What are the steps to prepare for an ASIC compliance audit focused on financial advice?

Preparation for an ASIC audit requires proactive governance and robust documentation. Key steps include:

1. Pre-audit readiness review – Assess compliance with s912A obligations and ASIC guidance (RG 104, RG 105, RG 166).
2. Update risk registers and control evidence – Ensure risk assessments include cyber, outsourcing, APL, and SMSF advice risks.
3. Maintain complete client files – Verify that all SOAs, FDSs, and consent renewals are accurate and accessible.
4. Conduct internal file audits – Benchmark advice quality against FASEA ethical standards and best interest duty.
5. Brief Responsible Managers and key staff – Ensure they understand their duties and can explain compliance systems.
6. Rectify known issues early – Document remediation plans and progress.
7. Engage with ASIC cooperatively – Transparency and prompt response can mitigate enforcement outcomes.

Effective preparation turns an ASIC audit into an opportunity to demonstrate professionalism and governance maturity rather than a source of regulatory risk. For practical strategies on managing ASIC notices, responses and engagement, refer to Assured Support’s How to Respond to an ASIC Notice – A Practical Step-by-Step Guide for Licensees, which outlines structured preparation, communication and evidence management to help licensees respond confidently and efficiently.