Australian Financial Services Licence (AFSL)

The licence issued by ASIC under the Corporations Act that authorises a person or entity to carry on a financial services business in Australia.

An AFSL is required to provide financial product advice, deal in financial products, make a market for financial products, operate a registered scheme, provide custodial or depository services, or provide a crowd-funding service. The Australian Securities and Investments Commission (ASIC) issues AFSLs and supervises licensees against ongoing obligations including competence, training, disclosure, dispute resolution, and compensation arrangements.