FASEA will grant advisers an additional three months to meet the 40-hour CPD requirement in a one-off recognition of the difficulties faced by advisers due to the business disruption of COVID-19. Advisers will be required to complete 40 hours of CPD in 12 months in future years and may not double count hours across the years.
FASEA will consult on a legislative instrument amendment to give effect to the extension.
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Did anyone check if ASIC is doing the same? They have their requirements also.. Seriously though, most of us have done the requirements and a lot more, why the fuss. We all know wha’ts going on, lets just ignore the noise and move forward.
1. I’ve done my points, we had ample notice, no excuse to not have them done by the deadline, so this extension shouldn’t matter
2. FASEA are a pack of dead set flogs who have either no idea or no care about what we actually do
3. Expecting this to change is a waste of energy. The red tape will continue, the remaining 30% who are decent advisers who don’t opt-out of the industry will reap the rewards in 3-5 years from now as public demand for advice will continue to rise
4. As a result of all of the above, costs for advice in an over regulated world of imbalanced supply and demand will sky rocket. Good for those advisers who stick around, terrible for the public all this change is supposed to be helping
5. There’s far more wankas regulating our industry than working in it
Have a great weekend all
Very valid points Mr Anonymous.
This profession/industry/whatever is in danger of fast becoming shambolic. Regulators now need to fix the big ticket items you have sensibly listed….and soon!
These issues should have been raised front and centre by Danti when he had Senator Hume as a guest in a recent FPA webinar. Still not too late Danti….what do we all have to loose now?
What a chaotic shambles this industry has become. I presume that the FPA, SMSFA, ICCA, CPAAs and other industry bodies have been prosecuting the case for this extension for some time, but it appears that lazy old FASEA only now decides it’s a good idea. 5 days to go! Wow, bring out the champagne & pop the corks. Any adviser worth their salt has already completed their requirements by now (under very stressful & pressurised COVID-19 circumstances), which would leave a bunch of recalcitrant laggards with a “free 3 month kick”. And you bozos want to rid the industry of these people. What a great way to do it. FASEA is a laughing stock. Amazingly, when FASEA CEO Stephen Glenfield is asked to comment about all this nonsense, he runs the Nuremberg defence, ie It’s not my fault, I’m bound by legislation & there is nothing I can do. Just a bureaucrat doing his job, managing up to his masters.
Want to know what it feels like to be a hapless buffalo stuck in the mud waiting to be shot? Step into the shoes of a financial planner.
Whilst I’m on the subject, industry bodies and you financial journalists take heed! We don’t need any more of this BS.
The most critical and practical things that you should now lobby for are:
– PI Insurance has become cripplingly expensive. If it keeps going up, it will be prohibitive. In my view, I see 2 things as major obstacles. First is RG 126. That needs to be amended so that there isn’t a requirement for a revenue based limit of indemnity, it’s ridiculous & adds horrendously to the premium.
Next, AFCA needs to be reined in. Their pronouncements about being “fair” and “not taking into account blackletter law arguments which are legally sound & well-articulated will not succeed if they deliver unfair outcomes for consumers” are a sick joke. Which other industry would put up with such nonsense? Accountants, lawyers? Not a chance! Financial planners are labouring (might I say being strangled) by a plethora of legal obligations which requires ongoing compliance and now we have some sort of ephemeral “fairness test” which somehow supersedes or works in conjunction with all of our legal obligations?? WFT, isn’t there enough red tape? How are we supposed to work out that rubbish? Little wonder PI insurers are bailing out of the market & those that are left are charging exorbitant premiums…there is a lack of certainty about how complaints will unfold & there is a high probability the consumer will win, irrespective of what good evidence and arguments are put up in defence. It’s just too hard for PI insurers.
– The idiotic education requirements for experienced and complaint free advisers who hold CFP, SSA and other relevant industry qualifications. The trade associations need to persist & double their efforts to obtain recognised prior learning exemptions for these people. The fact that highly qualified advisers with unblemished records need to undertake up to 5 additional subjects later in life is demeaning & insulting, quite apart from the cost & time involved. At most, these advisers should complete the ethics course. If this doesn’t change very soon, we’ll see fabulous, highly educated and experienced advisers leave the industry in droves. What will happen then? The industry associations will be decimated and Australians will have limited access to good financial advice. Trade associations, you only have about 12-18 months to get this done, otherwise it will be too late. We have already seen many advisers leave the industry over the past 12 months, and we’ll see many more in the future (I make no comment about whether they might be “good” or “bad” advisers), so get on with it!
Finally, the Government needs to change the definition of an “independent” financial planner. The current definition is ridiculously unworkable & completely meaningless.
This is the best post ever.
YES! Indeed! Best post ever. Thank you for this – it is what’s on the mind of all stressed advisers who see the idiocy of an ‘ethics’ exam for experienced honest advisers and the absolutely shameful compliance matter of a uni degree for same. World has MORE than gone mad! I don’t know why you’d call yourself “Anonymous” for that post – it is one I’d be happy to put my real name to! Very well said whomever you are!
Hi Squeaky_1, Thanks for your comments. Unfortunately, I’m unable to exposure myself.
If these industry associations don’t get up off their collective backsides & start to seriously advocate for these things, then within a couple of years, they’ll be able to hold their annual conferences in a phone box. Clearly, its a hard road for the FPA, AFA etc, but they need to be persistent.
Sadly, previous ministers have been hopelessly out of their depth, and impotent. They can’t even stand up to obvious stupidity contained within the Hayne Report…& I blame the Government for that debacle because they wanted to rush in through, giving Hayne limited time, and as a result, they got a hack job.
I also pity poor Jane Hume, although she has worked in the industry and I’m sure has a good grasp of these issues, she is just a junior minister without a voice. No point making representations to her because Josh wants all Hayne’s recommendations to go through…he is filling his pants because the Labor Party is making all sorts of noises about getting stuck into the Libs if they don’t. It’s all such a joke! They play with peoples lives and don’t give a sh&t about the ruinous effects of their actions.
I predict that if it keeps going, the banks will be the only ones who will have the resources & money to manage all of the BS compliance etc, so they jump in clicking their heels & dancing a jig. It’s astounding that the pollies can’t see that possible (maybe probable) eventuality, but then they only have their eyes fixed on the next election.
Excuse me for now, I’m about to vomit!
Agree with your comments but you lost all credibility when you placed an expectation on industry bodies to somehow represent or act for you.
Hey Tom, I have been paying my trade association fees for years and year, so I don’t think it would be too much to expect that they take these issues up. Although your cynicism is understandable, I haven’t got there yet because I live in hope!
But it’s not April Fools Day
Too little to late, you dickheads
No way! Done all the extra work to get em done then BANG! All those that didn’t, what a let off. Unfair!
Its what we get when we have unprofessional , incompetent and unethical government clowns in their covid free ivory towers telling professionals how to conduct themselves. Put them all on job seeker and see how many can actually survive in the commercial world.
Hi FASEA thanks so much of thinking of us…. on a separate note I am going on a 365km road trip this weekend. Would you like to drive the last 6 km’s to say you’ve helped?
Beautifully said – Brilliant !!
Yes – well said !
That’s great news!
Well played wade spooner
As a Compliance Manager placing loads of pressure on our advisers in the last few months to complete their 60 hours – more fool me now! What a poor decision FASEA in support of someone trying to do the right thing!
Too late. What a Farcea
Did they not realise this year was part of the transition year and it is actually 60 hours over the 18 months. Thanks for the relief four days short of the EOFY though, most advisers would have already completed their CPD points by now.
Interesting… all they have done is penalise all the advisers that are professional enough to complete their CPD. 5 days out from the June 30 deadline means the only people who haven’t completed their CPD are the ones who would get reported…
WTF??? There are 5 days left in the financial year and they announce this now? We have done the work already dickheads. I personally did more than 80 hours to get the necessary points, because I was forced to meet the different criteria for both FASEA and ASIC areas, all at a time when my clients desperately needed me. What a joke. FASEA needs a complete overhaul with a majority of experienced, practicing financial advisers on the board. Otherwise we will keep getting nonsense from this group of white-collar psychopaths who clearly have no understanding nor empathy for financial advisers and their clients.
Agree we need advisers junky lime the AMA, CPA, CAANZ, LAW society etc
Yet they couldn’t raise a legislative instrument to put on more frequent exam sittings and remove the 3 month lockout for exam re-sits during Covid-19! Complete clowns!
You do realise that it is the parliament that controls whether any changes to the legislation are passed, not fasea….??
Yes I do. My point is, if they can request amendment to the legislative instrument/raise a new one for CPD, why could they not have done it to add extra exam sittings during Covid-19?
Do all semi government instrumentalities need legislative change every time they want to make an operational decision? Perhaps they should seek legisltational change about that. I’d be surprised if many advisers need this. Most people have done more than their prescribed 60 hours because of the various requirements from FASEA TPB etc
Thank you for leaving it until a few days to go, typical.
Look, I don’t know about anyone else but the decisions being made are being made far too late for my liking. I have the exam done, I have the ethics course done, I have the CPD points done (90 of them), I have a young family and I am running a business. I have a new employee that started in CV19 working remotely. I recommend direct shares and not in SMAs. If I can get this done anyone can but yes it has meant 14-16 hr days. If I had of known all these extensions existed I might have cruised along as a much less frantic pace. To tell us this on the 25/6 is insane. Same with the FASEA exam extension. Get your act together and give us more guidance.
Would it have not been easier and cleaner to just apply a pro rata requirement (say 9/12) for year ending 31/12/20 and reduce the requirement to 29 or 30 hours. Makes more sense to me
BIG DEAL YOU PACK OF IDIOTS! We have already finished the requirements with only 5 days to go…..
How about you recognize the10 to 20 years of CPD advisers have done as the law states as part of the overall “education requirements”???
Why is it that those who don’t do the right thing keep being accommodated?
Meeting CPD is not that onerous or hard!
Its like the FASEA exam – just do it, its not that hard.
… unless of course you really should not be working as a planner …
Aren’t you making a massive assumption here that people actually asked for help?
Additionally we do we continue to cut each other down – no wonder we get no help when we look like rabble.
The only adviser to benefit are the ones that are unorganised and left their point to the last minute. Great way to support the incompetent again. Majority of advisers have already done their points before now.
Too little too late. I couldn’t expect anything less from this mob of conflicted academics.