The Australian Securities and Investments Commission (ASIC) has revoked the Australian Financial Services (AFS) license of JB Markets Pty Ltd, effective from April 12, 2024.

According to the regulatory body, JB Markets failed to:

• Comply with the financial requirements of its AFS license.
• Have adequate resources to provide the financial services covered by the license and to implement regulatory arrangements.

Under the Corporations Act, ASIC can suspend or cancel an AFS license if the licensee fails to fulfill the general obligations specified in section 912A, including financial requirements and adequate resources.

ASIC believes that revoking JB Markets' AFS license will protect the interests of potential consumers, enhance confidence in the financial services industry, and encourage professionalism among financial service providers.

JB Markets' AFS license was revoked on November 8, 2023, with the revocation period ending on April 30, 2024. JB Markets can apply to the Administrative Appeals Tribunal to review ASIC's decision.

JB Markets has held AFS license number 323182 since July 8, 2008. The license authorized JB Markets to provide financial product advice, deal in financial products, make financial product recommendations, and provide custodial or depository services to retail and wholesale clients.

The license was revoked because JB Markets:

Had a net asset value lower than the net liability value from the financial years 2019 to 2022.

Failed to meet the financial holding requirements for the financial years 2019 to 2022.

Did not have sufficient financial resources to provide financial services under its AFS license.