The Australian Securities and Investment Commission (ASIC) recently released INFO 269, to help social media influencers who discuss financial products and services online understand their obligations under the law.
It also provides guidance on the obligations and potential liability of Australian Financial Services (AFS) licensees who use influencers to promote their services.
ASIC has confirmed that it is currently monitoring certain online financial discussions by influencers who feature or promote financial products for any misleading or misleading representations or unlicensed financial services.
Common pitfalls for influencers are:
- when discussing financial services products, influencers may provide advice on financial products or cause their followers to deal with a financial product, in circumstances where they may violate the law, if they do not hold a license AFS or are not exempt or authorized to provide such services as a representative of another AFS licensee; and
- the content, representations or comments of influencers are not accurate and balanced, in which case influencers may engage in misleading and misleading conduct.
If you are an influencer who receives benefits or payment for your comments on financial products, you are more likely to provide advice on financial products, as this indicates an intention to influence the public.
The content is provided for educational and informational purposes only and is not intended and should not be construed as legal advice. This may qualify as “lawyer advertising” requiring notice in some jurisdictions. Prior results do not guarantee similar results. For more information, please visit: www.bakermckenzie.com/en/disclaimers.