The Australian Securities and Investments Commission has reported on the quality of the advice provided by in-house investment advisers at ANZ, CBA, NAB, Westpac and AMP, as well as assessing the products being recommended and sold. The regulator has tried to remain low key, but the findings are likely to prove hard to ignore for the upcoming Banking Royal Commission. The review was part of a broader set of regulatory reviews of the wealth management and financial advice businesses of the largest banking and finance services institutions as part of ASIC's Wealth Management Project.In this latest report, ASIC disclosed that, overall, 79 per cent of the financial products on the firms' "approved products" lists were external products and 21 per cent were internal or 'in-house' products. However, 68 per cent of clients' funds were invested in the various in-house products.The split between internal and external product sales varied across different licensees and across different types of financial products. For example, it was more pronounced for platforms compared to direct investments. However, in most cases there was a clear weighting in the products recommended by advisers towards in-house products.ASIC also examined a sample of files to test whether advice to switch to in-house products satisfied the 'best interests' requirements. ASIC found that in 75 per cent of the advice files reviewed the advisers did not demonstrate compliance with the duty to act in the best interests of their clients. A further 10 per cent of the advice reviewed was likely to leave the customer in a significantly worse financial position. ASIC will ensure that appropriate customer remediation takes place.The review took place during 2015 to 2017. Further comments and reactions follow.