Compensation funds
The National Guarantee Fund (NGF) is the compensation fund for certain losses incurred by investors who trade in shares on ASX.
The NGF applies only in specific circumstances and does not compensate investors for trading losses including those caused by market events or by investment choices based on poor advice.
You should always take care to inform yourself and to take any advice that you require before investing.
The NGF is administered by Securities Exchanges Guarantee Corporation Limited (SEGC). Further information about the NGF (including the circumstances in which a claim may be made on the NGF) and SEGC is available at the SEGC website.
On 14 June SEGC published a notice concerning the extension of time for lodgment of claims in relation to BBY Limited (In liquidation)(Receivers and Managers Appointed). Further information and a copy of that notice is available on SEGC’s website.
ASX also maintains the ASX Supplemental Compensation Fund and the SFE Fidelity Fund. These compensation funds relate to ASX's futures markets.
The Compensation Scheme of Last Resort (CSLR) is an important piece of the external dispute resolution framework in Australia. CSLR is an independent, not-for-profit organisation authorised by the Australian Government to perform its role.
They can provide compensation of up to $150,000 to victims of financial misconduct where compensation is not available from other sources.
The scheme covers specific financial products and services delivered to retail clients. More information and examples of financial misconduct can be found on the eligibility page of the CSLR website.
Depending on the nature of a complaint, it may be a matter for ASX, the Australian Securities and Investment Commission (ASIC) or the Australian Financial Complaints Authority (AFCA). See complaints for further information and contact details.
