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How advisers can overcome onerous DDO compliance
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Morningstar recruits new advice executive
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FSC, Morningstar roll out DDO solutions
FSC, Morningstar roll out DDO solutions
The industry body and research firm have launched tools aiming to help advisers adapt to the incoming design and distribution obligations.
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ASIC’s design and distribution obligations (DDO) kick into effect from October, which will place a host of new restrictions on both issuers and distributors of financial products.
Advice licensees will need to take “reasonable steps” to ensure products are only distributed to the target client segments for which they are intended, according to the ASIC guidance.
ASIC will require issuers to form and review a Target Market Determination (TMD), which describes who a product is appropriate for, while distributors will need to ensure their clients align with the target market.