Legislation to implement the single disciplinary body will have to be delayed due to COVID-19, and will now be introduced at the end of next year.
“The government is still working through the details of the body, and Treasury has been consulting very widely with the industry on its design features,” Ms Hume told the Stockbrokers and Financial Advisers Association (SAFAA) conference. “We will have more to say on this in due course.”
The creation of a single disciplinary body was one of the recommendations of the royal commission.
Consulting like they did and have been with FASEA
Hopefully this delay provides an opportunity to fix the FASEA Code before the body that will enforce it comes into place. The current Code, particularly Standard 3, is unworkable in practice. FASEA needs to stop giving fuzzy, non binding guidance, and go back and fix the legislative instrument. Standard 3 should be appended to say…
You must not advise, refer or act in any other manner where you have a conflict of interest or duty [b]that is contrary to the client’s best interest.[/b][b][/b]
All advisers who receive any form of remuneration, including fee for service, have a conflict of interest. The only advisers who can comply with Standard 3 as it’s currently worded are those who don’t get paid.
The person they had ready for the role failed the exam
Ha ha ha ha ha !!!
I can’t wait to add the cost of this to my Licensee fees, TPB fees, ASIC funding fees, Compensation scheme fees (god knows how much that will be), FASEA fees (yep, that will be next) plus the cost of employing more staff to navigate through the maze of mind-numbing red-tape that our clients don’t want or need. Especially with ASIC, FASEA and APRA dreaming up new ways to prevent us earning an income.
If you weren’t in the industry you would think people are making this all up it’s become so convoluted.
…And clients want to know why our minimum fees are so high…LOL
Thats why we no longer assist “Aussie Battlers”. Just focus on the wealthy and let those below the mid line be.
focus on your AFSL – you might go broke
Shows what terrible representation we have at the industry level between the FPA and AFA. I can’t understand how Dante De Gori and Phil Kewin still keep their jobs with their fat cat salaries!
Don’t forget PI.
This is GOLD!!! Great work to all the useless people involved in this decision, keep destroying the mental health and business of financial advisers. Give yourself a pat ok the back and a gold star.
Here’s some Consultation from a real world Adviser Ms Hume.
LNP and All Pollies need to stop the Massive overreach of ASIC & BS REGS on top of REGS and more REGS.
STRANGULATION OF ADVICE BY REGS MUST BE STOPPED !!!!!!!!!!!!!!!!!!!!!!!!!!!!
That is what the FPA and AFA should be doing for us.
Should but sadly NOT !!!
They are far too corrupt and conflicted to care for Advisers over themselves.
They would never meet FARSEA or Best Interest duties for their clients the Advisers
Having the FASEA Code “in force” from 1 January 2020 whilst this Body is not in place makes no sense. This industry is a mess.
This industry is beyond a mess. It’s probably why many licensees and planners have put the code on the backburner – nil risk of being held to account under the code except ‘reasonable steps’ expected of licensees by ASIC. Why bother!
AFCA – any Adviser in front of AFCA is guaranteed to fail as FARSEA is so open ended that it is not possible to do real world Financial Advice and be FARSEA compliant.
I especially like how ASIC just ignores that the Code exists in their pronouncements and bewilderment that we didn’t all revel in their COVID ‘relief’.