ASIC has cancelled the Australian Financial Services licence of MWL Financial Services Pty Ltd (MWL) and banned MWL's director Nicholas Maikousis for 10 years over conduct in relation to the Shield Master Fund (Shield).
ASIC found MWL operated what it called a "low cost advice project" from 2021 to receive referrals from telemarketers/lead generators and to recommend clients invest their superannuation in Shield. Between September 2021 and February 2024, MWL recommended Shield to more than 750 clients who collectively invested $155 million.
Deputy Chair Sarah Court said 'Clients who seek advice from financial advisers should be able to trust that the advice they receive will be in their best interest. Failing to manage conflicts has the potential to cause consumers to be given financial product advice that may not suit their needs.'
As part of serious compliance failures, ASIC found MWL:
- did not take reasonable steps to ensure its advisers provided advice that was appropriate and in the best interests of clients
- provided template statements of advice (SOAs) to MWL advisers that contained misleading representations of Shield's past performance
- failed to properly assess Shield when it was added to MWL's approved product list
- was incentivised to recommend Shield
- had undisclosed bonus arrangements with its financial advisers who recommended Shield
- did not disclose its arrangements with lead generators in some SOAs nor in Financial Services Guides
- failed to have adequate arrangements in place to manage conflicts of interest
- failed to advise clients of their rights to complain to AFCA.
ASIC has also banned MWL's managing director Nicholas Maikousis for 10 years from providing financial services. Effective from 25 September 2025, Mr Maikousis is also banned from controlling an entity that carries on a financial services business or performing any function involved in the carrying on of a financial services business.
ASIC found Mr Maikousis was not only responsible for the establishment of the "low cost advice project" but also the driving force behind it; that he was on the investment committee that approved Shield and that he did not have an adequate appreciation for a financial services business' fundamental obligations to its clients.
MWL and Mr Maikousis have the right to apply to the Administrative Review Tribunal for a review of ASIC's decisions.
The banning of Mr Maikousis will be recorded on ASIC's banned and disqualified register. The cancellation of MWL's Licence will be reflected on ASIC Professional Registers Search.
Actions to consider if you are a client of MWL
If you are a client of MWL and have concerns about the conduct of your adviser or the advice you received, you should consider lodging a complaint with the Australian Financial Complaints Authority (AFCA). AFCA is the external dispute resolution scheme for financial complaints in Australia and must deal with complaints independently and fairly. AFCA's service is free for consumers.
AFCA can be contacted by:
- calling 1800 931 678 for free (9am - 5pm Melbourne time), or
- lodging a complaint online on AFCA's website.
AFCA will consider your complaint if it meets the eligibility criteria.
Important deadline: In cancelling MWL's licence, ASIC required MWL to remain a member of AFCA until 25 August 2026. If you intend to lodge a complaint with AFCA in relation to advice received from MWL you should do so by 25 August 2026.
Background
ASIC has specified that MWL must remain a member of AFCA and maintain professional indemnity insurance until 25 August 2026.
ASIC has previously banned MWL's responsible manager and four former MWL financial advisers in respect of advice provided in relation to Shield (25-180MR, 25-127MR, 25-128MR, 25-146MR).
In February 2024, ASIC halted new offers of investments in Shield. ASIC made interim stop orders on four product disclosure statements for Shield (24-018MR).
In June 2024, ASIC took action to secure the assets held within Shield (24-129MR). ASIC sought orders to preserve the assets of the scheme so that they may be recovered, to the extent available, for the benefit of investors while the investigation is continuing.
In August 2025, ASIC commenced proceedings in the Federal Court against superannuation trustee Equity Trustees alleging due diligence failures in relation to Shield (25-167MR).
ASIC understands that, since February 2022, funds totalling more than $480 million have been invested in Shield by at least 5,800 consumers, who accessed Shield primarily through superannuation platforms, the trustees for which were Macquarie Investment Management Limited and Equity Trustees Superannuation Limited. The investigation to date suggests that potential investors were called by lead generators and referred to personal financial advice providers who advised investors to roll their superannuation assets into a retail choice superannuation fund and then to invest part or all of their superannuation into Shield.
ASIC is investigating the circumstances surrounding Shield. ASIC is investigating Keystone Asset Management Ltd (in liquidation) (the responsible entity for Shield) and its directors and officers, the role of the superannuation trustees, certain financial advisers who recommended investors invest in Shield, the lead generators, and others.
ASIC recently announced it had commenced civil proceedings against superannuation trustee Equity Trustees alleging failures in due diligence in relation to the Shield Master Fund (25-167MR).
Consumer information
ASIC has issued a consumer alert warning amid increasing concerns that people are being enticed to invest their retirement savings into complex and risky schemes: 25-120MR Consumer alert. Be super smart, visit ASIC's Moneysmart campaign page.
Stay Updated: ASIC will post important updates about the Shield Master Fund on its dedicated webpage: Shield Master Fund.
