Appearing at a Senate economics hearing to discuss the bill on Friday, FPA’s head of policy, strategy and innovation, Ben Marshan spoke about concerns regarding the legislation’s inclusion of an individual personal registration system for financial planners.
“Individual financial planners don’t have a relationship with ASIC. Individual financial planners often don’t have a relationship with the Tax Practitioners Board and other regulators,” Mr Marshan said.
“Therefore, in our experience… individual financial planners who don’t have that individual professional obligation… won’t necessarily fully understand all their regulatory obligations, all their requirements.
“We think it’s an important step to foster professionalism for the individual to be individually accountable including the registration process.”
While FPA has welcomed the introduction of the bill from 1 January 2022, Mr Marshan noted another issue regarding the formation of a panel to act as the single disciplinary body.
“I think the issue with the bill at the moment is that it’s quite specific,” he said.
“That once the panel is appointed, that’s the panel and if there is a conflict and someone has to step off, then that’s the panel that you’re left with.”
Mr Marshan suggested “reserve panelists” be introduced should a conflict arise.
The FPA failed in terms of industry outcomes for advisers. I am not suggesting that they failed us on purpose, only that the net results have largely been a failure. LIF, Loss of commissions, FASEA were all introduced under the FPA’s watch. I cannot see how the FPA has represented individual advisers.
[quote=Perplexed]So Dan & Michelle what are you doing about it?
This industry is hard enough, why undermine people who are attempting to make our lives as advisers better?[/quote]
Because they don’t represent Advisers..they’re the Financial “Planning” Association not the Financial “Planners” Association. They’re conflicted and represent Advisers, Licensee’s, Product Manufacturers….The FPA is very clear that they need to represent all those parties equally..and that’s impossible. The FPA won’t change and so we need FPA advisers to leave to and direct our efforts elsewhere. The only way we can reduce red tape is to encourage advisers to leave the FPA…The FPA simply won’t listen.
Is this coming from the perspective of Licensee’s and their Advisers… or from my perspective as an Adviser…. or are they just doing something for their own benefit? I can can never really tell with the FPA.
Why is the FPA still talking on behalf of the industry? They have proven time and time again the are just lapdogs to government and really offer no value at all.
That’s their problem…they act and keep talking on behalf of the “industry” and very rarely on behalf of financial planners or Australians. Advisers aren’t getting good outcomes with confused representation.
So Dan & Michelle what are you doing about it?
Who do you support to speak on behalf of the profession?
As an adviser myself I don’t have time to represent myself at every government inquiry or to write submissions. So I pay my dues to the FPA and contribute where I can when they survey practitioners. I don’t agree with everything they do, but I’m just one adviser amongst a heap of other voices. Whining about achieves nothing. Either support an alternative and point out what they’ve better, get involved an do better, or keep your negative thoughts within your own head. This industry is hard enough, why undermine people who are attempting to make our lives as advisers better?
What has the FPA actually done to make our lives better?
I have added to submissions and spoken in front of ministers.
I even pointed out some things to one of the main advisors on the Royal Commission, who looked startled and said ‘oh I hadn’t thought of that’!
Difference I made = zero
Meanwhile I rang the head of the MFAA (mortgage broker’s equivalent of the FPA) to congratulate him on not lying down to have his tummy tickled like the FPA.
Compare the pair. The FPA and the MFAA. One has guts.
Dear Perplexed…It’s actually Advisers like you that are the problem. the ones that keep paying “their dues” hoping for change. Paying their dues to a body that actually dosen’t represent Advisers. We need as many Advisers as we can to leave the FPA to get real change.
Agree. I am always surprised at how polite advisors are. They still politely clap the head of the FPA when he walks into a conference to speak! I can’t help but think of his namesake Dante Alighieri and his ‘Divine Comedy’