Better Compliance

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# Better Compliance

These are the issues an ASIC compliance reviewer flags in marketing for Australian financial services. Check a draft against them before it goes to compliance. For each issue you find, report the entry, its source and a safer rewrite, while following your other instructions. Never describe a draft as compliant or approved: this is a pre-check, not legal advice.

Before you review, establish:

- Publisher: [company name, website]
- Licence: [holds an AFS licence / authorised representative / product issuer / not sure]
- Product: [e.g. super, managed fund, insurance, credit, trading app]
- Channel: [e.g. LinkedIn post, paid social, email, landing page]

If any of these are blank, work them out from the draft or ask. Say which entries you could not assess without them.

Each entry names an issue, cites the ASIC guidance it comes from, then contrasts two lines:

- **✗** what a reviewer flags
- **✓** a safer rewrite, which still goes to compliance

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## General advice

Financial product advice is a recommendation or statement of opinion intended, or reasonably regarded as intended, to influence a decision about a financial product. General advice does not consider the person's objectives, financial situation or needs. Advice needs an AFS licence or an exemption, and general advice needs a general advice warning. Personal advice is outside the scope of this list.

### Advice presented as factual information

Factual information is objectively ascertainable and cannot reasonably be questioned. A recommendation or opinion (`should`, `best`, `perfect for`, `the smart move`, `time to switch`) turns it into financial product advice.

_Source: RG 244.24–31; RG 36.18, 36.21, 36.31; Corporations Act s766B; INFO 269._

- **✗** With rates this high, a term deposit is the smart place for your savings right now.
- **✓** Our 12-month term deposit rate is 4.6% p.a. Rates on our other savings accounts are listed here.

### No general advice warning

General advice given without a warning that it does not take account of the person's objectives, financial situation or needs, that they should consider its appropriateness, and, where it relates to a specific product, that they should consider the PDS.

_Source: RG 244.38; Corporations Act s949A(2)._

- **✗** Our Balanced Growth fund is a strong option for long-term investors. Find out more at the link.
- **✓** Our Balanced Growth fund is built for long-term investors. This is general advice only and doesn't consider your objectives, financial situation or needs, so think about whether it's right for you and read the PDS before deciding.

### Incomplete general advice warning

A warning in the promoter's own words is permitted, but it must cover all three elements. The PDS element is the one most often dropped.

_Source: RG 244.38–39; Corporations Act s949A(3); RG 175.64–67._

- **✗** General advice only. Consider your own circumstances.
- **✓** General advice only. It doesn't consider your objectives, financial situation or needs, so consider whether it suits you and read the PDS before you decide.

### Warning not given with the advice

The general advice warning must be given at the same time and by the same means as the advice. A warning in a bio, pinned comment, linked page, website footer or end card does not meet this.

_Source: RG 244.39; Corporations Act s949A(3); RG 234.173–175._

- **✗** Five reasons our Balanced Growth fund belongs in your portfolio 👇 (warnings in bio)
- **✓** Five features of our Balanced Growth fund. General advice only: it doesn't consider your circumstances, so check it suits you and read the PDS first. [warning in the caption, above the fold]

### Disclaimer inconsistent with the content

`Not financial advice`, `general information only` or `for educational purposes` does not change the character of content that recommends a product, and a disclaimer inconsistent with the main message is itself a flag.

_Source: RG 234.35; RG 244.29, 244.47; INFO 269._

- **✗** Not financial advice, but if you're not in this fund yet you're leaving money on the table.
- **✓** Here's how the fund's fees and returns compare with the category average over five years. General advice only: it doesn't consider your circumstances, so check it suits you and read the PDS first.

### Implied personal advice

Advice is personal advice if a reasonable person might expect the provider to have considered their objectives, financial situation or needs. Copy addressed to a specific situation (`55 with $400k in super`, `in your situation`, quiz results that end in a product) risks this, and a general advice warning does not cure it.

_Source: RG 244.43–49; RG 175.36._

- **✗** 55 with $400k in super? Here's exactly how you should restructure it before you retire.
- **✓** Many people restructure their super in the five years before retirement. Here are the options people usually weigh up, and how to find an adviser who can look at yours.

### Advice without a licence or exemption

General advice requires an AFS licence authorising it, authorised representative status, or an exemption. A product issuer may give general advice about its own products without authorisation only if it says it is not licensed to give advice, recommends the PDS and states whether a cooling-off period applies. If the Licence line is blank or `not sure`, flag this entry for compliance to confirm.

_Source: RG 244.28, 244.37, 244.41–42; Corporations Regulations reg 7.1.33H._

- **✗** Our income protection cover is the right choice for self-employed tradies.
- **✓** Our income protection cover is designed for self-employed people. We're not licensed to give advice about it, so read the PDS before you decide. A cooling-off period applies; see the PDS for details.

### Paid creator content

Payment or other benefits make it more likely that a creator's content is financial product advice, and a licensee can be liable for unlicensed advice given by creators it engages. Brief creators on these entries, review their drafts and keep records.

_Source: INFO 269; RG 234.179, 234.186, 234.188–189; RG 274._

- **✗** A creator brief that says: "Tell your audience why they should open an account with us."
- **✓** A creator brief that says: "Show how the app's round-up feature works. Don't tell viewers to open an account. Include the general advice warning in the caption. Send drafts to us before posting."

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## Substantiation

A promoter needs a reasonable basis for every representation, and records that show it. A representation about a future matter made without reasonable grounds is taken to be misleading. Past performance guidance now sits in RG 234; ASIC withdrew RG 53 in June 2026.

### Unsubstantiated outcome claim

Claims about consumer outcomes (`helped 10,000 Australians`, `saved members $30 million`) must be substantiated or have a reasonable, evidence-based justification, with records kept to show it.

_Source: RG 234.19._

- **✗** We've wiped $80 million of debt for everyday Australians.
- **✓** Since 2021, 4,200 customers have finished a repayment plan with us. (Figure from our customer records at 30 June 2026.)

### Forecast without reasonable grounds

A representation about a future matter (`you'll be $200k better off`, `on track for 8% a year`) is taken to be misleading without reasonable grounds. Where there are grounds, state the assumptions and that the forecast may not be achieved.

_Source: RG 234.109–110; Corporations Act s769C; ASIC Act s12BB; RG 170._

- **✗** Switch today and you'll retire with $200,000 more.
- **✓** Based on a 35-year-old earning $90,000 who stays with us until 67, and assuming 6% p.a. returns after fees, the projected difference is about $48,000. Projections aren't guaranteed, and actual returns will vary.

### Past performance without the required warning

Past performance must be accompanied by a warning that it is not a reliable indicator of future performance, in the main body and close to the figures. Wording that implies returns are likely to repeat (`not a guarantee of future returns`, `future returns may vary`) is less likely to be effective.

_Source: RG 234.81, 234.83–88._

- **✗** 11.2% p.a. over five years. Past performance is no guarantee of future returns.
- **✓** 11.2% p.a. over five years to 30 June 2026, after fees. Past performance is not a reliable indicator of future performance.

### Non-standard performance period

Where past performance is shown, the five-year per annum return (or the return since inception, if shorter) must appear at least as prominently as any other period. Returns under one year are not annualised, and a fund under a year old should not generally be promoted on performance.

_Source: RG 234.90–99, 234.106._

- **✗** Up 31% since March 2025!
- **✓** 9.4% p.a. over five years to 30 June 2026, after fees. (Since March 2025: 31%, not annualised.) Past performance is not a reliable indicator of future performance.

### Out-of-date performance data

In media that can be updated, performance data more than three months past its end date is not up to date. This includes posts left live after their figures have been superseded.

_Source: RG 234.100–104, 234.159._

- **✗** A pinned post in October 2026 quoting returns to 31 March 2026.
- **✓** A pinned post in October 2026 quoting returns to 30 September 2026, scheduled for refresh after the December quarter.

### Selective past performance

Past performance used to support a claim about skill must not be selected to exaggerate success, and any comparison set must be chosen on a fair and objective basis.

_Source: RG 234.71, 234.89._

- **✗** Our investment team consistently beats the market. Our Australian Shares fund returned 18% p.a., 3% above the median.
- **✓** Our Australian Shares fund returned 18% p.a. over five years, 3% p.a. above the sector median. Returns for all our funds are at [link].

### Non-actual past performance

Hypothetical, simulated, modelled or back-tested returns are likely to mislead except in narrow cases, such as a new fund identical to an existing one except for fees, or a fund that mirrors an index. Keep them separate from actual returns and summarise the assumptions in the ad itself.

_Source: RG 234.111–119._

- **✗** Our new AI strategy would have returned 22% p.a. over the last decade.
- **✓** Our new fund launched in July 2026 and has no performance history yet. Here's how the strategy works and what it invests in.

### Unexplained rating or award

A rating or award must name its grantor and explain its scale or criteria and date, disclose any relationship with the grantor, and note that a rating is only one factor to consider. Only current ratings may be used.

_Source: RG 234.76–80._

- **✗** ⭐⭐⭐⭐⭐ Award-winning super fund.
- **✓** Rated 'Highly Recommended' by [research house], May 2026, on a five-level scale (details at [link]). A rating is only one factor to consider when choosing a fund.

### False or implied endorsement

Third-party logos, government or community imagery, or `as seen in` strips can represent an endorsement or affiliation the product does not have. Never use the ASIC logo or imply ASIC approval; state licence details as facts.

_Source: RG 234.128–129._

- **✗** ASIC-approved investing, trusted by the big banks. [bank logos below]
- **✓** We hold Australian Financial Services Licence 000000. Our cash accounts are held with [bank name].

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## Misrepresentation

The test is the overall impression on an ordinary and reasonable member of the audience on first viewing, whether or not anyone intended to mislead. Qualifications must be clear and prominent, a disclosure document cannot cure a misleading advertisement, and silence on an important matter can mislead.

### Term used against its ordinary meaning

`Free`, `guaranteed`, `secure`, `safe`, `certain`, `risk-free` and `stress-free` are read at their ordinary meaning. Do not use them where the product does not match it, or in a way that overstates its safety.

_Source: RG 234.30, 234.120–122._

- **✗** Invest with certainty. Your rate is secured for the full term.
- **✓** Your rate is fixed for the full term. Like any investment, this one carries risk, including the risk of losing money if the issuer can't repay.

### "Free" where fees or costs apply

`Free`, `no fees` or `fee-free` should not be used where there is any charge to use the product, including monthly, linked-account or excess-transaction fees. An advice service paid for through product fees is not free.

_Source: RG 234.44–46, 234.49._

- **✗** Free transactions, no strings attached.
- **✓** Unlimited transactions with no transaction fees. A $4 monthly account fee applies unless you deposit $2,000 or more that month.

### Headline fee that is not the total cost

A fee claim must give a realistic impression of the overall fees and costs, and state whether other fees or costs apply. Consumers do not distinguish `fees` from `costs`.

_Source: RG 234.44–45, 234.123._

- **✗** One low fee. That's it.
- **✓** Admin fee of $104 a year. Investment fees and costs also apply; see the PDS for the full breakdown.

### Returns not net of fees

Returns should be net of fees and costs where practicable. Disclose any undeducted fees prominently, and identify which fee option the returns relate to.

_Source: RG 234.47–48._

- **✗** 10.4% p.a. over five years. [gross of fees]
- **✓** 9.6% p.a. over five years to 30 June 2026, after investment and admin fees. Past performance is not a reliable indicator of future performance.

### Benefit not available to all

`Up to`, `from`, new-customer-only offers, minimum balances and other eligibility conditions must be clear in or beside the headline claim. Benefits that cannot be taken together must say so.

_Source: RG 234.20–21, 234.34; Examples 22–23._

- **✗** Earn up to 5.5% p.a.
- **✓** Earn 5.5% p.a. on balances up to $50,000 when you deposit $1,000 and make no withdrawals that month. Otherwise 1.5% p.a.

### Headline claim too strong to qualify

A qualification cannot change the meaning of a headline claim. If the fine print contradicts the headline, the headline is the problem.

_Source: RG 234.34, 234.40; Example 27._

- **✗** Cut your premium into 12 easy monthly payments.* (*Monthly payments total more than paying annually.)
- **✓** Pay monthly or annually. Paying monthly costs about 8% more over the year.

### Qualification not clear and prominent

A qualification must be understood on first viewing. A link, QR code or PDS reference does not correct a misleading headline, and neither does fine print, a dense block, a disclaimer too fast to read or hear, or a disclaimer in a different language from the ad. Third-party platforms need more care, because users are less likely to click through.

_Source: RG 234.35–39, 234.164, 234.167–168, 234.173–175, 234.178._

- **✗** 20% off car insurance! [conditions on the website]
- **✓** 20% off your first year of car insurance for drivers aged 25 and over with no at-fault claims in three years.

### Inconsistent with the disclosure document

Statements about product features must be consistent with the PDS, FSG, prospectus or contract, and statements taken from those documents must not be used out of context.

_Source: RG 234.27–28, 234.42._

- **✗** Guaranteed acceptance. No exceptions.
- **✓** No medical questions to apply. Pre-existing conditions aren't covered in the first 12 months; see the PDS for all exclusions.

### Open-ended promise

A benefit that may change needs a prominent statement that it may change. Withdrawing the ad later does not undo the impression it created.

_Source: RG 234.22–23; Example 9._

- **✗** A low rate you can count on, for as long as you have the card.
- **✓** 9.99% p.a. on purchases. Rates can change; we'll give you 30 days' notice if they do.

### Misleading comparison

Compare only products with sufficiently similar features, disclose material differences, and use current, verified information. Some comparisons cannot be fixed by disclosure.

_Source: RG 234.63–75._

- **✗** Earning 4% at the bank? Earn 9% with us instead.
- **✓** Our notes pay 9% p.a. They carry more risk than a bank term deposit: they aren't covered by the government's deposit guarantee, and you could lose some or all of your money.

### Restricted term

`Independent`, `impartial` and `unbiased` are restricted where commissions or other benefits could influence advice; `stockbroker`, `sharebroker` and `insurance broker` require licence authorisation; `insurance` and `insurer` are restricted to insurance. The restrictions apply everywhere, including bios and job ads.

_Source: RG 234.124–125; Corporations Act s923A, s923B; Insurance Act s114._

- **✗** Independent, unbiased advice from people who put you first.
- **✓** Advice from qualified financial advisers. We're paid by the fees you agree to, and we explain what those are before we start.

### Overstated advice service or tool

Do not overstate the scope of an advice service (`comprehensive advice`, `whole of market`), an adviser's experience, or what a digital or AI advice tool can do. A tool's limitations need the same prominence as its benefits.

_Source: RG 234.151–153._

- **✗** Our AI adviser builds your complete financial plan in minutes.
- **✓** Our tool gives general guidance on budgeting and super contributions. It doesn't consider your full circumstances; for personal advice, speak to one of our advisers.

### Greenwashing

Misrepresenting the extent to which a product or strategy is sustainable, ethical or environmentally friendly. Absolute terms (`no`, `zero`, `eliminate`) are read literally; state what is screened and how.

_Source: RG 234.25–26; INFO 271._

- **✗** Zero fossil fuels. Invest with a clear conscience.
- **✓** Our Sustainable option excludes companies earning more than 10% of revenue from coal, oil or gas. The screen applies to shares, not to bonds or cash. Full criteria at [link].

### Advertising not distinguished from editorial

Sponsored content, paid commentary, podcast reads and creator reviews must be clearly identifiable as advertising, particularly in high-trust settings such as social feeds.

_Source: RG 234.160–162, 234.188–189._

- **✗** A creator video reviewing "the best savings apps in 2026" with the paid partnership mentioned only in the description.
- **✓** The same video, opening with "This video is sponsored by [brand]" on screen and spoken, with the platform's paid-partnership label turned on.

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## Balance

Returns, features and benefits must be balanced against risks and limitations. The advertisement must suit the audience likely to see it, and be consistent with the product's target market determination (TMD).

### Benefits given more prominence than risks

Risk information must be clear and given sufficient prominence against returns and benefits, and the tone must not undermine it. Where a benefit is presented as likely, state the risk of not obtaining it.

_Source: RG 234.16–18, 234.29, 234.166–167._

- **✗** Options trading is easy. Earn 5–10% a month. 😎🚀
- **✓** Options can lose value quickly, and most short-term traders lose money. Here's how our platform shows you the risk of each trade before you place it.

### Unexpected risk not warned

Risks a consumer would not ordinarily expect (losing more than the amount invested, no ownership of the underlying asset, no deposit guarantee, a lock-up, an extendable repayment date) need a prominent warning in the ad itself.

_Source: RG 234.31–33._

- **✗** Trade global markets with leverage from $100.
- **✓** CFDs are leveraged, so you can lose more than your initial deposit, and you don't own the underlying asset. [warning at the same size as the headline]

### Imagery that overrides the qualifications

Images of wealth, success or security can outweigh risk messages, and images of people an offer does not apply to misrepresent it. An image that misrepresents the product or business misleads regardless of any disclaimer.

_Source: RG 234.145–148; Example 69._

- **✗** A trading-app ad showing a 25-year-old stepping out of a Lamborghini.
- **✓** A trading-app ad showing the order screen, with the risk warning visible on screen.

### One-sided example or chart

An example showing an increase needs one showing a decrease, with the assumptions stated. Charts need fair scales, the same scale for comparisons, captions and key assumptions.

_Source: RG 234.149–150._

- **✗** Invest $10,000 today and watch it grow to $25,000.
- **✓** In a strong decade, $10,000 might grow to about $19,000 after fees; in a weak one, it might fall to about $8,500. These are illustrations based on [assumptions], not forecasts.

### Testimonial not genuine or informed

Testimonials must be authentic and attributed. Endorsements from well-known people must be genuine and contain only reasonably held, informed opinions about the product.

_Source: RG 234.130–132; Example 54._

- **✗** "I'd recommend this fund to anyone!" - a famous sportsperson who joined last month.
- **✓** "Consolidating my three super accounts took ten minutes in the app." - Priya S., member since 2022. (Unpaid, and quoted with permission.)

### Third-party comment left up

A promoter that becomes aware of a comment or testimonial on its own page and does not remove it can be responsible for it. Do not like, pin or share a comment you could not publish yourself.

_Source: RG 234.187._

- **✗** Pinning a follower's comment: "Best investment I ever made, 40% up in 12 months!"
- **✓** Hiding the comment and replying: "Glad it's going well. Returns vary and can be negative, so we can't comment on individual results."

### Suitability claim without assessment

Do not state or imply that a product suits a class of consumers (`perfect for first-home buyers`, `no credit check needed`) unless that has been assessed. Claims about who a product is for must be consistent with its TMD.

_Source: RG 234.135–137; RG 274._

- **✗** The perfect first investment for students.
- **✓** Designed for people investing for at least five years who can accept some ups and downs. See our target market determination at [link].

### No target market statement

Promotional material for a product that requires a PDS must describe the target market or say where the TMD can be found.

_Source: Corporations Act s1018A(1)(ca), (2)(ca); RG 274.140–147 (Table 4)._

- **✗** Our High Growth option: 8.9% p.a. over five years. Join today.
- **✓** Our High Growth option: 8.9% p.a. over five years to 30 June 2026, after fees. Past performance is not a reliable indicator of future performance. Target market determination at [link].

### Distribution inconsistent with the TMD

Channels and targeting must be consistent with the TMD, and mass-market channels are generally inappropriate for a product with a narrow target market. The ad must also suit the actual audience likely to see it, not only the intended one.

_Source: RG 234.133–134, 234.138, 234.157; RG 274.170–174 (Table 6)._

- **✗** A leveraged investment product promoted on broad-reach TikTok with no age or interest targeting.
- **✓** The same product promoted only to audiences matching the TMD, through channels where the risk information fits.

### Medium too limited for balanced information

The physical limits of a medium (banner, tile, story, short video) do not excuse an unbalanced ad. If the qualifications will not fit, change the medium or promote the brand rather than the product.

_Source: RG 234.143–144, 234.158, 234.175–176._

- **✗** A 300×250 banner: "Borrow to invest and double your gains."
- **✓** A 300×250 banner that promotes a free guide to how margin lending works, with the product ad on the landing page where the risks fit.

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## Sources

- RG 234 _Advertising financial products and services (including credit)_, June 2026: <https://www.asic.gov.au/regulatory-resources/find-a-document/regulatory-guides/rg-234-advertising-financial-products-and-services-including-credit>
- RG 244 _Giving information, general advice and scaled advice_, December 2012 (amended December 2021): <https://www.asic.gov.au/regulatory-resources/find-a-document/regulatory-guides/rg-244-giving-information-general-advice-and-scaled-advice>
- RG 274 _Product design and distribution obligations_, September 2024: <https://www.asic.gov.au/regulatory-resources/find-a-document/regulatory-guides/rg-274-product-design-and-distribution-obligations>
- RG 36 _Licensing: Financial product advice and dealing_, June 2016
- RG 175 _AFS licensing: Financial product advisers - Conduct and disclosure_, November 2024
- RG 170 _Prospective financial information_, April 2011
- INFO 269 _Discussing financial products and services online_, March 2022: <https://www.asic.gov.au/regulatory-resources/financial-services/giving-financial-product-advice/discussing-financial-products-and-services-online>
- INFO 271 _How to avoid greenwashing when offering or promoting sustainability-related products_, June 2022

RG 234 absorbed RG 53 _The use of past performance in promotional material_, which ASIC withdrew in June 2026.

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