Financial Advisers Penalised by CCS for Pressurising a Competitor to Withdraw Offer from the Life Insurance Market

Case Title

Financial Advisers Penalised by CCS for Pressurising a Competitor to Withdraw Offer from the Life Insurance Market

Decision Date

17 March 2016

Case Summary

The Competition Commission of Singapore (“CCS”) has issued an Infringement Decision (“ID”) against ten financial advisers in Singapore (collectively referred to as the “Parties”). The Parties were found to have infringed section 34 of the Competition Act (Cap.50B) (“the Act”) by engaging in an anti-competitive agreement to pressurise iFAST Financial Pte. Ltd. (“iFAST”) to withdraw its offer of a 50% commission rebate on life insurance products on the Fundsupermart.com website (“Fundsupermart Offer”).

The Parties are:

1. Avallis Financial Pte. Ltd., formerly First Principal Financial Pte Ltd (“Avallis”)

2. Cornerstone Planners Pte Ltd (“Cornerstone”)

3. Financial Alliance Pte. Ltd. (“Financial Alliance”)

4. Frontier Wealth Management Pte. Ltd. (“Frontier”)

5. IPP Financial Advisers Pte. Ltd. (“IPP”)

6. JPARA Solutions Pte. Ltd. (“JPARA”)

7. Professional Investment Advisory Services Pte Ltd (“PIAS”)

8. Promiseland Independent Pte. Ltd. (“Promiseland”)

9. RAY Alliance Financial Advisers Pte. Ltd. (“RAY”)

10. WYNNES Financial Advisers Pte. Ltd. (“WYNNES”)

Further information on the investigation, analysis of the case and the basis of calculation of the financial penalty imposed on the infringing parties are set out in the Infringement Decision.

Useful links:

Infringement Decision and Media Release, Notice of Appeal, Competition Appeal Board's Decision on Appeal No. 1 of 2016 and Media Release