wellington capital limited

ASIC has released Regulatory Guide 234 outlining its good practice guidance for advertising of financial products and advice services.
ASIC’s good practice guidance applies to advertising of general and personal financial product advice and to all financial products,including:investment products (such as shares, debentures and managed investment schemes)

Advertising covers any communication intended to inform consumers about or promote financial products and financial advice services.

The purported purpose of ASIC’s good practice guidance is:
to assist promoters to ensure advertising does not contain false or misleading statements or constitute misleading and deceptive conduct, andto protect consumers who, in ASIC’s opinion, are heavily influenced by advertisements in making decisions about investing in financial products or obtaining financial advice services.

Additional disclosure must also be provided to retail consumers of financial products and advice services, in the form of product disclosure statements, prospectuses, financial services guides and statements of advice, prior to the consumer obtaining the product or service. Indeed, the disclosure requirements for financial products and services are more complete, balanced and transparent than for nearly any other product or service.

The above was extracted from this article: http://www.lexology.com/library/detail.aspx?g=0046fe07-1413-4f8b-b26f-c7d07d564ad4

Would anyone have voted for Wellington Capital limited to be Responsible Entity for the Premium Income Fund if they knew that the PIF was going to be steadily liquidated over approx 5 years as opposed to being rebuilt to its original value of $1.00 per unit with a return of 3 cents by Dec 2008 and quarterly thereafter? Investors in the PIF received many communications from WC, written and verbally idicating that WC was vehementaly opposed to liquidation and that by voting for WC the PIF would remain a going concern. Jenny Hutson told PIF investors she strongly believed PIF unitholders would achieve a better return through the continuation of the PIF as opposed to an estimated 14 cents return had the PIF been liquidated in 2008. Well there's not much left in the asset pool, will we even see 14 cents return of capital when the trough is empty? Make sure you all keep any communication from WC that may 'contain false or misleading statements or constitute misleading and deceptive conduct' as who knows what will come out from Bentleys/ASIC's investigations.