What lies ahead: Financial Services

The banking and financial services sectors are set for a busy year. Here is a taste of what's to come:

* Insurer and fund manager Tower's spin-off of its Australian Wealth Management unit. Tower shareholders will vote on the $10.6 million plan at a January 25 meeting.

* Finance companies face a Securities Commission report on its expectations for disclosure. It follows the commission's damning September paper which said few finance companies adequately set out the risks of investments versus potential returns.

* The main Australian-owned banks and IRD could end up slugging it out in court over retrospective tax disputes.

* Five banks, two credit-card companies and a financial services firm will defend a Commerce Commission case over alleged hidden credit card fees.

* Mortgage brokers face cuts to commissions they are paid by banks such as ANZ National Bank.