Regtech could be the solution to finfluencer conundrum, ASIC says

ASIC has suggested that regtech companies could facilitate online discussions about financial products and services, replacing unregulated finfluencers.

Regtech companies could adapt their existing financial advice solutions to help social media users discuss financial matters, ASIC Commissioner Cathie Armour said on Wednesday.

Speaking at the annual Accelerate RegTech 2022 event, Ms Armour suggested regtech could solve the problem faced by retail investors seeking financial advice online.

In 2021, ASIC’s Young People and Money survey found that 33 per cent of 18 to 21-year-olds follow at least one financial influencer (or finfluencer) on social media, while a further 64 per cent reported changing at least one of their financial behaviours on the advice of a finfluencer.

“Online discussion about financial products and services can provide helpful insights for investors and it is very positive that investors are taking a proactive interest in their financial futures,” Ms Armour said.

To read more, please click on the link below…
Source: Regtech could be the solution to finfluencer conundrum, ASIC says – ifa