The Association of Financial Advisers (AFA) welcomes the announcement today from the Assistant Minister for Superannuation, Financial Services and Financial Technology, Senator Jane Hume that the deadline for the completion of the FASEA exam will be extended by 12 months and the deadline for the completion of a degree will be extended by two years.
AFA CEO Philip Kewin said, “This an important development that reflects the Government’s recognition of the challenges in the FASEA process. We have worked closely with the Financial Planning Association (FPA) on this and we are pleased that this work and the engagement we have had with the Government, along with the work our members have done visiting their local MPs, has been worthwhile. It is clear the Government has listened.”
Mr Kewin said financial advisers have a lot to be thinking about at this point in time, and the cumulative pressure of everything that is happening has been very confronting. “The FASEA process has taken a lot longer than expected. The new timeframe gives advisers the appropriate time to prepare for the exam and to deal with their other challenges.”
The AFA also warmly welcomes the extension to the deadline for the completion of a degree. “This is particularly important for the many advisers who are required to complete a full Graduate Diploma,” Mr Kewin said. “It is important to understand that financial advisers will be advising clients, running businesses and supporting families in addition to studying.
“We would also like to acknowledge Senator Hume for taking an active interest in and recognising the challenges of the original deadlines.”
The AFA will continue to seek further changes in the FASEA requirements, including recognition of the experience of all those advisers who have been operating good practices for many years.
“We are also seeking greater flexibility in the study requirements for financial advice specialists, so that they can study in areas that will add value to their businesses and their clients,” he said.
“This is undoubtedly one of the most challenging times for financial advisers, with not only the FASEA requirements, but also the other changes that are directly flowing from the Banking Royal Commission. There remains a lot to be done to ensure that sensible outcomes emerge, however this announcement today delivers some light at the end of the tunnel for financial advisers and a recognition from Government that they want to encourage advisers to remain in the profession and continue to provide financial advice to everyday Australians.”
About the AFA
The Association of Financial Advisers Limited (AFA) has been the authentic voice on the value of financial advice for over 70 years. Today, the AFA is a vibrant, innovative association, where the underlying driver of policy is the belief that great advice transforms lives. To this end the AFA is striving to achieve the vision of Great Advice for More Australians. The AFA’s ongoing relevance as a professional association is derived from its success in engaging with the major stakeholders in financial advice including advisers, consumers, licensees, product and service providers, and the regulator and government. Culturally the AFA believes in the value of collaboration to create powerful outcomes and this drives how we achieve influence and work towards our vision.