Should I appoint an external member to the AFSL compliance committee?

Yes. It’s our view that AFSL holders should appoint an external member on their board and AFSL compliance committee to provide an independent and objective view on existing compliance arrangements and areas of improvement. External compliance providers are not sufficiently disconnected from the business (and often would be conflicted) to provide an independent view on such matters and so we don’t recommend that they be used as a substitute to independent members.