Set to commence from 1 January 2022, the bill will expand the role of ASIC’s existing Financial Services and Credit Panel to operate as the single disciplinary body for financial advisers and create new penalties for advisers who breach their professional obligations.
Draft exposure regulations released on Wednesday note that the exam fee would increase to $948 (currently $540) while an additional $218 fee would apply for the corporate regulator to “review the marking of one or more answers to the written-style responses (non-multiple-choice questions) in an exam”.
It comes only a week after ASIC announced that “existing providers” who are taking a career break by 31 December this year will not be required to pass the FASEA exam by 1 January 2022 to retain their “existing provider” status and, as such, would not be considered new entrants upon their return.
However, after they return, they will be required to pass the exam before they can be authorised as a relevant provider again.
“The Morrison government is committed to strengthening oversight of the financial advice sector while simplifying the regulatory framework governing the provision of financial advice, helping to reduce cost for advisers,” a statement read.
“These reforms will ensure Australians are able to make informed decisions and have access to affordable and high‑quality advice.”
Last month, Liberal MP Tim Wilson, who stated his support for the bill in its original form, admitted to having “reservations” with the legislation.
“I have ongoing concerns about the operations of ASIC and we hope under its new leadership that it will fulfil its function properly,” he said in Parliament.
“ASIC needs to make sure that it’s backing financial advisers, not undermining them.”
Submissions for feedback surrounding the draft exposure regulations are now open and close on Friday, 15 October.
“The Morrison government is committed to strengthening oversight of the financial advice sector while simplifying the regulatory framework governing the provision of financial advice, helping to reduce cost for advisers,” a statement read.
You mean by jacking up the cost of an exam by more than 100%???? Turkeys.
What’s worse than one leg kicking you whilst you are down? Why two legs of course…. 🙁