, of becoming aware of this significant breach.

ASIC Deputy Chair Peter Kell said:

Licencees are required to lodge financial statements with ASIC to demonstrate their capacity to provide financial services. Failure to comply with reporting obligations can be an indicator of a poor compliance culture. ASIC won’t hesitate to act against licensees who do not meet these important requirements.

For now the suspension of Traders4Traders’ ASIC license is temporary, until April 21, 2016. If the company doesn’t file the required documents by this date, ASIC will consider whether the license should be cancelled altogether.

Traders4Traders also has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision.

Background

Traders4Traders provides general financial product advice and is authorised to deal in foreign exchange contracts.  Their business focuses mainly on training and education in FX trading.

The annual lodgement of audited accounts is an important part of an ASIC licensee, demonstrating it has adequate financial resources to provide the services covered by its licence.

ASIC stated that the suspension of Traders4Traders license is part of its ongoing efforts to improve standards across the financial services industry.

For more on the suspension of Traders4Traders’s ASIC license click here.

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ASIC suspends Australia AFS license of FX education site Traders4Traders

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