The changes come into effect on 1 July ahead of the commencement of the FASEA exam on 15 July. Speaking to ifa, myIntegrity in Practice principal Joel Ronchi said FASEA should clarify if questions about the changes will be included in the upcoming exam.
“There a lot of Advisers, some of whom have failed multiple times, concerned about not being up to speed with the new requirements, especially given the relatively late release of clarifying information from ASIC,” Mr Ronchi said.
“FASEA have stated in the past that Advisers need to know the ‘current legislation’ when sitting a FASEA Exam; however, given the circumstances I would think it incumbent on FASEA to clarify the position for the July exam (at the very least).”
Responding to ifa on Tuesday, FASEA said it “does not disclose questions” in any exam.
A FASEA spokesperson said in a statement: “However the exam assesses relevant providers competency in the practical application of the following three knowledge areas:
1. Financial advice regulatory and legal requirements (including Corporations Act chapter 7, AML, Privacy and Tax Agents Services Act [TASA] 2009).
2. Financial advice construction – suitability of advice aligned to different consumer groups, incorporating consumer behaviour and decision-making.
3. Applied ethical and professional reasoning and communication – incorporating FASEA Code of Ethics and code monitoring bodies.
“Relevant providers are required to have an understanding of current regulatory requirements including those that are effective from 1 July 2021.”
It comes just a week after Mr Ronchi encouraged advisers who previously failed the FASEA exam to “have a crack” at seeking a remark.
“For advisers who have failed, I talk with them and ask them how they felt they went with the exam,” he said.
“If they say they felt they did okay or even really good and they don’t have the comment on their feedback saying a remark is not warranted, then if it was me, I’d have a crack.”
I have not talked with a single Adviser – and I’ve talked with many – who felt that they knew how they’d gone after sitting the FASEA exam.
Not one of them felt confident they’d passed, or knew for certain they’d failed. Not one of them felt any smarter, or more ethical, for having sat it. Most just felt confused. “What was that?” was the most common expression I’ve heard (with perhaps a few more colourful words added).
If they can’t pass the exam, maybe they should look at doing some other job. It is not a hard exam but you probably need to study the suggested material. There are advisers only been here a few years have passed it.
The original deadline to have completed the exam was 6 months ago. Advisers have had plenty of time to complete the exam, now they’re just looking for more excuses to justify their lack of action. Fancy being the client of a financial planner that fails to plan….
Indeed, getting their excuses lined up for failure instead of getting the job done.
I guess some planners have been too busy looking after their clients to virtue signal, or prioritise study.
Spare me the ‘Greater than thou’ speech from your bell tower, genius.
Are you aware this industry now has the worst mental health rating of all industries? There’s actually a reason for that!
Many, like me, have really struggled with all this as a result of trying to raise a family, run a business to just make ends meet, keep up with every increasing fees like the theft ASIC inflicted on the industry with its BS funding levy charges this year along with ever increasing PI and Licensee fees. Add that to the over-reaching compliance obligations and onslaught of hatred by this Government on the financial services industry, and I think its perfectly understandable why there’s so much angst. Bit of empathy wouldn’t hurt you.
Annual competency exams are coming.
Why not have a exam every week.
Yawn. Who cares. They’ve had 2 years to do it. Grabbing at straws now…
thanks Karen.