The Murray Financial System Inquiry Report recommended the introduction of “a targeted and principles-based product design and distribution obligation.”

“The obligation would require product issuers and distributors to consider a range of factors when designing products and distribution strategies. In addition to commercial considerations, issuers and distributors should consider the type of consumer whose financial needs would be addressed by buying the product and the channel best suited to distributing the product.”

The report also recommended the introduction of “a proactive product intervention power that would enhance the regulatory toolkit available where there is risk of significant consumer detriment.”

In a new CPD video (22 minutes) I discuss the financial product development process and regulatory compliance.

It covers both financial products and credit products and the need to develop a product which satisfies customer needs.

It also discusses marketing issues.

You can watch it on my website here.