In a statement issued yesterday, Mr Frydenberg said the recent PJC report “makes it clear” that the regulatory arrangements for the training of advisers are no longer sufficient to protect consumers.
“It is now time to capitalise on positive industry momentum and put in place an enduring framework to improve the qualifications and competence of financial advisers, and to enhance the financial advice industry’s professional standards and ethics,” Mr Frydenberg said.
“The committee’s recommendations draw from the practices of established professions such as law, medicine and accounting, and the best practice regulatory frameworks applied to financial advisers overseas.
“The government will carefully consult with all stakeholders before making any policy decisions on the committee’s recommendations, including on appropriate implementation and transition timetables,” he said.
Mr Frydenberg said several of the inquiry’s recommendations will be considered as part of the government’s response to the FSI, including those relating to amending the Corporations Law definitions of ‘personal advice’ and ‘general advice’.
“It is imperative that Australians have access to financial advice they can trust, and which is affordable,” Mr Frydenberg said.
“The government’s goal is to deliver an efficient, transparent and competitive financial services system, capable of fulfilling the needs of consumers, and allowing industry growth and innovation,” he said.
Mr Frydenberg added that consultation on the inquiry’s recommendations will occur until the end of June 2015.
Fantastic. And while all the people in the industry trying to do the right thing are spending time and money doing another degree or diploma and hiring some red tape specialist the crooks just keep moving forward. Not one of the initiatives brought on by government in the last 10 years would have stopped Storm or Melinda Scott and they say they want to listen to the industry. What a joke.
I don’t think the government quite gets it yet so let me spell it out for them loud & clear – IT DOESN’T MATTER HOW MUCH RED TAPE, COMPLIANCE OR ADVISER STANDARDS YOU PUSH ON THE INDUSTRY BECAUSE YOU WILL NEVER STOP THE COWBOYS AND CROOKS FROM RIPPING PEOPLE OFF!
It’s similar to gun laws, criminals don’t care about gun laws because they don’t play by those rules it only affects everyday people who do play by the rules so all the government is doing is pushing crap uphill with a pointy stick!