ASIC has banned a Hobart-based financial adviser from providing financial services for five years after he encouraged clients to inappropriately double gear their investments.
Meritum Financial Group authorised representative David Horton has been banned after ASIC found he had failed to provide financial advice that was appropriate and in the best interests of his clients, and also failed to keep proper records.
The corporate watchdog said Horton was "not competent and was not adequately trained to provide financial services".
"Horton provided a number of clients with inappropriate advice to double gear their investments," ASIC said.
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"In providing this advice, Mr Horton had no regard to the clients' relevant personal circumstances, their cash flow position or their ability to cover margin calls."
Horton moved from Meritum to an administrative role at FF Planning Solutions in 2017, where he provided unlicensed advice to some clients but was not an authorised representative.
Horton is the director of D & M Horton Holdings, previously known as Fort Financial Group. The latter was an authorised representative of Meritum from February 2012 to February 2017.
Horton has the right to appeal ASIC's decision with the Administrative Appeals Tribunal.