Reference no: EM133266605

The day after his 50th birthday Jim decided to get some advice about securing his financial future and contacted a financial adviser, Terry. Up until this point Jim had been too busy working in his landscaping business which had been rapidly expanding over the last decade.

Jim was advised by Terry to set up a SMSF even though he had told Terry that he had no time or interest to devote to managing a SMSF and that he really wanted a low cost and low maintenance option. Despite this, Terry persuaded Jim into setting up a SMSF.

Jim is concerned because the SMSF turns out to be complex and difficult for him to understand. He complains to Terry that it is a "nightmare for him" and it was also much more expensive than he expected. Jim is very upset. Terry tells Jim it is unfortunate but Jim should have done more research into SMSF's before agreeing to embark on this path. Terry offers to help Jim but Jim is worried that Terry's fees will eat into his savings. Jim feels trapped. What options are available to Jim?

In your answer you need to specifically look at the obligations on financial advice providers in the context of internal and external dispute resolution and complaints handling.