The Australian Securities & Investments Commission (ASIC) has banned former United Global Capital Pty Ltd (in liquidation) financial adviser Milutin Petrovic for six years from providing financial services, controlling an entity that carries on a financial services business, or performing any function involved in operating such a business. ASIC found he failed key advice obligations when recommending clients invest retirement savings into financial products related to his licensee. ASIC found Mr Petrovic advised clients to establish a self-managed superannuation fund (SMSF) and then invest a significant portion of their retirement savings in Global Capital Property Fund Limited (GCPF), a related property investment company now in liquidation. Despite asserting clients sought “execution only” and he was providing limited advice, ASIC found he told clients he was required to act in their best interests and provided comparisons between existing superannuation arrangements and the recommended SMSF and GCPF investment, including projections that clients would be “so many dollars better off” by switching. ASIC determined he did not act in clients’ best interests, did not provide appropriate advice, failed to prioritise clients’ interests ahead of his licensee’s interests, made statements likely to be misleading, and provided defective Statements of Advice, amounting to misleading and deceptive conduct including in relation to best interests and future return representations for GCPF. The banning took effect from 15 January 2025, was stayed on an interim basis on 28 February 2025, and resumed on 26 March 2025 when the stay was dissolved. Mr Petrovic has applied to the Administrative Review Tribunal for review; his stay and confidentiality applications were withdrawn, the substantive review was heard on 30 June and 1 and 2 July 2025, and the decision has been reserved.

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