- Anyone practising under an AFSL – limited or full – need to meet ASIC and Treasury requirements
- Existing financial advisers had until early 2022 to pass the exam and have until 2026 to meet the education requirements
- Guidance is provided on meeting CPD requirements set by the Minister
Upcoming consultation on financial adviser professional standards
The Hon. Stephen Jones MP has announced an upcoming consultation on financial adviser professional standards following the Albanese Government’s election commitment to remove the tertiary education requirements for financial advisers who had passed the exam , had 10 years’ experience and a clean record of financial practice.
On 21 October 2021, the Better Advice Act was passed gave effects to the following recommendations:
- Expanding the operation of ASIC’s Financial Services and Credit Panel ( FSCP)
- Winding up FASEA from 1 January 2022
From 1 January 2022:
- the standard-setting function 10 of FASEA has been moved to the responsible Minister and Treasury.
- ASIC is responsible for administering the Financial Adviser Exam
End of FASEA makes ASIC’s role in the future of financial advice vital
CP 332 Promoting access to affordable advice for consumers
This consultation paper seeks information from financial advice industry participants and other stakeholders on impediments to the delivery of good-quality affordable personal advice.Read more
Affordable advice for consumers
In a submission to ASIC, CA ANZ has highlighted the importance of affordable financial advice to help business to reset.Read more
Submission on Quality of Advice Review Issues Paper
CA ANZ welcomes this Quality of Advice Review, specifically in relation to the need for the regulatory framework to be simplified, and for the full scope of financial advice to be put under the microscope.Read more
Requirements to be a Financial Adviser
- Existing advisers according to current rules can no longer sit for the Financial Adviser Exam and will be considered as a New Entrant
- Existing advisers also need to meet the FASEA education standard by 1 January 2024 (now 2026).
The Code of Ethics commenced on 1 January 2020 was developed by FASEA as a part the professional standards for financial advisers. The responsibility for developing the Code of Ethics is now with the Minister
- New Entrants2 are required to hold an Approved Degree before they commence their Work and Training (Professional Year) requirement.
- If you are New Entrant from 1 January 2019, you must do a Professional Year (PY), equivalent to 1,600 hours and at least 100 of these must be structured training
- The annual requirement for 40 hours Continuing Professional Development commenced on 1 January 2019.
- The Minister’s announcement on the 10 August 2022
How does the educational requirements and professional standards apply to you
Please refer to the Financial Adviser Quick Reference Guide on ASIC website. This is a dynamic area and we will update our members when new information is available to us.
FASEA education and exam requirements deadline was extended
Following extensive advocacy from CA ANZ and other member associations, legislation was passed in June 2020 to extend FASEA's deadline to meet the education requirements by two years to 1 January 2026 and to undertake the compulsory FASEA exam by one year to 1 January 2022, the latter has now past. Minister of Financial Service foreshadowed a review in this area.
Help preparing for the exam
CA ANZ has partnered with Cram 4 Exam to assist members with preparation for the Financial Adviser exam. This quality 3-step program consists of webinars and a one-day, intensive, face-to-face workshop delivered by experienced and well-respected industry experts. It is accredited for 8.5 CPD hours set by the minister and a discount is available for members. Due to COVID-19 Cram 4 Exam has pivoted from face-to-face to online delivery.
Recognition of Prior Learning
If you have completed the CA program since 1972, take care to specify the units you completed as part of your 'relevant degree'. We have advocate for greater recognition for the CA program. View our submission here.
The minister is responsible for approving domestic and foreign qualifications. Visit Treasury website for approved courses and assessment of foreign qualifications.
Download and view all the submissions that Chartered Accountants ANZ have lodged with FASEA during the consultation period.View full submissions
Join the Financial Advisory group on my CA
Join the discussion and stay up to date with what you need to know and what action you need to take on the FASEA developments.Join the group
Members are invited to provide feedback on professionalising the financial advice industry and improving consumer outcomes.Contact the Financial Advice team